A recent survey by the PCG found that most limited company contractors think the UK’s economic landscape will not improve next year.
39.4% of those surveyed said they expected the same challenges will still be with us next year, while 37.4% took a more pessimistic view and said things would get worse in 2012.
However, 23.2% of contractors took a more optimistic view of the situation saying they expect the economy will expand next year. Obviously if that were true, it would spell good news for umbrella contractors as their services would be in greater demand.
The PCG remarked that contractors have faced a number of challenges in 2011, but the majority of them have managed to stay in work for the best part of the year. Contractors have had to contend with the implementation of AWR, continued uncertainty over the future of IR35, and a lot of those who had been working in the public sector have had to get used to life in the private sector.
Despite all these problems, the PCG says 75% of its membership remained in work for at least 11 out of the 12 months leading up to July this year.
Employers are likely to remain wary about permanent hiring as we enter 2012. However, a lot of companies will still want to plough ahead with some of their projects and contractors should be able to find plenty of opportunities.
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