government Articles

Potentially good news for lower paid contractors working through an umbrella company is that on 26th October 2015 the House of Lords voted not to accept the Chancellors proposed changes to tax credits that will affect the entitlement to the credits for low income families.

The proposed changes are expected to result in some families being up to £1,300 worse off per year by 2020. The Government are trying to reduce the earnings limit for entitlement to the Working tax Credit and the Child Tax credit.

As the sun sets on the General Election, and the UK prepares for a five-year term for a Conservative majority Government, many in the contracting community are returning to a familiar debate: are the powers that be ready to treat the issues faced by the surging numbers of freelancers and contractors with greater urgency?

Finally the UK’s growing army of freelancers and contractors will have a presence at the heart of Government. At least, that is the vision behind the role of MP David Morris. The Conservative MP for Morecambe and Lunsdale has job of ‘tsar’, or ‘ambassador’, to the UK Government on behalf of some 4.5million independent UK workers.

marketing | 20 October 2015
/ / / /

In response to a petition asking the government to reconsider their proposed dividend tax hike, HM Treasury published a statement which, according to critics, was out of touch with the contracting industry and the needs of small businesses. 

The reply was published on the Parliament website where, once a petition reaches 10,000 signatures it must receive an official response from the government.

One contractor writing for IT Contracting dissected the government’s statement and explained paragraph by paragraph why it was “factually wrong” and removed from the realities of running a small business. 

Recruitment International have reported that The Government have recognised the value of responsible Umbrella Companies. Below is the relevant extract from Parliament’s Question and Answers section:

The Government chose The National Freelancers Day to announce the appointment of David Morris MP as their Self-Employed Ambassador.