Contractors feeling under fire from the Government

The majority of contractors feel unfairly targeted by the Government, according to a new survey.

New research from contractor specialists Contracting Scout has found that contractors are feeling under increased pressure from the Government. Their Contractor Confidence survey found 60% of respondents think the Government is discouraging contractors and would prefer them to become permanent employees. Only 8% think the Government values contractors as an important part of the workforce.

It also revealed that contractors feel more appreciated by the business sector, with 46% feeling that they’re valued as an important part of the workforce. However, 18% still think the business sector discourages contracting.

When it comes to looking for their next role, the most popular route for contractors is to use a recruiter, with 40% opting for this method. Thirty per cent (30%) choose to use jobs boards, and just over a quarter (26%) rely on their own network of contacts.

Will Ryles, Head of Recruitment at Contracting Scout, commented: “Recruiters remain an ever-popular way for contractors to find their next role and this is what recruiters should be concentrating on as that’s where they add value and generate their fees.”

He continued: “The Autumn Statement is expected to reveal further details of the proposed changes to IR35 in the public sector. Contractors have enough to deal with without constant tax changes. There seems little appreciation for the fact that contractors provide flexibility and specialist skills that businesses and the public sector would not otherwise be able to access.

“However, if the proposed changes to the intermediaries legislation in the public sector go through in the current form, recruiters, along with the public sector body and other third parties paying the contractor, will bear responsibility for ensuring the contractor does not fall under IR35. It doesn’t make sense for the government to impose strict legislation on the people who can play a significant role in helping contractors drive economic growth in the UK.”