Outside IR35 rates coming down

[rawly]

Supply and demand.

Pimp will know that they can sell their bods in on an outside gig for £100 a day less to those that have to travel so that they can still take advantage of expenses. If I could guarantee ten out of twelve months per year for 15 years of Inside IR35 contracting in Manchester city centre at a reasonable rate, I'd do it but life isn't as simple as that. I couldn't afford to take an Inside IR35 gig in London for what a local could. Minimum £86 return on the train, £10 round trip to the station and back, four nights at £50 in a basic hotel/B&B, London-priced food and drink, etc. IF client wants you there first thing on a Monday, add an extra night of hotel stay or ramp up travel to match peak ticket prices.

This. Same situation which people often overlook. A lot of my work is based out of London. I am currently lucky enough to be able to remote so I’m only on site 40% of the time at the moment, and actually this for other reasons too, but my expenses are still a fair whack of my turnover. 20-30% depending on the time I have to spend in London. I could never compete Inside IR35 and commute from Manchester if that was to occur.

[Unother]

Same situation. The tax pill is large and bitter but not so hard to swallow. The expenses change is the unfairest part.

If demand for us itinerants did not exist we would not be there. My current way of life has been literally destroyed overnight.

[northernladuk]

Same situation. The tax pill is large and bitter but not so hard to swallow. The expenses change is the unfairest part.

If demand for us itinerants did not exist we would not be there. My current way of life has been literally destroyed overnight.

It's only there because it became the standard way to recruit a perm, not because clients needed highly skilled people to provide services they didn't have in house.
Look at large companies with some areas of the business staffed by 80%+ contractors. That's a load of temp perms, not suppliers delivering outcomes the client can't.

[Paralytic]

My current way of life has been literally destroyed overnight.

You should send that to the House of Lords committee!

Contractors, now’s your final time to tell the Lords about IR35 reform

[eek]

You should send that to the House of Lords committee!

Contractors, now’s your final time to tell the Lords about IR35 reform

He could have done but the deadline was midnight on Tuesday.

[northernladuk]

If demand for us itinerants did not exist we would not be there. My current way of life has been literally destroyed overnight.

Bit dramatic that isn't it? This hit the public sector two years ago and everyone that had half a clue knew it was coming. It's also been on the radar a few years as its been delayed once. We have known its coming for sure for 8 months or so so there has been plenty of time to prepare. I'd hardly call that overnight.

There are also still outside gigs if you are good enough and you are only loosing 30% at worst and that's just per gig. Next one might be outside

I'd say if this does destroy your way of life overnight then the real problem is much closer to home.

[Disguised Contractor]

Bit dramatic that isn't it? This hit the public sector two years ago and everyone that had half a clue knew it was coming. It's also been on the radar a few years as its been delayed once. We have known its coming for sure for 8 months or so so there has been plenty of time to prepare. I'd hardly call that overnight.

In fairness, we've only known that the client base would so universally band together to blanket ban Outside-IR35 or PSCs entirely, over the last few weeks.

[eek]

In fairness, we've only known that the client base would so universally band together to blanket ban Outside-IR35 or PSCs entirely, over the last few weeks.

Really, for some of us that was obvious 20 years ago - the last time HMRC suggested clients take responsibility.

My current work is 4+ years in the making for the very sane reason that the current clusterf*** was unavoidable.

[PerfectStorm]

You should send that to the House of Lords committee!

Contractors, now’s your final time to tell the Lords about IR35 reform

As most contractors are aware, the Lords Finance Bill Sub-Committee was appointed on January 21st, and on February 5th they opened a call for written evidence. The deadline for submissions is 23.59 today, Tuesday February 25th.

Not sure I or any contractors I know were 'aware'...

[Disguised Contractor]

Thousands of people leaving or about to leave private sector contracts voluntarily or otherwise due to the impending IR35 changes, the market is dead as a dodo so anyone offering a contract can pick & choose and cut their costs accordingly.

I'm not so sure about this - I'm sure many will *say* that, and be actively looking for a replacement gig, and I know all about it being reportedly a big red flag to HMRC about continuing in an inside-IR35 role post-April which was previously outside-IR35, but only a true idiot would leave a role where money was coming in to jump into a market where clearly anarchy is reigning and roles are rare for anybody. I know I wouldn't - pragmatically, I'd make sure I was at least in a position where money was coming in, as I would have no idea of where my next paycheck would be coming from.

Within the year I think it'll all shake out, there'll be more clarity so the market will perk back up and rates should also come back up.

I hope

Realistically, who has the funds to have a year off? I, for one, do not. I have an emergency kitty like anyone else, but I'd be stupid to wait until it was low before evaluating the market.

No, I'm going for whatever I can, right now, and taking whatever the market is prepared to offer me. Make money while the sun shines, however brightly or not.

I suspect I'm not the only one.