2016 has been an eventful year for recruitment agencies in the UK with the major political, economic and legislative changes taking place; of which Brexit, changes in off-payroll working rules and the Apprenticeship Levy have been the major ones. In our quest to keep our clients and readers abreast of the changes happening in the recruitment industry, we try our best to relay the necessary and important information through our blogs.
As we get close to the end of the year, we want to connect you with our top five blogs that highlighted the issues and offered the solutions to the changes that recruitment industry encountered this year.
Here are the top 5 blogs from this year.
5. How will UK recruitment change now that Brexit is decided?
Britain’s decision to leave the EU had sparked a nationwide debate on its impact on employment, on the economy and on life in the UK. One of the main sectors affected by the Brexit was recruitment industry. As the country moved forward from the vote, there was an uncertainty due to which many UK businesses started to freeze hiring, which put recruitment agencies in a predicament. However, there are steps recruitment firms can take to minimise losses during this time. One such method is by outsourcing some core and non-core activities. We explain you how.
4. How Apprenticeship Levy will affect Recruitment Companies?
Following Brexit, next major change in line was the Apprenticeship Levy. Set to come into effect from 6th April 2017, the Apprenticeship Levy will require all employers from both public and private sectors operating in UK and with an annual pay bill over £3 million, to fund apprenticeships at a rate of 0.5% of their total annual pay bill. In this blog we explain you the nuances of the Apprenticeship Levy.
3. Autumn Statement 2016- The liability switch for the public sector recruitment agencies
The much awaited Autumn Statement 2016 was unfurled on November 23 and with it many speculations were put to rest for the recruitment agencies. Two prominent being off payroll working rules and IR35 reforms. Now that the liability for the unpaid PAYE and NIC will be with public sector recruitment agencies, there are a lot more complexities which have to be addressed.
2. A sneak peek into the IR35 online test tool
Our first hand review of the IR35 online test tool. After the government’s confirmation on reforming the offpayroll working rules in the public sector from April 2017, all eyes are set on the online test tool which HMRC would be introducing to establish the IR35 status of the contractors. But the question is how effective this new online tax tool is and how accurately it would determine that a contractor is working according to IR35 rules. In this blog, we take you through the nitty gritty of this test tool. Will it work or will it not?
1. IR35 compliance and payroll solution for recruitment agencies
As those recruitment agency MDs and FDs who recently attended the ‘Decoding the Autumn Statement’ event on 6 December already know, QX Ltd is working on a compliance and payroll solution to manage the recent changes to the IR35 legislation for public sector off-payroll workers. This well attended event with presentations from representatives of EY, APSCo, Gateleys Plc and QX Ltd went into a detailed review of the impact of these changes and looked at the solution QX is developing to help agencies.
Thank you for reading. We hope they added value to you.