IR35 – extension delayed to 2021

In January this year we wrote about the new IR35 rules for the private sector, which were scheduled to come into operation for medium and large employers in April 2020.  You can read that article here.

The Government announced yesterday evening that the changes will now not be implemented until April 2021.  This is a small piece of good news for employers amongst all the bad news flowing from the coronavirus pandemic.

As the new IR35 rules were due to take effect in only a few weeks’ time, many private sector organisations had already adjusted their procedures. They will now need to decide what approach to take to contractors over the next 12 months now that the implementation of the rules has been delayed.