No-one can have failed to notice what’s been happing in the world of politics recently, and generally it’s considered to be ‘bad news’ to have this level of uncertainty around the future of the government and its ability to govern. But recent comments from the chief exec of IPSE put a different spin on things . . .
Caution will be king going forward
As Chief Executive of the Association of Independent Professionals and the Self Employed (IPSE), Chris Bryce is certainly someone who should be taken seriously. He believes that the somewhat ‘vulnerable’ state in which the Government has found itself could actually be positive for contractors going forward.
The theory is that the government will have to be more cautious, and will not be able to progress some of its more ambitious plans. For example, the NIC increase announced in the last Budget is not being pursued, and the planned changes to dividend tax may now also be parked.
IR35 and employment law changes
Bryce’s view is that the Government’s compromised position means it will need to take more notice of advice from organisations like IPSE – leading to a less ‘volatile legislative landscape’ over the coming months for contractors. He also feels that the Government will avoid rushing into any new legislation around employment issues while it focuses on Brexit.
As he puts it, “With the Government having its hands full with Brexit, I think it’s unlikely that it will rush to legislation. This is in part down to the fact that one of the first requirements is for the UK to disentangle itself from existing EU employment legislation and replace it with British employment legislation.”
In a final comment, Chris Bryce also added his views on the recent changes to IR35 in the public sector and how this may be affected in the private sector, stating that, “The Government will think very carefully about the whole implementation in the public sector, and think twice about moving it into the private sector.” Which would certainly be good news for private sector contractors who are already concerned about the potential implications.