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Demand for contractors slips - as 'off payroll' rules hit
by Susie Hughes at 13:16 28/11/17 (News on Business)
Professional recruitment firms reported that overall vacancy numbers for contract roles dipped by 10 per cent in October 2017, while demand for permanent professionals remained largely stable.
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New survey data from agency group, APSCo, reveals that demand for contractors decreased across every one of the trade association’s core sector groups. Vacancies within engineering, for example, slipped by just two per cent, while demand within IT, finance and marketing fell more significantly (by 10 per cent, 15 per cent and 25 per cent respectively).

The overall number of contractors out on assignment dipped by eight per cent which can largely be attributed to a 30 per cent year-on-year fall in IT professionals working on a contract basis during this time.

Despite this overall dip, the number of contractors out on assignment within engineering and finance increased year-on-year in October 2017 (by 14 per cent and six per cent respectively).

Off payroll rules
Ann Swain, Chief Executive of APSCo said: “The overall fall in contract placements can largely be attributed to a 30 per cent drop in IT assignments.

"This may, in part, be in response to changes to rules around off payroll working in the public sector which were introduced in April. However, news that the government will not automatically extend these reforms to the private sector without careful consideration should ensure the wider contract market remains strong in the near future.”

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Susie Hughes © Shout99 2017

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