Contractors urged to take IR35 to the OFT competition review by 30 June
A UKTECH reader sent in information on a review of competition restrictions in the professions. This is being carried for the Government by the Office of Fair Trading, who has invited comments by 30th June 2000 and has provided the ability to make an email response
With IR35 still progressing through Parliament, some contractors have made it clear that they want to draw this to the attention of any review of competition restrictions in the professions.
Studying the information available, this is an opportunity to keep the pressure on this Government while the Finance Bill is not yet law. The Government has shifted on other "stealth" tax issues and, as they say, a week is a long time in politics.
This is a UKTECH call for contractors (PCG members or not) who feel that they personally want to do something to keep the pressure on. The one thing that the Government has constantly under-estimated is the strength of feeling and motivation within the contractor community. This is not a call to merely sign on a dotted line - this is a call to individuals to consider their positions and if you feel as strongly about this as others, then here's an opportunity to have your say.
The Office of Fair Trading (OFT) state:
"We are also interested in identifying restrictions which originate from national or Community law."
They pose two questions, which are of particular interest with respect to IR35.
Question 12: Are there any other ways in which you consider the delivery of professional services to be restricted?
Question 13: What do you think are the objectives of the restriction? Do you think these purposes are justified? If yes, please state the justifications. Do you think that the restraints are more onerous than is necessary to meet any justified purposes? If yes, please give reasons for your view, along with any proposed alternative(s) to the present requirement (e.g. the approach adopted in another jurisdiction). What are the effects of the restrictions on:
(a) the profession and its members;
(b) clients and the general public;
(c) the range, quality and price of the services available?
The OFT is seeking the views of professionals and their representative bodies.
UKTECH readers may care to outline their concerns directly on this
Responses are invited by Friday 30 June to
Grahame Horgan
Case Officer
Competition Policy Division
Office of Fair Trading
2-6 Fleetbank House
Salisbury Square
London EC4Y 8JX
Fax: 020 7211 8538
E-mail: professions.review@oft.gov.uk
Let's make it clear, this is not an orchestrated campaign to 'stress the system', this is sharing information with like-minded individuals so that you can make an informed choice as to whether you do something or not. The Government has asked for information, we can provide it.
A dripping tap will eventually wear holes in granite. This proposed law was unfair a year ago and 12 months on the sham "cut and paste" consultation will ensure that it remains unfair.
It cannot be right that 66,000 businesses close down as a result of Government action. It is as if the industrial revolution was stopped in its tracks by a Government that prevented the small coal mines and steel producers from making a profit. The same is now happening with the information revolution. A Government out of touch with the realities of modern day business and increasingly dancing to the big business pied piper, is about to put to the sword, 66,000 genuine businesses.
They thought you were an easy touch. Prove them wrong.
For those contractors who want to respond to the Shout of 99 - additional background information on the subject is available on links below. However, it is your view that counts - just because the Government believes in cut and paste consultation, doesn't mean we have to do the same.
For background information on the anti competitive nature of IR35, check out this story.
For background information on how unfair and damaging IR35 will be, check out this letter to Tony Blair (Note will need Adobe acrobat reader installed)
If you've decided to add your views, don't stop with the OFT. There are others who could be copied in, such as: David Irwin: Head of the Small Business Service. He recently gave an interview to the magazine, Real Business, where he stated that he had three main priorities, one of which was "providing a strong voice for small business at the heart of Government"
The email address is:
webmaster@sbs.gsi.gov.uk
Web site
In addition copy the submission to your Local MP.
Once again: This is not a call to merely sign on a dotted line - this is a call to individuals to consider their positions and if you feel as strongly about this as others, then here's an opportunity to have your say.
Nothing in the world can take the place of persistence
Talent will not: nothing is more common than unsuccessful men with talent.
Genius will not: unrewarded genius is almost a proverb
Education will not: the world is full of educated derelicts,
Persistence and determination alone are omnipotent