Following David Cameron’s ringing endorsement last week; a recent report has further highlighted the strength of the UK’s contracting sector.
The PCG has published new data showing how much UK businesses rely on the skills of contractors. 60% of the country’s business leaders said they would experience difficulties operating their business if it wasn’t for contractors. And 73% of companies that do use contractors expect to see an increase in their job opportunities in the coming 12 months.
58% of organisations still source their contractors through recruitment agencies, 42% rely on referrals and 32% use personal networking.
The average daily rate for a contractor is between £401 and £500 and 60% of all contractors command a daily rate of up to £500.
Last week, the Prime Minister hailed the contribution of the UK’s 1.4 million freelancers in a letter to the PCG to celebrate National Freelancers Day. Cameron said he admired people who left regular salaried employment to go it alone. Freelancers make a massive contribution to the UK economy and without them the country would be a much poorer place.
Despite this praise from the government, the REC would still like to see the Cabinet Office giving greater recognition to temporary workers.
The comment came after Francis Maud, the Cabinet secretary, outlined new proposals to streamline the procurement process. Maud did admit that there had been a 30% decrease in public sector spending on agency workers recently.
Tom Hadley from the REC said that the Confederation welcomed the easing of burdens surrounding procurement but was worried that once again temporary workers were being used as an easy target when it comes to cutting spending.
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Image: Fire 11 by Hugh Beauchamp