BBC: Tories pledge to scrap IR35 (in 2001)

[Petrolhead]

Promises, promises...

[Manic]

First of all, "if they win the election". That was the manifesto then.

Further interesting detail was this affected only 100k back then. Now the numbers are much higher and the trickle seems to have turned into a flood. No wonder HMRC want to plug it.

[thebone]

First of all, "if they win the election". That was the manifesto then.

Further interesting detail was this affected only 100k back then. Now the numbers are much higher and the trickle seems to have turned into a flood. No wonder HMRC want to plug it.

That's 20 years off outsourcing and offshoring for you. Large proportion probably forced independent rather than choosing.

[BoredBloke]

First of all, "if they win the election". That was the manifesto then.

Further interesting detail was this affected only 100k back then. Now the numbers are much higher and the trickle seems to have turned into a flood. No wonder HMRC want to plug it.

The original IR35 was sold as an attempt to stop employers forcing their employees out of employment into self employment - that's where the Friday to Monday line came from. I don't think I have ever seen the case where an employee leaves a company on Friday to return as self employed on a Monday. That's hardly worked and with the new rules, IR35 could actually increase this. Why would any company employ a permie on a role and fork out for their employers NI, all the perm benefits and employee protections, when for 1 simple fee per day they can 'employ' that person under IR35, via an umbrella. Under an umbrella they can impose furloughs when they want, rate cuts and drop them with no notice period. Only an idiot would take on a permie these days

[TwoWolves]

That's 20 years off outsourcing and offshoring for you. Large proportion probably forced independent rather than choosing.

Rates have been very near flat for 20 years thanks to this, worst of all the Labour party under Blair incentivised it all.

The original IR35 was sold as an attempt to stop employers forcing their employees out of employment into self employment - that's where the Friday to Monday line came from. I don't think I have ever seen the case where an employee leaves a company on Friday to return as self employed on a Monday. That's hardly worked and with the new rules, IR35 could actually increase this. Why would any company employ a permie on a role and fork out for their employers NI, all the perm benefits and employee protections, when for 1 simple fee per day they can 'employ' that person under IR35, via an umbrella. Under an umbrella they can impose furloughs when they want, rate cuts and drop them with no notice period. Only an idiot would take on a permie these days

This is exactly what I expect the future to hold. HMRC have actually made the situation they claim to wanting to address far worse, that's the genius of civil servants for you. Shouldn't be let within a mile of economic decisions but parliament seems to have abdicated it's responsibilities.

[ladymuck]

...I don't think I have ever seen the case where an employee leaves a company on Friday to return as self employed on a Monday...

I worked for a company in the late 1990's where people did that with some frequency, in order to earn more cash

[sal]

The original IR35 was sold as an attempt to stop employers forcing their employees out of employment into self employment - that's where the Friday to Monday line came from. I don't think I have ever seen the case where an employee leaves a company on Friday to return as self employed on a Monday. That's hardly worked and with the new rules, IR35 could actually increase this. Why would any company employ a permie on a role and fork out for their employers NI, all the perm benefits and employee protections, when for 1 simple fee per day they can 'employ' that person under IR35, via an umbrella. Under an umbrella they can impose furloughs when they want, rate cuts and drop them with no notice period. Only an idiot would take on a permie these days

I thought it's exactly what happened in BBC

[portseven]

Promises, promises...