In the Autumn Statement George Osborne stated that HMRC would be asked to target those that are falsely classed as being self-employed. The Government has clarified what it meant by this and said that it will not be aiming at legitimate contractors who use a Limited Company to trade through but is purely focused on large organisations who move a large group of employees to being self-employed when they should be employees;
“We wanted to clarify that the measures are targeting mass-marketed schemes, where workers can be moved en-masse into self-employment, even though they should be employed. Often the workers are low-paid and unaware that they are being engaged on a self-employed basis until they try to claim employment rights. The measure is designed to stop this from happening.”
The government has stated that it values the huge contribution that freelance contractors bring to the UK economy and this targeted measure is not aimed at them.
As always if you have any questions regarding the Autumn Statement then please do contact us.