Financial IT contractors benefit from improvements in financial sector hiring
Financial IT contractor prospects could be looking up following a hiring increase in London’s financial sector during the first quarter of 2013. Although March’s Morgan McKinley London Employment Monitor shows the number of vacancies decreasing when compared to the previous month, overall demand for workers in the sector seems to be trending upwards. The UK’s financial sector is the second largest consumer of IT contractor services. More...
Professional, scientific and technical contractors see most contract creation
Contractors working in professional, scientific and technical disciplines, such as IT and engineering, are benefiting the most from new job and contract creation in the UK. The Confederation of British Industry (CBI) and ManpowerGroup’s Labour Market Update also shows that, between the third and fourth quarters of 2012, manufacturing and construction are doing less well, with opportunities in both sectors declining. More workers are returning to the UK labour market, so contractors may experience greater competition for some assignments. More...
Contractors should no longer be branded ‘atypical’ in labour market surveys, say experts
Contractors deserve greater recognition in the form of a separate and dedicated category in labour market surveys, say experts. In response to an International Labour Organisation survey branding contractors as ‘atypical’ workers, Professor Patricia Leighton said: “Not only is ‘atypical’ a dated description, but I would challenge its statistical relevance, as in many European economies permanent full-time employees are in the minority, outnumbered by workers in ‘atypical’ forms of work!” PCG’s Simon McVicker added: “We continue to lobby for recognition of independent professionals across Europe”. More...
Contractors can now access the latest guidance on the General Anti-Abuse Rule
Contractors can download the latest approved guidance on the General Anti-Abuse Rule (GAAR) from the HMRC website. Effective from 15th April 2013, the guidance is intended to explain what GAAR is and how it is intended to operate. The guidance is particularly important for contractors when understanding how the new rules will apply to them. This is because the guidance is fundamental to how the legislation will be applied in practice, as according to HMRC its “function as an aid to the interpretation and application is explicitly recognised by the GAAR legislation”. More...
Contractor prospects buoyed by boost in finance director confidence
Contractors look set to benefit from a significant boost in confidence of the chief financial officers (CFOs) of the UK’s largest companies, who are showing a greater appetite for risk taking. The latest Deloitte CFO survey, which features a panel of 300 CFOs from FTSE 350 companies, shows “a sharp fall in uncertainty” and “less emphasis on cost cutting and cash”. The result is likely to be increased investment, while projects which have been postponed may be restarted, requiring increased numbers of contractors. More...
Limited company contractors unaffected by latest twist in PA Holdings case
Limited company contractors are unlikely to have their dividend payments challenged by HMRC following the latest twist in the PA Holdings case. According to AccountingWeb’s John Stokdyk, the company has decided not to appeal to the Supreme Court against a Court of Appeal Ruling, which confirmed that dividends paid to employees via certain kinds of share plans are liable to National Insurance Contributions (NICs). Baker Tilly tax partner David Heaton told Stokdyk “that he had been advised by HMRC that there would be no policy change on owner-managed companies”, such as contractor limited companies. More...
Marketing contractors facing “brighter outlook” as 2013 progresses
Marketing contractors are experiencing “fractional increases in marketing budgets” during the first quarter of 2013, with those in the internet, PR and market research sectors benefiting the most. The latest Institute of Practitioners in Advertising (IPA) Bellwether Report also highlights that company financial prospects are the highest for a year and “plans for the 2013/2014 marketing budgets at the highest in two years”. Disappointingly for marketers, the report predicts overall marketing spend to fall by 0.3% during 2013. Conversely, in 2014, budgets are forecast to increase by 2.3%. More...
Contractor numbers fall marginally overall, but full-time workers fall sharply
Contractor numbers may have fallen marginally in the period between December and February 2013, but the headline figures mask big shifts between full and part-time worker numbers. The latest Labour Market Statistics from the Office for National Statistics show that total self-employment fell by 1,000, from 4,205 in September to November 2012, to 4,204 during December to February 2013. Over the same period, full-time self-employed numbers fell by 11,000, with part-timers increasing by 9,000 [note figures do not total exactly due to rounding]. Alongside an overall fall in the economically inactive, these figures could mean workers are returning to the labour market after a break or seeking part-time self-employment whilst looking for full-time work. More...
Construction contractors with clients in the commercial sector see solid expansion
Contractors working on or targeting assignments in the UK’s commercial construction sector could see a stream of new contracts and renewals. Savills Commercial Development Activity report for March shows that “private commercial development activity rose at the fastest pace in four months”. Private sector clients are also predicting higher levels of activity in the coming quarter. In contrast, public sector work has contracted sharply, reflecting ongoing austerity measures implemented by local and central government. More...
Contractor numbers hiding funds offshore are overestimated, claims IOM minister
The number of contractors with cash hidden in offshore accounts in the Isle of Man (IOM) and other Crown Dependencies, such as the Channel Islands, has been “wildly overestimated”. This is according to IOM Treasury Minister Eddie Teare, quoted in a report by BBC News. The UK government has signed new tax-sharing agreements with all Crown Dependencies. They allow HMRC to target tax evaders with undeclared offshore accounts. Contractors have until 2016 to disclose funds held offshore and pay any tax owed, or face investigation and criminal proceedings. More...