The announcement by Kwasi Kwarteng to repeal IR35 rules in his mini budget, has caused a huge stir in the world of self-employed contractors and businesses alike.
“Ever since these onerous rules were introduced, they have caused major shift in the self-employed market and have proved to be a very expensive headache for businesses. Some HR departments invested heavily to ensure compliance of their contractors, while others just stopped hiring contractors altogether.
Placing responsibility of assessing IR35 status of a contractor with the business only demonstrated over and over again that it did not work. The Governments own CEST tool could not do the job properly and people have been calling for drastic action ever since.”
“It’s a very promising move, not just for contractors, but for businesses as well. HR decision makers can be confident in engaging with contractors once again. Overall, it’s good news for contractors, good news for the market as a whole and good news for businesses as they will be able to find and attract the talent, they have been missing for some time now.”
Until the Government releases the full details, everything will stay the same until April 2023, when responsibility will revert back to the contractor. All parts of the supply chain need to continue doing their due diligence with respects to IR35.
https://go.kingsbridge.co.uk/cta-ir-w1-pr-video
