The Official 2018 Budget DOOM thread

[pjt]

The other approach is to educate agencies by way of declining roles if they are unable to offer an IR35 friendly contract (or they start defaulting to requiring applicants to be permies via brolly or own payroll), who will then in turn educate clients that the contracts need to change if they are only attracting lower quality applicants, as all the proper contractors are more clued up on how to proceed.

From what I've seen the agents are already fully aware and making ng it clear to clients the cost inside ir35 will bring. Its the clients who have no idea about ir35.

[WordIsBond]

From what I've seen the agents are already fully aware and making ng it clear to clients the cost inside ir35 will bring. Its the clients who have no idea about ir35.

Of course they are. If they can convince clients to ratchet up the fees they pay for inside IR35 contracts, they get a bigger fee, since they are often on a percentage basis. It is to the agent's benefit to convince the clients they need to pay higher rates for inside IR35 contracts, so they'll be trying to do that. If contractors hold the line and don't just decide to eat the entire costs of being inside IR35, market forces will drive prices up on those inside contracts, and agents will be telling the clients that.

[Andy2]

Same here, I'm deemed outside by the client, in a long contract that will likely go on for years.

It's actually better this way as all liability falls to the client, not the contractor, bring it on for the private sector.


If you are required to purchase Liability insurance by the client you are defacto outside IR35. If they want to deem you inside you are not required to buy insurance which exposes the client.

95% of bums on seat contractors are inside ir35, thats a fact
Rest 5% will also be deemed inside ir35 by hmrc when investigated,
hmrc make the rules

[pjt]

95% of bums on seat contractors are inside ir35, thats a fact
Rest 5% will also be deemed inside ir35 by hmrc when investigated,
hmrc make the rules

That's not what's happening in the public sector at the moment.

[woohoo]

95% of bums on seat contractors are inside ir35, thats a fact
Rest 5% will also be deemed inside ir35 by hmrc when investigated,
hmrc make the rules

I’m impressed you managed to get your made up stats to add up to 100, well done you.

[TheScheduler]

As usual a strange and contrived load of rules from the HMRC. Only really here in the UK could we be contemplating such a mess. I'd imagine some agencies will be looking of their shoulders as contractors just pack it in. If there's no benefit contracting but all of the risk then nobody is going to do it.
What if I'm 1/2 way through my contract and my client becomes a medium business? With Brexit also in the air, I wouldn't be surprised if a good number of contractors head overseas.

[genius]

As usual a strange and contrived load of rules from the HMRC. Only really here in the UK could we be contemplating such a mess. I'd imagine some agencies will be looking of their shoulders as contractors just pack it in. If there's no benefit contracting but all of the risk then nobody is going to do it.
What if I'm 1/2 way through my contract and my client becomes a medium business? With Brexit also in the air, I wouldn't be surprised if a good number of contractors head overseas.

The country is lucky to have us! We are so valuable and extremely qualified, if anything we don't get paid enough! Am I right guys?!

[Hobosapien]

The country is lucky to have us! We are so valuable and extremely qualified, if anything we don't get paid enough! Am I right guys?!

Yep. If other nations were alert they'd offer us incentives to move abroad. Brain Drain 2.0.

[New Modeller Army]

The Way Forward?

I've been watching this thread with interest and was just wondering if anyone else is thinking the same as me?

Foot to the metal for the next 18 months and then take the entrepreneur's relief on what I've managed to accrue in my Ltd co. account.

I mean, if we are being forced to go through a brolly (and, who knows, we don't know how this will pan out) we will no longer have use for our Ltds? Or are we going to keep them for those rarer than hen's teeth gigs that have been declared outside IR35 with all the attendant admin and accountant's fees to keep them running?

Contingencies, contingencies.....

[New Modeller Army]

...and also - what about the accountants?

Surely they're going to be hit by all these PSCs winding up?


I'd have thought they'd have had enough collective clout to have lobbied the govt to prevent this mess