According to an industry expert, if the UK crashes out of the EU with no-deal, it will not only put in jeopardy all those contractors who are currently working in the EU, but also those contractors who work at home in the UK.
As the Prime Minister’s deal was rejected decisively by Parliament, a no-deal Brexit is drawing ever closer and some commentators believe that this is now the most likely outcome of the negotiations.
Seb Maley from tax specialists Qdos said: “The UK remains in no man’s land, but does seem to be edging closer to a Brexit no-deal, which would result in the removal of the transition period. Clearly, this would jeopardise the position of thousands of freelancers and contractors working in the EU and paying tax here in the UK. A potential no-deal also raises further questions of whether global companies will continue to view the UK as a financial hub. If they choose to relocate, this could impact the number of opportunities for these workers in the UK.”
Since September 2018, Qdos has been conducting surveys to assess the views of contractors across the UK. Their research reveals that only 11 percent of the contractors they spoke to expect the UK to now secure a deal that will benefit business.
Uncertainty over Brexit will also mean that many companies will delay investment and taking on staff. In some businesses, contractors may even be laid off.