The Government confirmed last night that the introduction of the IR35/off payroll reforms to the private sector will be delayed until April 2021. This is part of a broad package of measures that the Treasury has announced to protect the economy in light of the Covid-19 outbreak in the United Kingdom. The Government has confirmed at this stage that it is simply a deferral and not a cancellation. This news will come as a welcome relief to some employers and it is hoped that additional clarification about the IR35/off payroll reforms will be provided in advance of the new implementation date.
However, for others who have already finalised plans on the basis of implementation in two weeks’ time, there will need to be careful consideration as to whether to proceed as planned or to explore the legal and practical viability of postponing arrangements for a year. If you need help considering the options available to you, please contact your usual Employment Department contact.
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