IR35 Repeal - Plans now scrapped!
Here we go again....
Did you cheer following the September 2022 Mini Budget news that IR35 would be repealed from April 2023? We did too!
The prospect of freelancers being able to go back to determining their own freelance status, instead of many being burdened by the blanket “inside IR35”, really did put a big smile on our faces. We’ve been excited for more freelancer opportunities being available again from this point forward, and a boost for all contractors out there.
Our bubble has now sadly been burst with the new Chancellor, Jeremy Hunt, confirming on 17th October that these planned changes will no longer be going ahead. With the government changing their mind on matters so frequently these days, it’s pretty hard to keep up!
We’re sure there'll be plenty of swearing going on around the country from both contractors and employers after hearing this news. To be honest, we also swore here in the office, not only because of the impact of this news, but also because we’d initially written a lovely article about whether we believed the repeal was going to go ahead or not…we were obviously right to question it!
On the upside of this rapid U-turn, it means that the time and money that businesses spent on preparing for the original changes will at least not have been wasted (even though a reversal would probably have reduced overall business costs…). Hopefully little time will have been wasted in any preparations already made towards the repeal as well.
The lesson to be learnt here….maybe wait a while before imposing any changes announced by the government for the time being!
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