Media & Events

Recruitment Update: Issue 2, 2015

August 2015

Since our last update there has been both a General Election and a second UK Budget at which a number of changes were announced that will undoubtedly have an impact on the sector.

Among the good news is that corporation tax will reduce to 19% from 1 April 2017 and then to 18% from 1 April 2020. The employment allowance – a relief from employers’ National Insurance contributions, currently set at £2,000 per annum – will increase to £3,000 per annum from April 2016. This applies to businesses and charities, but not where the employee is engaged for personal or domestic purposes, or where the employer is a service company caught by the IR35 rules.

The introduction of the National Living Wage, which will rise to £9 per hour by 2020, will put a strain on profits for many small businesses. The Chancellor also announced a consultation on the increasing abuse of the rules on disguised employment when working through a personal service company – more on that in our briefing note below.

In this issue you can read more about the consultation document which proposes to remove tax relief on travel and subsistence expenses for temporary workers. We would love to hear your thoughts on this issue.

We also highlight the common pitfalls for fast growth recruitment companies and invite you to take part in the 2015 Saffery Champness TEAM benchmarking survey, which will help us assess how well recruiters are faring in the current economic climate. More on all of these topics can be accessed below.

travel and subsistence

The removal of tax relief on travel and subsistence expenses

A consultation document has been published which proposes the removal of tax relief on travel and subsistence expenses for temporary workers. We outline the proposals.

Find out more



growing pains for recruiters

Growing pains for recruiters

From retaining key talent to chasing big contracts, there are many pitfalls and challenges faced by rapid growth recruitment companies.

Find out more

                   
    

Team

Take part in the Saffery Champness TEAM Benchmarking Survey 2015

You can take part in the 2015 Saffery Champness TEAM Benchmarking Survey and help us to understand how recruiters and executive search businesses are faring in the current economic climate.

View the survey



IR35

Changes to intermediaries legislation

A discussion document has been issued by HMRC to improve the effectiveness of intermediaries legislation (otherwise known as IR35) – we outline the options that are being put forward.

Download our Taxation Briefing


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