Contractor market faces continued pressure following General Election

Following the results of the General Election the Queen’s Speech, which was scheduled for Monday 19th June, could be delayed to allow for post-election talks between the Conservatives and the Democratic Unionist Party.

This continued state of political unrest is far from beneficial to UK contractors and freelancers, particularly for the public sector contractors that had already been affected by IR35 legislation changes in April.

These changes affected the take home pay of many public sector contractors and now, with the election result impacting Brexit negotiations, the public sector is at risk of a shortage of contractors that are prepared to take on work on a fixed term basis.

“We know that the Government needs to be in situ by June 19th when the Queen’s speech takes place but whichever leader moves into No 10 we would urge them to put employment and self-employment issues at the top of the agenda in its mission to create that all-important stability.”

Julia Kermode, CEO at Freelancer & Contractor Services Association (FCSA)

 

Simon McVicker, Director of Policy at IPSE, also highlighted the risks of uncertainty in the aftermath of the election last week:

“If we had woken up to either party winning an outright majority, we would have some certainty and could get on with it. However, now we don’t know what is going to happen next – will there be another election? Will May resign? Will there be a coalition? Everything is unknown at the moment.

“Contractors and freelancers, like the rest of the population, will have to wait and see how they will be affected – it is a waiting game now.”

If you have already been affected by the outcome of the general election, share your thoughts with us on Twitter @ICSContractor. Alternatively, if you are struggling to find a contract, email us newbusiness@icsuk.com and we would be happy to put you in touch with our network of specialist freelance and contract recruitment agencies.