07. 11. 2022

IR35 Repeal Repealed!!!!!

It’s been a few weeks since I wrote a blog about the repeal of the off-payroll rules for IR35 (see original blog here) I have left it this long to write a follow-up just to be sure there are no more u-turns before I do. Clearly, there aren’t, the repeal of the repeal stands, and we are back to the old, flakey, poorly implemented off-payroll rules for both the public and private sectors. The vague and inaccurate CEST tool remains, the determination decision remains with the end client (except for SMEs in the private sector) and what really constitutes employment as a contractor is still not clear.

What needs to happen now is a full review of IR35, what is employment, and what is a contract role so all in the supply chain are clear where they stand. There must be no need for a user of contract resource to deem everyone inside the off-payroll rules simply due to the level of risk being unknown when doing otherwise (just look at the vast fines handed down to the government’s own departments – if they can’t get it right, then what hope do other organisations have?)

The speed of the u-turns following the Truss / Kwarteng mini budget were lightning fast, but I won’t hold my breath for seeing a review anytime soon. I just hope I am proved wrong.  

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