IT is still one of the biggest-expanding sectors in the UK economy. There are over 1.5 million jobs in the UK digital sector and 2.2 million in the wider digital economy. A recent study by recruitment body APSCo found that IT professionals were the most sought-after workers in 2018, with demand for these roles increasing 28% year-on-year. With specialist IT skills highly sought-after across a range of sectors, a good geographical spread of jobs, and digitisation and digital security becoming a priority for all types of business, it’s no wonder that so many IT professionals are choosing to become contractors and freelancers. Here we take a look at the skills that are most in demand from IT freelancers this year. If you have expertise in one of these areas, this could be the ideal time to go it alone.
Every contractor wants to keep their business outgoings to a minimum. When you’re looking to reduce your business spending, it can be tempting to cut away at expenses that seem extraneous to your requirements: a business telephone contract that you’ve never used, expensive professional software licences when a free program works just as well, memberships of professional bodies where you don’t use any of the benefits. But there’s one contractor cost that should never be cut – business insurance.
It’s true that you may never claim on your insurance. But there are many risks to operating without proper business insurance in place, from the small to the serious. Even without the need to make a claim, insurance is working for you every day, helping you to secure clients, meet the requirements of contracts and as an IR35 indicator. In the event that things go wrong in the course of business, or you encounter an unhappy client or third party, insurance becomes even more crucial to protect your livelihood, mental health and even your home. This blog looks at the escalating risks of not having proper business insurance in place if you are working as a contractor.
Although (like everything else) it might have been a bit overshadowed by Brexit, there was good news for contractors and freelancers buried in the Chancellor’s Spring Statement last month – a crackdown on late payments. It’s a scenario that will be familiar to almost every contractor and freelancer; the tiresome and often worrying time spent waiting and chasing for payment of invoices that are well overdue.
For any contractor who has previously been in traditional employment, you probably didn’t think that much about what would happen if you got injured at work. Or, if you did, you’d have found that your employer would have significant responsibilities towards you in the event of an accident in the workplace. As a bare minimum employees are guaranteed £92.05 per week Statutory Sick Pay, payable for up to 28 weeks, if they are too ill to work. Many employment contracts offer enhanced sickness benefits on top of this. And, of course, while at work, your employer is liable for your safety, so if they have been negligent you may be able to make a claim for personal injury compensation against them. Industrial Injuries Disablement Benefit also exists to support those employees who become ill or are disabled because of an accident or disease at work.
The issue of Statement of Work (SoW) contracts, and the rise in requests that many recruiters are seeing from their clients, is one that has been a point of discussion for some time.
In fact, at our recent Industry Insight event, the Q&A section was dominated by questions to the panel around SoW. You can read more about the event as a whole here, but this blog will focus purely on SoW contracts – what are they, do they work, and what you should say to a contractor who wants to go down that route?
We’ve already spoken about the steps self-employed workers should take in order to make the process of getting a mortgage simpler and easier. But it may well be the case that you’re so focused on getting over the first hurdle that you forget what’s just behind it.
That’s why we’ve teamed up with the good people at CMME again – this time to take a look at the fees involved in the mortgage process. Whether you’re a first time buyer with no idea of what’s ahead or a seasoned pro getting ready for another round, this post will serve as a good indicator of what to expect.
Before we begin it’s worth noting that it is possible to add some of these costs to your mortgage, but many individuals choose to pay them upfront. Regardless of which scenario works best for you, here are the fees you can expect:
Read on below for a guest post from our good friends at contractor mortgage specialists CMME:
Becoming self-employed isn’t always for everyone. It’s a decision that can have consequences. You may feel alone in your journey when it comes to financial advice, especially when your high street bank doesn’t understand the way in which you work when applying for a mortgage – something that can hinder your opportunity.
It’s a common myth that the self-employed will be declined a mortgage or would need to have been self-employed for 2 to 3 years. This isn’t necessarily true and, with support and guidance from the right specialist mortgage broker, you could get a mortgage that reflects your true earnings.
Whether you’re a first-time buyer or a professional looking to re-mortgage, CMME have created this helpful guide outlining everything self-employed people need to know about getting a mortgage.
In recent years, the Spring Statement and Autumn Budget have delivered a series of blows to the contracting community. From IR35 reform to the failed attempt to raise NIC payments, the Chancellor’s announcements have had many self-employed workers hiding behind the sofa.
It was with some relief, then, that other more pressing issues (see: Brexit) meant that this year’s Spring Statement seemed very likely to be a quiet one. As expected, that was the case.
It is generally well understood that contractors owe a duty of care to the clients they are working for. What sometimes gets lost, however, is the duty of care that recruiters owe to the contractors they place.
The role of the modern recruiter extends well beyond simply finding the right placement for the contractors they look after. To summarise in a sentence: the role of consultancies is to make sure that their contractors are well-informed.
Whether it’s advice and guidance on IR35 legislation or a helping hand with contract management, the role of today’s recruiter is multi-faceted. Firstly, the recruiter must ensure that the contractor holds sufficient levels of insurance, in line with their contract and the requirements of their job role.
A little quicker off the mark than many had anticipated, HMRC have published the consultation document ‘Off-payroll working rules from April 2020‘ which will run for 85 days, closing on 28th May 2019.
Ostensibly, the off-payroll rules will mirror those currently in place for the public sector but with some tweaks. This is because the government acknowledges that the needs of private sector organisations are different to those in the public sector, and that the range of activities carried out are much more diverse.
The extension of the existing rules to cover independent contractor usage is due to begin on 6th April 2020, with the consultation making it clear that the public sector rules will serve as the starting point when the private sector rollout begins. This consultation period is intended to gather comments from stakeholders on the proposals put forward by HMRC. Here’s what you need to know.