What could a 'Brexit' mean for IT contractors

The UK's longstanding relationship with the EU is in the balance as the country gears up for the EU referendum which will take place this June. The vote has the potential to be hugely divisive, and even expert commentators, such as the governor of the Bank of England Mark Carney, are shying away from making any firm predictions.What could a 'Brexit' mean for IT contractors?

What is clear is that any change to the status quo, such as a decision to leave, will have some financial impact, but those on either side of the debate are offering conflicting ideas of what form that might take. While the current campaign race appears to be too close to call, there are plenty of ideas on what life will be like if the UK does vote for a Brexit.

Although there has been some concern that the uncertainty over the potential outcome of the referendum, the impact of the waiting game has so far proved relatively insignificant as businesses are continuing to recruit flexible workers from the available pool of UK contractors.

Indeed the financial services sector may well benefit from the David Cameron's announcement following his negotiations with the 27 EU member states that the industry will enjoy new protections including a range of guarantees from the City of London.

Many pro-Brexit supporters believe that leaving the EU would require a series of bi-lateral treaties to be drawn up which could see new agreements on trade which would benefit contractors. They believe that a Brexit wouldn't affect the UK's substantial export market, and that savings could be made by no longer needing to contribute to the EU.

Those who are against leaving the EU are not so sure, with the Confederation of British Industry and a number of IT contracting clients keen to ensure that the UK stays in the EU in order to ensure that workers are not restricted as to where they can operate. They are also keen to avoid the inertia in the jobs market which could be a possible outcome of a Brexit and the subsequent need for legislation to be drafted to deal with the change.

If you want to know more about what it's like to work for yourself, then our guide to being an IT contractor is a great place to start. We also have plenty of other information about being your own boss, including a FREE 60 page guide to running your own limited company and contractor case studies which go into more detail about what life is like when you go it alone.

If you are considering contracting as a career, but have questions about how it could work for you, our friendly team is always on hand to help, so call us today on 0500 152500 /01442 275789 or email sophie.lewis@sjdaccountancy.com for more information.

For all other news please visit our Contractor News hub, or why not join us on Facebook and follow us on Google+ for all the latest contractor news, views, debates and competitions. 

SJD Accountancy

SJD Accountancy are the UK's largest specialist provider of fixed fee, Limited company accountancy services to contractors; we've been acting for contractors across the UK since 1992 and have more than 15,000 clients.

We are the only national specialist firm of contractor accountants with offices nationwide. SJD Accountancy has more qualified staff than any other firm in our market with qualifications from the following major tax and accountancy bodies - ATT, AAT, CTA, ACCA, CA, ACA and FCCA.

  • Unlimited face to face meetings. This is a unique service only SJD Accountancy offers - unlimited face to face meetings across the UK - tax is complicated and sometimes only a meeting will do.
  • UK's Largest contractor accountants with more qualified staff. No call centres, no outsourcing, no automated call handling. Simply telephone, email or meet your own dedicated accountant* face to face.
  • Money back service guarantee. All your telephone calls and emails will be answered the same day or we will make a full refund of that months fee.
  • Outstanding reputation. We have won more awards for customer service and accountancy excellence than any other firm in our market, including: Best Accountant for Contractors, Accountant of the Year and Best Professional Service Team to name just a few.
  • All inclusive low cost fixed fee accountancy package which includes completion of accounts*, payroll bureau, dividends and corporation tax computations, personal taxation, free bookkeeping software, your own dedicated accountant* and all company returns for a fixed fee of £120 plus VAT per month.

If you have any questions about contracting or would like any further advice please call our new client services helpdesk on 01442 275789 or email: janice@sjdaccountancy.com.

Appoint SJD Accountancy and never worry about your tax or accountancy affairs again.

Form your own Limited company with SJD - our same day online company formation service includes company bank account set up, VAT/PAYE registration and advice on optimum share structure. 

You may also find the following pages, guides and case studies useful:

*If you would like us to complete your company year end accounts we simply ask that you have been a client of SJD for one year or have made 12 monthly payments. All accountants are part or fully qualified.