Their report revealed that more than a quarter (27%) of employers are planning to increase the number of agency workers they employ in the short term. Added to this over half of them (57%) aim to keep temporary staff levels around the same. In the long term the figures are similar, with 22% planning to increase and 65% looking to keep levels the same.

REC Director of Research Roger Tweedy said that this caution and “wait and see” approach was likely to be linked to the economic concerns in the Eurozone, but that confidence and hiring intentions will rise over the course of the year. He continued;

“The outlook for temporary staff remains encouraging despite the Agency Worker Regulations (AWR) now being in force. Since October, 65 per cent of employers have not made any changes to their use of agency workers following AWR implementation.”

“The data also shows that the vast majority of businesses plan to maintain or increase their use of temporary staff which indicates that flexible working options will continue to provide an important outlet for employers and job-seekers.”

ICS work with a team of experts in employment and tax law to ensure our services are fully compliant with existing IR35 legislation and the latest government regulations, such as the AWR. You can contact us now for a tailored proposal based on your individual circumstances as a contractor.

Whilst they admitted that there was a slight fall in temporary jobs at end of last year, this is more likely to be attributed to the poor state of the economy rather than the impact of the AWR. They did however highlight the issues that recruiters are facing with some end clients, and have said that they will continue to address this.

REC’s Director of Policy Tom Hadley said; “It is now over 100 days since the AWR came into force. Despite the slight dip in the number of placements highlighted in last month’s Report on Jobs, overall demand remains strong. Temporary and contract staff will continue to provide employers with a key means of bringing in the right skills at the right time.”

He continued saying; “The feedback from recruiters is mixed and varies from sector to sector. There is no doubt that the regulations have created significant cost and resourcing implications for the industry but the priority has been to reassure client organisations over the ongoing viability and benefits of using agency staff.”

The chairman of REC Healthcare, Andrew Horner, has also backed the vital role that agency staff play within the NHS. He said that as well as providing a pivotal role in delivering services, they also provide a cost effective approach. He said that “portraying agency spend as a waste is not only wide of the mark, it is also hugely disrespectful to the individual temporary workers who perform crucial front-line roles and make a significant contribution.”

ICS work with a team of experts in employment and tax law to ensure our services are fully compliant with existing IR35 legislation and the latest government regulations, such as the AWR. You can contact us now for a tailored proposal based on your individual circumstances as a contractor.

After early optimism regarding IT spending at the start of last year, predictions from IT analyst Gartner suggest that 2012 will be even bigger, with many firms investing a lot into IT in order to stimulate growth.

Gartner have predicted that IT spending will increase by 3.7%  to £2.45 trillion worldwide, however this was slightly lower than their initial prediction of a 4.6% increase, due to factors such as the Eurozone crisis and the general slow economic growth worldwide.

This rising level of spending has led more UK workers to become self employed to take advantage of the contract IT jobs that are expected as a result. Recruitment companies are already reporting an increase in availability of technical jobs, in areas including software development. Leading recruitment body, the REC, also reported rising trends in IT jobs in their latest report on jobs.

ICS are one of the leading contractor accountants and administration companies and have helped thousands of contractors working in a range of industry sectors. You can contact us now for a tailored proposal based on your individual circumstances as a contractor.

The UK subsidiary of the firm owns the Coryton oil refinery in Essex. Owned and operated by Petroplus Refining and Marketing Limited, the oil refinery employs around 500 staff and 350 contractors.

It supplies about 20% of fuel for London and the South East. There is already concern that there could be a fuel shortage in the South East due to this closure but speaking to the BBC, BP say; “There are no immediate supply issues across our network.”

Petroplus chief executive Jean-Paul Vettier commented;

“We have worked hard to avoid this outcome, but were ultimately not able to come to an agreement with our lenders to resolve these issues given the very tight and difficult European credit and refining markets. We are fully aware of the impact that this will have on our workforce, their families and the communities where we have operated our businesses.”

A group of European parliamentarians have met to discuss various options available to help save jobs at Petroplus. The company have facilities in France, Germany, Belgium, Switzerland and the UK.

Reed paid 500,000 temporary workers between 1998 and 2006 daily payments which covered lunch, up to £6, and commuting, up to £11.45. They were meant to be part of a salary sacrifice agreement but it has appeared that no real arrangement was in place for the six 12-month periods to 2006.

Reported by the Daily Mail, the tribunal judges conceded that Reed would be unable to reclaim the £158million in tax and National Insurance from the temporary workers, who were the ones who should have paid it.

A spokesman for Reed said the company was ‘extremely disappointed’ with the decision and that it disputed the figure of £158 million, saying it would appeal.

Despite some fluctuation in contractor jobs over the last few months, there has been a growing number of people preferring the freelance or self employed option. John Philpott, advisor at the Chartered Institute of Personnel and Development (CIPD), claimed that many workers may prefer this route due to not being able to find permanent employment. However, a leading contractor group believes that the UK’s flexible workforce is key to economic recovery.

Stuart Davis, chairman of the Freelancer and Contractor Services Association (FCSA), said that because of the economic conditions the way people work is changing and therefore “the flexible workforce will increase and become even more diverse.” He believes that this means that government need to do more to support this workforce, continuing;

“It is therefore more important than ever for the Government to create a diverse legislative framework with a ‘basket’ of supports, encouragements and protections to appropriately support the wide spectrum of workers which make up the flexible workforce. This way, we can enhance the significant contribution the flexible workforce is already making to the country’s economic recovery.”

ICS are one of the leading contractor accountants and administration companies and have helped thousands of contractors working in a range of industry sectors. You can contact us now for a tailored proposal based on your individual circumstances as a contractor.

HMRC met with regular member of the forum on January 11th in order to have detailed discussions about the administrational plans for IR35 and the current ideas for the planned business test. A spokesperson confirmed that “following working groups with the external stakeholders, we felt that there was more work to do prior to holding another full Forum meeting”, which led to the postponement.

One of the groups involved in the IR35 Forum, the REC, spoke about the discussions in the November IR35 Forum meeting , which included issues surrounding this tiered business test. They believe that this would help to sift out lower risk IR35 cases and give contractors clarity on their self employed status.

Whilst they also confirmed that progress on the business test required further discussions with HMRC, their representative on the IR35 Forum, Gillian Econopouly, spoke positively of the role of the group. She commented;

“Being involved in the IR35 Forum has provided a unique platform for taking forward the views and recommendations of recruiters in sectors such as technology, engineering and interim management. Whilst the discussions are taking time, we are working hard to establish common ground with HMRC and remain confident that we can help deliver genuine simplification for recruiters and the contractors they place.”

ICS work with a team of experts in employment and tax law to ensure our services are fully compliant with existing IR35 legislation and the latest government regulations, such as the AWR. You can contact us now for a tailored proposal based on your individual circumstances as a contractor

In an official statement HMRC said that following consultation with representative bodies, they have started a detailed review of the BRC project. They go on to say that the pilot tests have caused “considerable concern to the tax profession” and that “the project would have benefited from more detailed consultation with tax professionals at an earlier stage.”

HMRC, who will be working with the CIOT during the review, continued; “The purpose of the review is to consider the overall aims of BRCs, examine whether the current approach is the best way of achieving the policy objectives and identify what changes are needed to ensure that the objectives are achieved.”

There was pressure to review this project from a number of industry bodies, including the Federation of Small Businesses. The FSB expressed their concern to HMRC on a number of occasions but felt that the government were determined to make this policy happen. Chairman John Walker previously claimed that “despite the worsening economy, HMRC [are] launching this scheme regardless of the consequences” and so the decision to review will go down well.

ICS work with a team of experts in employment and tax law to ensure our services are fully compliant with existing IR35 legislation and the latest government regulations. You can contact us now for a tailored proposal based on your individual circumstances as a contractor.

The project, branded, futureLuToN:Optimisation, begins a four-week consultation process on 6 February. If the project is approved, it is expected to create around 6,000 jobs.

Councillor Robin Harris, chair of London Luton Airport Ltd (LLAL), the company that owns the airport on behalf of Luton Borough Council, says:

“The benefits that will flow from the airport’s development will be realised in the local, regional and national economies. I am encouraged by the vast majority of people and businesses in Luton and the wider region who believe strongly that the airport is a terrific asset for job creation and our biggest wealth creator.”

A series of 30-minute walkouts are scheduled for 10am and 4.30pm today (16/01), but will culminate on January 31^st, self-assessment tax deadline day. The walkouts are at HMRC call centres and enquiry offices and will affect anyone trying to contact these centres. It is likely to cause huge inconvenience for millions of higher-rate taxpayers and those with untaxed income, such as landlords, freelancers and sole traders, who are required to submit a tax return each year.

Reported on Contractor UK, organisers, the Public and Commercial Services union, admit they have chosen to take this action on these specific dates to have maximum impact. They are opposing the planned move towards privatisation.

Speaking about the plans, the union said: “If HMRC believes there are issues to address in its call centres, it should invest in its own staff and in training, instead of handing public money to private companies.”

An HMRC spokesman said: “The project is not about outsourcing or replacing HMRC jobs. It is ultimately about finding ways to improve the service we provide.”