Reply to post:

Royal Bank of Scotland IT contractor ban sparks murmurs of legal action

Spike of Bayswater

Speaking personally, I am currently enduring deductions at 50-60% of my day rate. This includes Employee and employer NICs, pension* deduction (simply a form of tax), umbrella company fee (£75 or a 5% deduction in day rate), and agency fees. The HR has outsourced the hiring to an agency which sources staff through another agency both of which get paid out of my day rate. I have to pay for a completely unecessary DBS check at a fee which includes a 50% "uplift". I now have five of these all current and for different jobs.

I have worked for these guys for 3 months. They have offered me a permanent job at a rate appropriate for someone who is newly qualified or unqualified and which does not pay my mortgage (which is in its last 8 years so it's fairly modest). Curiously, they can't get anyone to apply who can actually do the job. Sure I'll get some of the tax over-deduction back in about 15 months time but I will never get the pension deduction, agency fees, agency costs or payroll taxes back.

Pretending I can get a suitable permanent job is cloud cuckoo land. I started contracting because I was made "redundant" and asked to reapply for job but through a limited company. So I sued, got a pay-off and have been contracting ever since.

I was overseas when Brown was chancellor but it was George Osbourne who chose to change the IR35 rules with the idea that salary payments should be the same for emplyees and contractors with no recognition of the benefits.Hammond then tried to do the same for chippies, sparkies, etc in breach of an election promise and was forced to rescind. So they will be next in line.

The rule changes are simply a means of hiking the tax rate on people with no political clout and who will continuing to vote Conservative blindly with the sort of arguments seen in this comment string. Not that Labour are likely to be any better. If you wish to permit large corporates to export their profits to Dublin, Luxembourg or the Cayman Islands then you have to bleed someone dry. That would be you and me, mate.

Rant over. I am now being offered work overseas at 5 times the net. Cheerio Blighty.

*(new pension for every job with a theoretical right to change which is a complete pain in the arse to achieve and all for a pensin I do not want and do not need and will nver receive any meaningful return particularly compared to my own pension plan which I set up years ago) ) holiday pay

POST COMMENT House rules

Not a member of The Register? Create a new account here.

  • Enter your comment

  • Add an icon

Anonymous cowards cannot choose their icon


Biting the hand that feeds IT © 1998–2020