IR35 Review: risk of incentivising non-compliance and harming workers

Filed under Press release

Tuesday, 07 January 2020

 

Today the Treasury announced that it has opened a review into the upcoming IR35 changes. It has also indicated that implementation will take place as planned on 6 April 2020, despite calls for a delay from businesses.

 

Neil Carberry, Chief Executive of the Recruitment and Employment Confederation, said:


“Pushing ahead with an approach to taxing contractors that is not fit-for-purpose will punish ethical businesses, incentivise non-compliance and harm workers. A review is the right call, and it’s good to see further opportunities for engagement have opened up. But it would make sense to delay the implementation date while a full, independent review takes place. Delaying will allow MPs to properly take stock of the impact the legislation will have, and to regulate non-compliant umbrella companies which could prosper under IR35 as it is currently conceived. Importantly a delay will afford businesses a more reasonable amount of time to prepare at a time when they are facing an unpredictable economy and major skills shortages.”

 

ENDS

 

For more information, contact the REC Press Office on 020 7009 2157, 020 7009 2192 or pressoffice@rec.uk.com


Click here to view all REC press releases. 

 

The REC is the voice of the recruitment industry, speaking up for great recruiters. We drive standards and empower recruitment businesses to build better futures for their candidates and themselves. We are champions of an industry which is fundamental to the strength of the UK economy. 


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