IPSE: new research 'lifts the lid' on IR35 business fears

Posted On: 
13th November 2019

IPSE (the Association of Independent Professionals and the Self-Employed) has responded to new research by Robert Half UK, warning that it shows the extent of business anxiety about the changes to IR35 due in April 2020.

The research shows that three out of five (62%) medium and large private sector businesses are concerned about missing out on skilled contractors when the changes are introduced. 42 per cent are also worried about losing their current freelancers if they cannot renegotiate their contracts in time.  

Andy Chamberlain, Deputy Director of Policy at IPSE (the Association of Independent Professionals and the Self-Employed) said: “This survey lifts the lid on just how worried UK businesses are about the IR35 changes. Ever since the changes were announced, IPSE has warned they will significantly restrict the supply of flexible labour to businesses that rely on it.

“The lessons from the public sector, where these rules have been in place since 2017, are clear to see. Hirers have found it extremely difficult to balance IR35 compliance with retaining and attracting vital specialist resource.

“The next government must, as a matter of urgency, hit the pause button on this legislation, which will be damaging not just to freelance contractors and the businesses they work with, but to the UK economy as a whole.”