boab the agencies and the use of them by the bigger firms is fecking the whole country up
the whole unbrella payroll scam is a disgrace that needs to adressed as workers are being conned to claiming all sorts of expenses which from what i have seen disappear to the payroll company with very little benefit to the worker.
The government must be loosing fortunes into the bargain
if i were you i would go with the trusted local firm as you know what your getting evbrytime.
Hi Mate,
Just spotted this and thought i'd drop my head in to the conversation. I run a scaffolding agency and to be honest there is no winning at the moment with what is going on.
We would prefer everyone to continue as self employed as everyone is used to it and makes sense and has done for years. However the government has stopped agencies being able to pay through Self employed schemes due to this being classed as 'false self employment' as you are effectively not working under your own control but have a manager to report to.
The other option is PAYE, which would mean you guys earning less due to paying the NI, and the agency having to charge the client more meaning less work about. The other option is firms taking on directly on the books PAYE, however the lack of flexibility end up with redundancies and companies going under. Using the agencies is preferable as the companies don't have that liability to keep their numbers high when a big job finished.
The third and least popular option all round is PAYE Umbrella.... Which to be honest, if it is done properly can work out very well. However, it does require guys to be very organised and claim expenses which they are legally allowed to claim. (A LOT of umbrella companies let everything slide, but this is a tad dodgy to say the least) Expenses like Mileage, living allowance, digs, tools, clothes , tube tickets are all claimable and you effectively get around 33% of the value back. HOWEVER do not go through Umbrella unless you are organised and do your expenses.
I do not see Umbrella as a scam at all, however you can get majorly stung for Tax and NI if everything is not in order every week.
I hope this helps, but if you want any more info get in touch. We have a load of work starting up on Heathrow soon and get your details to me if you are interested.
Cheers,
Ryan