Despite ongoing uncertainty surrounding the way in which freelancers and contractors are taxed, the majority of independent workers believe self-employment will continue to grow.
Research conducted by tax specialist, Qdos Contractor, has revealed 61% of independent workers are confident that the UK’s 4.81m self-employed population will increase.
The latest ONS Labour Market Statistics highlighted that the self-employed now account for 15% of the entire UK workforce. And confidence is important in times of uncertainty, as Qdos Contractor CEO Seb Maley explained.
“The majority of independent workers are confident self-employment will continue to grow amid continued uncertainty demonstrates the resilience of the UK’s independent workforce in what has been a testing year."
With recent and potential IR35 reform and incoming changes to tax-free dividends, concerns have been raised regarding the Government’s commitment to supporting the self-employed.
This has led to 97% of independent workers to state their lack of confidence in the Government, with 92% critical for treating them as a ‘soft target’.
Recent IPSE data has suggested freelancers’ confidence dipped in Q3 of this year, which is somewhat unsurprising having experienced what many are calling a continued attach on the UK's independent workforce.
While the perceived lack of support from the Government is a clear concern to freelancers, independent workers have every reason to believe that self-employment can prosper, Qdos' CEO added.
“Freelancers and contractors are right to be confident that their way of working is the new way of working and can continue its rapid growth regardless of further IR35 reform and ultimately short-sighted changes to the tax system.”
Has ongoing uncertainty or recent tax changes impacted your business?