Self-employed confidence continues to grow

(2 minutes to read)

In Association with PeoplePerHour, the IPSE has released data from their latest Confidence Index, revealing the highest business confidence reading in three years.

Confidence among the self-employed is on the rise for the first time in two years, despite Brexit fears, economic pressure and falling day rates.

The latest Confidence Index, carried out by the Association of Independent Professionals and the Self-Employed (IPSE) and PeoplePerHour (PPH), revealed that during Q2, contractor’s confidence in their business performance in the next 12 months saw a significant rise, increasing from -3.9 in Q1 to 5.3 and making it the highest business confidence reading since Q4 2015.

According to the research, these results are particularly surprising due to the fact that contractors are facing a number of issues, including average day rates dropping from £430 last quarter to £394 and the majority (three quarters) of contractors expecting their business costs to increase by 13.7% in the next 12 months.

Suneeta Johal, IPSE Head of Research, commented, “Although there is clearly much to be concerned about here, freelancers’ rising confidence in their businesses is extremely heartening. Against all odds, they now have the highest confidence outlook for their business level since before the EU referendum. Their well-known resilience and determination is doubtless a key factor behind this – along with the fact that, as IPSE’s research has shown, there is more to self-employed work satisfaction than money.

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“Self-employed people’s confidence in their businesses is high, but it is not unshakeable. Given the negative forces ranged against the self-employed right now, the Government should make it a priority to reassure and support them. With Brexit named as the main factor dragging down self-employed confidence in the wider economy, the Government should make securing a Brexit deal that works for the self-employed a key priority. It should also work to restore self-employed confidence in its own policies – not least by stepping back from any plans to extend the disastrous changes to IR35 to the private sector.”

Xenios Thrasyvoulou, founder and CEO of PeoplePerHour, added, “Freelancers, by their very nature, are optimists and problem-solvers, so the fact that they’re able to find positivity in the face of relatively dismal figures perhaps shouldn’t surprise us. But it does make their fears over Brexit all the more telling.

“Fifteen per cent of the UK workforce now freelance in some capacity, full or part-time. The fact that this could be threatened by poorly planned Brexit strategies, or a return to further discussions of IR35 – as some politicians have hinted at – is deeply concerning.

“Freelancers’ business confidence for the next twelve months has risen in the last quarter. It is now incumbent on the Government to make sure that it does not return to post 2015-levels. We all need to better appreciate the contribution that the freelance network makes to our economy and our society.”

To find out more about contracting please contact Jaime on 01442 795 100 or email jaime.thorpe@dolanaccountancy.com.

Why Dolan Accountancy?

Dolan Accountancy was set up by Simon J Dolan, the man behind the well-known brand SJD Accountancy. With over 25 years experience in the contracting marketing, Dolan Accountancy has the heritage, reputation and credibility you can trust. Working closely with our sister company, ContractorUmbrella, it means we can offer one low cost, fixed fee package at £95 + VAT per month. This gives you the flexibility of using both our Limited Company Accountancy Services and our award winning Umbrella Service, for one inclusive cost. We don’t believe in tiered packages or hidden extra fees, instead we aim to give you everything you need, including:

  • Free Company Formation – This is where it all begins. Once you have decided on an available name, we will form your company free of charge (if using our accountancy services) and it will be ready for you to use in as little as three hours.
  • Free use of ContractorUmbrella – With changes in Public Sector IR35 Legislation we understand that sometimes you are required to contract via an umbrella company. We will keep your limited company ticking over, while you work margin free via our sister company, ContractorUmbrella.
  • A Dedicated Accountant – Your accountant will be there for any company or personal tax advice that you require. We will never outsource work, even to internal teams.
  • Free Access to FreeAgent – The founder behind the multi award winning FreeAgent platform was one of Simon’s first clients, therefore it only seems fitting that we offer all of our clients access to FreeAgent, free of charge.
  • Free Business Banking – We have decided to waive our commission so our clients can use Tide free of charge for the first year.
  • Unlimited IR35 Status Reviews – We will review all of your contracts for IR35 purposes and provide you with our professional opinion as to its status.
  • Free Registered and Director’s Service Office Address – Sometimes you just don’t want your home address on display at Companies House. When you sign up to our accountancy services, we will offer the use of our address as an alternative.
  • Your Business and Personal Taxation Needs – This includes Company Accounts, Director’s Personal Tax Return, VAT Returns, Payroll, Corporation Tax and Dividend advice, to name just a few.

If you’d like to find out more about how Dolan Accountancy can help you and your business, please give us a call on 01442 795100 or email sophie.lewis@dolanaccountancy.com or jaime.thorpe@dolanaccountancy.com.

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