Despite numerous rumours to the contrary over the past few weeks, professional contractors broadly came out of the 2015 Autumn Statement unscathed (for now at least). Recent reports from HM Treasury had suggested that contractors would no longer be able to work for a single client for an uncapped period and would have to move onto the payroll after one month, but no mention was made of this in the Chancellor’s speech or in the ‘blue book’ released immediately afterwards.
It seems likely that any proposals for changes to IR35 legislation will be pushed back to April 2017. A press release from APSCo, circulated shortly after the conclusion of the Autumn Statement, stated: “It appears that, following the overwhelming negative response from business as a whole and a rigorous press and lobbying campaign by APSCo, the Government has chosen to think more carefully about the unintended consequences of the proposals.”
Samantha Hurley, Head of External Relations and Compliance at APSCo, followed up by saying:
“Of course, the lack of an announcement in the Autumn Statement doesn’t mean that the Government won’t go forward with this proposal in the future, but it does almost certainly mean that it won’t come into effect in April, 2016, which is what we feared.”