The newly elected coalition government formed on 12 May will be better for business, according to a recent poll of consultants by Skillfair, an online marketplace representing some 10,000 UK consultants and freelancers.
Altogether, 58.5% of respondents agreed that the UK’s first multi-party government since 1970 would be either ‘much’ or ‘somewhat’ better for business in a poll which asked their views on what lies ahead for the remainder of 2010. Only 7.5% felt that the new administration would be ‘much worse’ for business.
When asked to comment on why the new government would be better for business, responses referenced the increase in personal allowance to £10,000, the reduction in NI for the first ten employees and the IR35 regulation which has, for many consultants, created increased administrative workload as they seek to ensure their contracts comply to avoid further taxation.
Those who indicated that the recent changes would be worse for business cited a reduction in public spending, where many of Skillfair’s members source a high proportion of contract business.
Gill Hunt, managing director at Skillfair, commented: “The poll demonstrates that our members, on the whole, feel that the new administration will create a more positive economic outlook that will enable the private sector to grow. The chancellor George Osborne has already indicated in his address to the CBI that the new government intends to stimulate entrepreneurial spirit and help businesses in the UK to flourish. Independent consultants will no doubt benefit from new and growing companies needing to source expert help, without committing to employing high value individuals. 2010 is looking bright for consultancy business.”