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20% of UK businesses would rather axe their contractors than deal with IR35 – survey

aks Bronze badge

Now that the onus is on the company to assess whether the worker falls inside or outside of IR35 and there is no clarity from HMRC about how to make sure the worker is one or the other, companies will have to play safe and either employ the workers or do without.

It seems curious to me that there seems to be a new class of worker who is treated as an employee for income tax and NI purposes but has no holiday, sickness, or pension rights. I'd previously been under the impression that that was illegal under UK and EU law. Maybe this class of worker will become the norm. Unintended consequences, anyone?

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