End of IT contracting this June?
+ Reply to Thread
Page 2 of 12 FirstFirst 1 2 3 4 ... LastLast
Posts 11 to 20 of 116
  1. #11

    Faqqed Off

    TheFaQQer's Avatar
    Join Date
    Oct 2006
    Posts
    35,995
    Thanks (Given)
    372
    Thanks (Received)
    1263
    Likes (Given)
    3623
    Likes (Received)
    3148

    Default

    Quote Originally Posted by skysies View Post
    I posted this in another thread but thought it's worth starting a new discussion. Times reported on May planning to end IT contracting in the form we know it. There still will be, but most likely all will be inside IR35.
    The Times did no such thing. I suggest that you read what they actually wrote, based on what May had said, rather that Gerry McGlaughlin's "interesting" interpretation of what she said.

    The Times article can be found here.
    Best Forum Advisor, 2014
    Work in the public sector? You can read my FAQ here
    Click here to get 15% off your first year's IPSE membership

  2. #12

    Godlike


    Join Date
    Sep 2014
    Location
    Non-Event Horizon
    Posts
    8,678
    Thanks (Given)
    334
    Thanks (Received)
    587
    Likes (Given)
    2210
    Likes (Received)
    2630

    Default

    Quote Originally Posted by TheFaQQer View Post
    The Times did no such thing. I suggest that you read what they actually wrote, based on what May had said, rather that Gerry McGlaughlin's "interesting" interpretation of what she said.

    The Times article can be found here.
    A couple of interesting things from that.

    The problem is particularly acute in the delivery and technology service sectors, but ministers fear that the practice is spreading to more conventional parts of the economy.
    I don't see it as an acute problem as described in technology; it's more the state of play.

    However, the article then goes on to talking about control of workers. This for me should lead to a set of two contracts arriving based heavily on control, if that's the key theme. Contingent workers - freelance, gig economy, etc. should be served either a worker contract or a supplier contract, whereby the worker contract is Inside IR35 and you get the associated rights or a Supplier contract because you've got a limited company and its associated risks and costs.
    The greatest trick the devil ever pulled was convincing the world that he didn't exist

  3. #13

    More time posting than coding


    Join Date
    Dec 2008
    Posts
    214
    Thanks (Given)
    7
    Thanks (Received)
    16
    Likes (Given)
    17
    Likes (Received)
    83

    Default

    I think that the public sector stuff is a red herring, no matter what happens, it'll be transferred across.

    It goes well? - Great! They got Capita et al to staff the void with body shops of FTC types and all is grand.
    Roll it out to the private sector

    It doesn't go well? - Huge void created with people walking to the private sector? That's because it's not a level playing field.
    Roll it out to the private sector

    Wyrd bi ful ard

  4. #14

    Contractor Among Contractors

    DotasScandal's Avatar
    Join Date
    May 2014
    Location
    Manchester
    Posts
    1,125
    Thanks (Given)
    130
    Thanks (Received)
    114
    Likes (Given)
    1340
    Likes (Received)
    360

    Default

    Quote Originally Posted by MarkT View Post
    That's because it's not a level playing field.
    Roll it out to the private sector
    Exactly.
    And don't forget the obligatory press release stressing how yet another "unfairness" has been fixed by the great moral crusaders at at HMRC.
    Create problem - Provide solution - Profit!
    Old as the hills.

  5. #15

    Should post faster


    Join Date
    Jul 2011
    Posts
    189
    Thanks (Given)
    0
    Thanks (Received)
    1
    Likes (Given)
    0
    Likes (Received)
    0

    Default Will the roll this out in hte private sector too?

    Yes but is the article correct in what it says. If it is then not only public sector contractors are scuppered but private sector contractors will be too.

    "The report is going to recommend much stricter rules governing what is self-employment."

    "Perhaps they will allow contractors to continue contracting but through umbrella companies rather than PSCs."

    This is what is happening in the publci sector now. Why wouldn't it happen in 12 months in the private sector too?

    After all if the Government believe that a contractor earning 100,000 should pay the same tax and NI as a permie earning 100,000, why would they think this is fair that they pay the same tax in the public sector and not the private sector?

  6. #16

    Some things in Moderation

    cojak's Avatar
    Join Date
    Jul 2005
    Location
    Look to your right...
    Posts
    17,869
    Thanks (Given)
    465
    Thanks (Received)
    984
    Likes (Given)
    4077
    Likes (Received)
    2690

    Default

    Quote Originally Posted by Craic View Post
    Yes but is the article correct in what it says. If it is then not only public sector contractors are scuppered but private sector contractors will be too.

    "The report is going to recommend much stricter rules governing what is self-employment."

    "Perhaps they will allow contractors to continue contracting but through umbrella companies rather than PSCs."

    This is what is happening in the publci sector now. Why wouldn't it happen in 12 months in the private sector too?

    After all if the Government believe that a contractor earning 100,000 should pay the same tax and NI as a permie earning 100,000, why would they think this is fair that they pay the same tax in the public sector and not the private sector?
    Because the private sector is far more savvy, aggressive and has deeper pockets to challenge than the Public Sector?

  7. #17

    Super poster

    Fred Bloggs's Avatar
    Join Date
    Feb 2008
    Posts
    4,665
    Thanks (Given)
    11
    Thanks (Received)
    76
    Likes (Given)
    62
    Likes (Received)
    257

    Default

    Quote Originally Posted by cojak View Post
    Because the private sector is far more savvy, aggressive and has deeper pockets to challenge than the Public Sector?
    I wouldn't bank on that in every case in the private sector by any means. There is a significant and increasing trend for companies in the UK to win work and apart from project managing it in the UK, actually off shoring all the actual work. I am talking about oil and gas sector but it applies to a wide range of industries. In addition to that, another emerging trend that is sure to grow is that project hire roles are made on FTC rather than Ltd Co contractor basis. In my own office, right here there are four long term contracting guys engaged on FTC terms. They need to feed their families at the end of the day, you take what is going. In another office on the same project, there are considerably more too. I'm not saying the world as we know it will be changed overnight, but the direction of travel is clear I'm afraid.

  8. #18

    I live on CUK

    SueEllen's Avatar
    Join Date
    Nov 2005
    Location
    in the Park
    Posts
    26,929
    Thanks (Given)
    1259
    Thanks (Received)
    1027
    Likes (Given)
    4384
    Likes (Received)
    3940

    Default

    Quote Originally Posted by cojak View Post
    Because the private sector is far more savvy, aggressive and has deeper pockets to challenge than the Public Sector?
    ^^^This

    You forget the private sector isn't ruled by people who are afraid they won't get their promotion if they don't comply.
    "Youre just a bad memory who doesnt know when to go away" JR

  9. #19

    More time posting than coding


    Join Date
    Jun 2011
    Posts
    422
    Thanks (Given)
    1
    Thanks (Received)
    14
    Likes (Given)
    28
    Likes (Received)
    33

    Default

    Quote Originally Posted by Craic View Post
    After all if the Government believe that a contractor earning 100,000 should pay the same tax and NI as a permie earning 100,000, why would they think this is fair that they pay the same tax in the public sector and not the private sector?
    I guess "they" don't understand that a company would hire a contractor for an engagement and accept the 100,000 cost but wouldn't hire someone and pay them the same rate, it would be significantly lower to cover all the guff that goes with employing a permie.

  10. #20

    Godlike

    jamesbrown's Avatar
    Join Date
    Dec 2011
    Posts
    5,089
    Thanks (Given)
    63
    Thanks (Received)
    355
    Likes (Given)
    536
    Likes (Received)
    1584

    Default

    Quote Originally Posted by SueEllen View Post
    ^^^This

    You forget the private sector isn't ruled by people who are afraid they won't get their promotion if they don't comply.
    It really depends how they proceed post Taylor. If the PS rules are extended to the private sector, I tend to agree (although there will still be a large number of companies whose approach to risk/compliance will dictate caution). If they opt for a statutory definition of self employment (which I support, in principle, and see as increasingly likely in practice), there won't be nearly the same scope for fudging/subjectivity.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts

Content Relevant URLs by vBSEO 3.6.0 ©2011, Crawlability, Inc.