State of the Market

[agentzero]

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Like you I am disappointed in my new contract rate, but hey it is 10 - 12 month contract, which in this dire market I will take. I am losing £75 per day compared to earlier rate gig, so something like £15,000 per year (220 * £75), but hey it is an Outside IR35 too! On the same day of the verbal offer, suddenly I had interview requests for a well-paid Inside IR35 dev job a day north of £700 per day and I had asked the agency / consultancy if I could choose my umbrella, they said yes, I'd gone with Lucy's Clarity. However, I'd already crossed the line. Two trains came into the depot. Sod's law and all.
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Maybe have another think about that: https://forums.contractoruk.com/umbr...-going-on.html

[SchumiStars]

Right, just bought myself some B&W P8 S2 headphones and a holiday in KSA for me and the Mrs.

Getting out of London might be the ticket

Market is dead. Will always be dead from this point forward. There is no recovery. It will be an official 3yrs in March

Embrace the suck!

Today's plan:
1. Apply for jobs
2. Go cycling (25miles)
3. Lunch
4. Food shopping
5. Gym (back + squats)

[rocktronAMP]

So, irrespective of whoever did the SDS (still yet to see one), the client has provided assurance that the role has been determined as outside IR35 by a dedicated external legal time. So, in my mind, whether it's wrong or right, that gets me off the hook. There's nothing in the contract that would expose me to any liability if the assessment was wrong, so I've just accepted the contract.

As for offer 2, and the agent's ignorance, if that comes off as well, 'in some shape or form', then IR35 probably isn't an issue, in the sense of IR35 'reforms', because the client definitely falls within the definition of a small company per the Companies Act 2006 (until my friend the most wonderful Reeves abolishes that in tomorrow's budget - you never know).

My post was largely about the confusion surrounding IR35 and how little the 'engager' or recruitment people really do know on the subject.

As for offer 1, you still need the Status Determination Statement on your desk (or viewable PDF) from an independent assesser of your contract as the supplier for services-for-work. for example IR35 Shield. If you were uncertain about the actual legal contract, you'd still pay for a QDOS check. I am confused by your offer 1 as you put it regarding liability.

As for offer 2, it has nothing to do with IR35 whatsoever, but the Off-Payroll Worker Rules of 2020/2021 that apply to the private sector. The Small Company exemption applies to the criteria*

• Annual Turnover - less than £15 million
• Balance Sheet Total - less than £7.5 milllion
• Average Employee Count - 50

*The small company must be genuinely independent without a parent

So provided you can grab 2 of the 3 above from reputable sources then you are in luck. I'd screenshot all of the data as evidence, PDFs just in case.

Hey man if you have issues with offer 1, I'd jump immediately onto offer 2: Jumping Jack Flash - income is king (or queen)

For myself, I am chasing the consultancy for a SDS for my own sanity, they promised week ago to furnish this to me in good time. Good luck!

[rocktronAMP]

Maybe have another think about that: https://forums.contractoruk.com/umbr...-going-on.html

Oh shoot! That indeed is disappointing to read that thread: only time and other people's evidence will tell. Volatility sucks!

[Nothing to see here]

Maybe have another think about that: https://forums.contractoruk.com/umbr...-going-on.html

Can you explain how someone using Clarity would suffer as a result of the company being owned by a non UK organisation? Many, many fully compliant UK umbrella providers have foreign ownership.

[sadkingbilly]

Right, just bought myself some B&W P8 S2 headphones and a holiday in KSA for me and the Mrs.

a holiday?? in that medieval oppressive monarchy? - can you actually get a holiday visa (not a hadj visa)?

[jamesbrown]

Can you explain how someone using Clarity would suffer as a result of the company being owned by a non UK organisation? Many, many fully compliant UK umbrella providers have foreign ownership.

It's interesting that you have a user name of "Nothing to see here" and both of your two posts are about there being "nothing to see" w/r to this new ownership structure of Clarity. What is your connection to this?

Personally, I think umbrellas are doomed in the long run (as they should be - they will be seen as an anachronism of a particular period where tax and employment law interacted in very stupid ways) - but, in the short run, it can only be concerning for their employees that the ownership structure has changed and now appears to be decidedly less than perfectly transparent and straightforward.

[Nothing to see here]

It's interesting that you have a user name of "Nothing to see here" and both of your two posts are about there being "nothing to see" w/r to this new ownership structure of Clarity. What is your connection to this?

Personally, I think umbrellas are doomed in the long run (as they should be - they will be seen as an anachronism of a particular period where tax and employment law interacted in very stupid ways) - but, in the short run, it can only be concerning for their employees that the ownership structure has changed and now appears to be decidedly less than perfectly transparent and straightforward.

I'm afraid that there is actually nothing to see here. I don't have any connection to Lucy or Clarity other than having met her a few times over the years. I run another umbrella company (which is fully UK owned by the way).

What is interesting is that the changes in legislation coming down the line in April may have the unintended consequence of INCREASING the use of umbrella companies, especially by clients who currently directly engage contractors as it will mitigate some of the risk for them should an umbrella fail.

But as usual the devil will be in the detail when the Finance Act is published.

[jamesbrown]

I'm afraid that there is actually nothing to see here. I don't have any connection to Lucy or Clarity other than having met her a few times over the years. I run another umbrella company (which is fully UK owned by the way).

What is interesting is that the changes in legislation coming down the line in April may have the unintended consequence of INCREASING the use of umbrella companies, especially by clients who currently directly engage contractors as it will mitigate some of the risk for them should an umbrella fail.

But as usual the devil will be in the detail when the Finance Act is published.

Which umbrella company is that? No harm in being transparent...

The short-term is rather unpredictable, but umbrella companies are doomed in the long run because they are so highly contingent on a bizarre nexus of tax and employment law.

[Nothing to see here]

I'll keep my identity to myself at least for now. I have a habit of saying things that have been unpopular with competitors and I want to be able to continue doing that.