In 2021 we’ve been expecting to see the UK’s contractor community shrink as private sector IR35 reform – and the responsibility for compliance – comes into play. However, there is still a place for contractors and even more so in light of the pandemic.
2020 saw a complete shake up for businesses across the UK who have had to adapt drastically to play their part in the efforts to control the spread of the virus. Obviously businesses forced to close have been a big focus of government and local support. And while most other businesses – office-based businesses – have been able to remain open, they have had to switch to remote working. This shift looks likely to continue throughout 2021, and has increased demand for remote working solutions. And as these businesses have chosen to invest in remote working they have found office costs lowered and some are announcing that the way they work will be permanently changing from office based to remote or hotdesking in the future.
What’s more, we’re seeing so many new contractor roles being posted as remote working – this is handy because you can apply from anywhere for any contract but it also saves your PSC money in reduced expenses. So while many are turning away from contracting at the moment there is good, profitable work to be found too.
So, which contractors are in high demand right now…
Transformation & Cloud Contractors
So many companies, even larger ones, have been running on out-of-date IT, as such the sudden shift to remote working has highlighted an immediate need to move to the Cloud!
- Transformation Contractors
- Project Managers
- IT Infrastructure
- IT & Cyber Security
A drastic change in workplace also brings about huge company h=change, and data experts have been in demand to help companies remodel their workplace processes and plan for their remote or hybrid future structures. In addition, with in-person business and consumer habits changing, customer data has never been more important.
- Data Scientists
- Business Analysts
- Process Specialists
Tech contractors are always in demand, and even more so for 2020 and 2021 as companies scramble to improve services and efficiencies.
- Proccess Improvement – Logistical
2021 Contractor Rates
Over the last 12 months the average day rate has increased by 2.6%, of course some skills which are in high demand are fetching a good deal more at the moment. Hays have produced a handy guide to day rates broken down by area of the UK, you can access it here.
IR35 Private Sector Update
At the time of writing, IR35 private sector reform is still set to go ahead. Remember, ‘small businesses’ (as defined by the Companies Act 2006) are exempt from the new rules, so if you’re looking to find an outside IR35 contract, a small company is a good place to start.
If you are looking to hire a contractor in 2021 and are confused about your IR35 determination responsibilities you can find out more in our blog: Get IR35-Savvy To Hire The Best Talent In 2021