Ltd companies stopped ?

[Martin at NixonWilliams]

Do you think they've misunderstood the onshore employment intermediaries: false self-employment?

Yes, and they wouldn't be the first, although this is by far the most irrational reaction I have heard of!

[RasputinDude]

Are these guys members of the REC? If so, I would suggest contacting them and asking WTF the agency is playing at.

[Contreras]

The new government legislation has stopped applicants working as limited companies but we do have an umbrella company that might be of interest to you.

What does that mean, "stopped", exactly?

"Some of our contractors decided against forming their own Ltd Co's. There's also a nice kick back for me if you sign up to our umbrella partner."

[moggy]

Hi folks!

I have finished my last contract at the end of march'14 and have just started digging for a new one.

Yesterday received an email from my last recruitment agent saying:

The new government legislation has stopped applicants working as limited companies but we do have an umbrella company that might be of interest to you.

As i have been working through my ltd company for years, it is a bit shocking to find out.

Is this true? Any links? Topics on this forum?
I am sorry if this is common question, have just registered to this forum.

Many thanks!

Why does my old cynical mind immediately think the agency own an umbrella company..

[kal]

This is so banal that the agency does need to be named and shamed IMO... they shouldn't be in this business if that's their response to recent events.

[JonNorris@Crunch]

We've had a few panicked emails from clients who've been told similar things by agencies. Upon further inspection the agencies did seem to have rather cosy relationships with a few big umbrellas - I think it's safe to call shenanigans on the whole thing.

[padaka]

"They were trying to stop people just calling themselves limited companies when they were just trying to get out of paying tax etc. All of our temporary staff including yourself were all legitimately working as limited companies but some applicants and agencies were not as correct in their way of working as you and xxxxxxxxx (agency name) hence the legislation was brought in."

I am now trying to contact their source, to get more precise info what the mentioned legislation is

[mudskipper]

"They were trying to stop people just calling themselves limited companies when they were just trying to get out of paying tax etc. All of our temporary staff including yourself were all legitimately working as limited companies but some applicants and agencies were not as correct in their way of working as you and xxxxxxxxx (agency name) hence the legislation was brought in."

I am now trying to contact their source, to get more precise info what the mentioned legislation is

They're muppets.

[SpontaneousOrder]

They're probably just trying to make some cash by telling you porkies.
E.g. Hyphen @ BAML now try to get their contractors to use Giant. It makes them 60 or 70k a year, which doesn't sound like a huge amount - but it's a lot of extra revenue for not doing any work.

[northernladuk]

It makes them 60 or 70k a year, which doesn't sound like a huge amount - but it's a lot of extra revenue for not doing any work.

Sounds a lot like contracting to me.