Budget 2015: Changes to legislation affecting T&S (Travel and Subsistence) Expenses for contractors working through Umbrella Companies and PSC’s.

National Contractor T&S Survey_Sept15

A transient workforce is essential to the UK economy and yet the industry surrounding it has been subject to more legislative changes in the last few years than probably any other – contractors, recruitment agencies, umbrella companies and accountancy firms have to constantly adapt to ever changing rules. 

AUCAE (All Umbrella Companies Are Equal) was originally set up to give umbrella companies a voice and to try and create a level playing field despite HMRC constantly moving the goalposts! However, as the popularity of the site has grown, we’ve realised that we have the perfect platform for contractors to voice their opinions on the constantly changing legislation.

So what are we looking for? As you may or may not have seen, many umbrella companies and industry professionals have been in attendance at the recent consultations working to provide comprehensive written responses on the impact that legislative changes will have on the industry as a whole. However, what AUCAE has noticed, is that what doesn’t appear to have been heard is the voice of the highly skilled, temporary workforce in the UK that this will affect. 

So do you, the contractor want the opportunity to be heard? AUCAE are looking to respond to the announcements made in the Budget and we want you to be part of that. All responses will be collated, anonymised and included in any submissions that we make to HMRC as an industry body. We want the contractors’ voices to be heard so that the Government and HMRC gain a full understanding of the sector and the integral role that contractors play in keeping the economy moving in the right direction. 

Are you a recruiter wanting your say? Please click here to let us know the impact these changes will have on your business…

The Story So Far… Employment Intermediaries:Temporary workers … – Gov.UK
16th December 2014 – Budget 2013 the government announced new rules to tackle tax avoidance… Statement 2014 sets out the case for change, including the impact of these expense arrangements. 


AUCAE respond to the proposed changes, review the response here.
10th February 2015 – The Autumn Statement 2014 announced that the government would review the use of overarching contracts of employment by employment intermediaries in the temporary labour market to take advantage of the rules for travel and subsistence expenses. 


Budget 2015: What you need to know
19th March 2015 – Contractors under client supervision, direction and control are the freelance labour market’s biggest losers of Budget 2015, as they will lose tax relief on travel and subsistence expenses from April 2016. The relevant chapter from Budget 2015 is reproduced here.


Click here to view the contractor responses that we have received to date…


AUCAE submit written response to the HMRC T&S Consultation Document

First of all, we would like to thank all of the contractor’s who took the time to contribute to our online survey. 

The survey was live for 4 weeks and the response from contractors was overwhelming. All responses have been included within our written submission to HMRC and a copy has been sent to The Chancellor.

Please click here to download a copy of the written response to the HMRC T&S Document.