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Extension to COVID-19 support is 'woefully inadequate' Chancellor Rishi Sunak’s Winter Economy Plan has been criticised for ignoring the specific needs of freelancers and contractors, leaving millions to face what one expert has described as a “dark winter ahead”.  In his…

Contractor hiring continues to rise despite regional lockdowns

Businesses continue to turn to contractors on a short-term basis Despite a rise in the number of local and regional lockdowns across the UK in recent months, short-term demand for contract workers continued to increase from June to August –…

Are contractors who go umbrella at risk of an IR35 enquiry?

Will moving from outside IR35 to umbrella spark an IR35 enquiry? Q. I’ve been told by my client that to continue working for them after IR35 reform is introduced next year I’ll need to work via an umbrella company. While…

HMRC’s IR35 study ‘fails to address the severity of reform’

HMRC's IR35 study slammed by industry expert  HMRC’s study into how well it has communicated the off-payroll tax reforms (IR35) to contractors fails to address the real concerns, says IPSE’s Andy Chamberlain, director of policy at the lobbying body.  The…

Brexit: Call for vouchers to help self-employed ease transition

Government urged to support self-employed as Brexit talks resume The COVID-19 pandemic has hit contractors hard and many are still struggling to recover from it. But now, those who have clients in Europe may face another threat – Brexit. Although the…

Lloyds Bank slammed for ‘unfairly’ targeting freelancers – again

Lloyds rebuked by watchdog for forcing freelancers to open business accounts to access government-backed loans Lloyds Bank has been given a slap on the wrist for making small businesses – primarily sole traders – seeking emergency cash during the COVID-19…

Tax grab: Chancellor to hit freelancers with £200 tax rise

Freelancers could face a £200 tax rise in the Autumn Budget Chancellor Rishi Sunak is said to be considering hiking class 4 national insurance contributions (NICs) by three per cent, which would hit freelancers working as sole traders. The tax increase,…

What is the most tax-efficient way to pay yourself in 2020/21?

How can contractors pay themselves tax-efficiently in the 2020/21 tax year? Q. Like many contractors, I don’t have much time on my hands to make sure I’m operating in the most tax-efficient manner, while my contractor accountant isn’t particularly proactive…

Contractors could face ‘triple tax raid’ in Autumn Budget

Contractors may be hit with a tax hike on businesses, pensions and second homes in Autumn budget The Treasury is currently putting together Autumn Budget plans for a '£30 billion tax raid' that is aimed at the wealthy and businesses as…

Does completing a COVID-19 risk assessment jeopardise IR35 status?

Will a risk-assessment impact my IR35 position? Q. I worked from my home office during the COVID-19 lockdown period. The client is now reopening its offices to staff and contractors, and I will have reason to travel there. The client…

Contractors boost productivity, generating almost £5,000 more per employee

Contractors key to boosting productivity and creating jobs Firms that have at least 11% of their workforce as contractors are more productive businesses, with each employee generating on average an extra £4,669 for their organisation, a study by Trinity Business…

How can contractors reclaim tax from unfair IR35 decisions?

Can contractors claim a refund from inaccurate IR35 assessments? Q. With IR35 reform now nailed on for next April, like many of my fellow contractors, I’m bracing myself for the worst - working off the assumption that my client, who…

Contractor hiring on the rise as firms eye COVID-19 recovery 

Businesses turn to contractors over employees to assist recovery  Firms are more likely to engage freelancers and contractors than employees to help them recover from the COVID-19 pandemic, new research has revealed. Figures published by the Recruitment and Employment Confederation (REC)…

The key to avoiding non-compliant umbrella companies

How can contractors spot non-compliant umbrella companies? When perusing umbrella companies, it’s important that you know what to look out for. It’s vital that you’re not lured into working through an unscrupulous disguised remuneration scheme masquerading as a compliant umbrella…

Contractor earnings fall by a record 25%

COVID-19 sees contractor earnings drop by 1/4 in Q2 The “devastating” financial impact of COVID-19 on the UK’s freelancer and contractor workforce has been revealed, with independent professionals on average reporting a record 25% drop in earnings in the second quarter…

Self-employment slumps by a record 238,000

Self-employed numbers and earnings fall at record rates in Q2  The number of self-employed workers in the UK fell by a record 238,000 in the second quarter of 2020, latest figures released by the ONS have revealed. This is a “disproportionate…