IR35 in The Telegraph
It’s not often you see anything about IR35 in The Telegraph but it’s in today. It’s about time it was in the mainstream media.
Twenty years ago the media were all over the Millennium Bug. That proved to be a damp squib. However, the IR35 changes will cause more widespread devastation to both the flexible workforce market and to all of the UK’s top companies. Yet the mainstream media are largely ignoring it.
Contractor Questions on IR35 in The Telegraph
- What do REC and IPSE want the Chancellor to do about the IR35 changes?
- How will the IR35 changes affect contractors and the flexible workforce?
- What will UK contractors do about the IR35 changes forced on them?
- So, what will the UK’s top companies lose when their contractors leave them?
- What effect will the IR35 changes have on the UK’s top companies?
What do REC and IPSE want the Chancellor to do about the IR35 changes
According to the the report about IR35 in The Telegraph, agencies representatives, REC, and freelancers representatives, IPSE, are calling for Chancellor Rishi Sunak to immediately suspend the IR35 changes. These are due in April 6th 2020.
Said The Telegraph “Businesses are planning to cut off contractors or delay work while a third of self-employed workers will stop freelancing amid widespread confusion over complying with the new IR35 rules.”
According to the report about IR35 in The Telegraph both REC and IPSE want the Chancellor to stop the IR35 changes and engage with businesses about how best to implement the changes.
How will the IR35 changes affect contractors and the flexible workforce
This is going to be devastating to the flexible workforce market. Already some contractors have decided to retire early. Others are looking abroad for contract work there where the IR35 rules won’t apply.
Yet other contractors are prepared to sit this out at home for a while hoping that the market comes to its senses. It has been devastating for contractor morale.
What will UK contractors do about the IR35 changes forced on them
Half of all contractors say that they will only take contracts that are outside of IR35.
As many of the UK’s top companies, including all of the top banks, are blanket banning the use of contractors who operate via personal services companies, this means that all of the UK’s top companies will suffer severe delays to all their important IT projects.
This will put them at a severe disadvantage to their foreign competitors. It may also mean that they cannot get crucial regulatory systems in place in time. That could cost them massive fines which will hit their profitability.
So, what will the UK’s top companies lose when their contractors leave them
When our top companies lose may of their contractors they will lose their skills and experience. They will also lose the business and systems knowledge that those contractors have picked up while at the company.
With many contractors planning to work abroad, those companies may find that their foreign rivals have picked up that business and systems knowledge by hiring those UK contractors.
With news of IR35 in The Telegraph it is to be hoped that the IR35 changes become a mainstream media issue.
IR35 in The Telegraph – What effect will the IR35 changes have on the UK’s top companies
Otherwise permanent damage may be done to the flexible workforce and the UK freelancing market. Also, the IR35 changes could make UK companies less competitive against their foreign rivals.
This could even cause a downturn in the UK economy compared to European economies.
And you know what any downturn in the economy will be blamed on Boris Johnson and Nishi Sunak?
Yes, that’s right – Brexit!
So, it is time to save yourselves and your reputations by suspending the implementation of the IR35 changes.
See IR35 in the Telegraph article Rishi Sunak Urged to Suspend IR35 Tax Changes.
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