Staying in the same public sector contract after April 2017

[KpMrJ]

Exit stage left....

As one of the quieter members of this forum……..

First of all I would like to say a big THANK YOU for all the more active members on here over the various discussions regarding the impending enforcement of legislation in April 17 within the Public Sector realm.
It’s good to know we’re not in ‘it’ alone & we’re openly discussing options, albeit those currently out in the open do appear only restrictive & negative to our existing ways of provisioning services.

I’ve provided services into the Private Sector for the majority of my contracting career ( 10yrs ) to date, I took on my 2nd Public Sector role towards the middle of the year which would take me through to March 17, fully aware and accepting the potential risk of Autumn Statement announcement.

Having taken the time to read the various ( excellent ) threads on this and other likeminded forums, and as a small business looked carefully at the options in regards to continuing towards assignment end and the associated proposed risks.
Termination notice provided today to the agent ( it wasn’t a surprise, I’m the 8th to him in the last week ), stating fully the reasoning why & notice will be completed, with hand over to a ‘suitable’ party within the project office.

My current sponsor & the IT Director are in a state of ‘head in the sand’, and seem blind to the forthcoming implications of the enforcement to their interim teams, supporting & delivering some of the most critical IT & Infrastructure projects within the estate. While other interim resource around me are “no idea what you’re on about, been here years mate, I’ll be alright fella”……….!?!?!

Subject to further guidance or information coming out, or beneficial ( to the contracting community ) amendments be made to the legislation, my business will not be providing services towards Public Sector from 2017 onwards.
I’ve also been receiving a high volume of calls & e-mails from agents over the last couple of weeks endeavouring to back-fill contract positions, as a large number of like-minded interim resource are serving notice & departing at an alarming rate. I’ve heard one story of 30+ contractors in one governmental department all serving notice on the same day, all exiting end of December…..

It would also be nice to think, that the mass exodus of interim resource from PS will lead to a shift change UP in day-rates, resulting in the PS arena becoming very lucrative for those willing to accept the new operating terms…………………….given the existing restraints of frameworks & financial constraints across the wider PS, I for one won’t be holding my breath……

The above aside, I will be starting with my new private sector client on 3rd Jan………

I would like to thank you all again for the valid input to date & wish you all an enjoyable Christmas break & a prosperous 2017……

[kingtut]

Long time lurker

Long term lurking on these forums, felt I should create an account to share recent experience. Joined public sector recently (pre-autumn statement) after 5 yrs contracting in the private sector. Took a risk hoping the changes may be delayed, and as the contract was only until 31st March 17 I didn't have any major concern at the time. However since the autumn statement the atmosphere here has deteriorated and I felt I should try and get out early if I could back to the private sector. Having been lucky enough to find work and having zero notice period I have told the client here and cited the upcoming changes as my reason for leaving early, although disappointed they understand the situation (at least they say as much). The client HR team (as others on here state) started sending letters to all contractors saying they consider anyone remaining post March 31st inside IR35, which has caused panic and is causing issues internally between the programme team struggling with resource and HR/finance trying to stay within the new guidance.

[cojak]

Long term lurking on these forums, felt I should create an account to share recent experience. Joined public sector recently (pre-autumn statement) after 5 yrs contracting in the private sector. Took a risk hoping the changes may be delayed, and as the contract was only until 31st March 17 I didn't have any major concern at the time. However since the autumn statement the atmosphere here has deteriorated and I felt I should try and get out early if I could back to the private sector. Having been lucky enough to find work and having zero notice period I have told the client here and cited the upcoming changes as my reason for leaving early, although disappointed they understand the situation (at least they say as much). The client HR team (as others on here state) started sending letters to all contractors saying they consider anyone remaining post March 31st inside IR35, which has caused panic and is causing issues internally between the programme team struggling with resource and HR/finance trying to stay within the new guidance.

I expect quite a few identical scenarios happening throughout the PS at the moment.

[northernladuk]

I expect quite a few identical scenarios happening throughout the PS at the moment.

[youngguy]

Long term lurking on these forums, felt I should create an account to share recent experience. Joined public sector recently (pre-autumn statement) after 5 yrs contracting in the private sector. Took a risk hoping the changes may be delayed, and as the contract was only until 31st March 17 I didn't have any major concern at the time. However since the autumn statement the atmosphere here has deteriorated and I felt I should try and get out early if I could back to the private sector. Having been lucky enough to find work and having zero notice period I have told the client here and cited the upcoming changes as my reason for leaving early, although disappointed they understand the situation (at least they say as much). The client HR team (as others on here state) started sending letters to all contractors saying they consider anyone remaining post March 31st inside IR35, which has caused panic and is causing issues internally between the programme team struggling with resource and HR/finance trying to stay within the new guidance.

Out of interest which bit of ps?

[6128k]

In a PS gig and had planned to start looking in Jan, but an excellent opportunity has literally landed in my lap and I have accepted.

Just getting through all the paperwork to onboard (Bank), but have accepted an offer in the private sector to start in Jan.

[ContractBunny]

The client HR team (as others on here state) started sending letters to all contractors saying they consider anyone remaining post March 31st inside IR35, which has caused panic and is causing issues internally between the programme team struggling with resource and HR/finance trying to stay within the new guidance.

Speaking as someone contracting inside the PS at the moment I am actually surprised when I hear stories like this now. I work on behalf of a local authority that has never given me any evidence that they are able to cope with something as complex as IR35 never mind actively prepare for it in this way. At best I suspect a memo might orginate from somewhere about this around April 2017 (incidentally when my current contract is up).

My question is, has anyone heard of HMRC providing training or circulating advice and guidance to the PS on how to implement this?

[kingtut]

Out of interest which bit of ps?

NHS

[malvolio]

Speaking as someone contracting inside the PS at the moment I am actually surprised when I hear stories like this now. I work on behalf of a local authority that has never given me any evidence that they are able to cope with something as complex as IR35 never mind actively prepare for it in this way. At best I suspect a memo might orginate from somewhere about this around April 2017 (incidentally when my current contract is up).

My question is, has anyone heard of HMRC providing training or circulating advice and guidance to the PS on how to implement this?

No. Not their problem (in fact, very little appears to be...). The rules are set by HMG, it's up to the relevant management teams to deal with it.

I wouldn't rely too heavily on local authorities understanding anything either. The ones I've worked with are on a different planet to the main Departments. You need to make your own decisions. And April will be too late; there is a possibility that you may get tapped for IR35 from the start of your current gig, meaning back taxes on both income and expenses.

[Gaz_M]

Long term lurking on these forums, felt I should create an account to share recent experience. Joined public sector recently (pre-autumn statement) after 5 yrs contracting in the private sector. Took a risk hoping the changes may be delayed, and as the contract was only until 31st March 17 I didn't have any major concern at the time. However since the autumn statement the atmosphere here has deteriorated and I felt I should try and get out early if I could back to the private sector. Having been lucky enough to find work and having zero notice period I have told the client here and cited the upcoming changes as my reason for leaving early, although disappointed they understand the situation (at least they say as much). The client HR team (as others on here state) started sending letters to all contractors saying they consider anyone remaining post March 31st inside IR35, which has caused panic and is causing issues internally between the programme team struggling with resource and HR/finance trying to stay within the new guidance.

Mad panic has set in at my current PS gig. They expect 90% of contractors to leave by February and they have no idea how to deliver the project as a result.

I finish on Feb 3rd