In the latest Report on Jobs released by the REC/IHS Markit, the past month has been favourable for contractors. Data gathered from consultants and employers revealed that temp billings and pay rates saw a healthy increase for temporary staff.
The growth of temp billings was, in fact, the sharpest rise reported in 2 years. Around 40% of employers cited higher temp billings, and recruitment agencies reported a resilient demand for contractors from clients. Furthermore, the Report on Jobs disclosed a robust inflation in hourly pay rates across the UK with those employed in the Midlands experiencing the steepest increase in wages.
Job vacancies and the consequent demand for temporary staff has grown across the private sector. Data from ONS (Office of National Statistics) displayed job vacancies rose by 3.2%, which is great news for contractors looking for new projects and work. Furthermore, the unemployment rate was reported at 4.3%; which is the lowest it has been since 1975.
Opportunity is ripe for contractors
Chief Executive of the REC, Kevin Green detailed that recruiters “continue to report deteriorating candidate availability and worsening skills shortages.” Thus the demand for IT contractors continues to surge with certain specialisms remaining in short supply:
- Automation Testers
- Big Data
- Cyber Security
- Oracle Fusion
- Software Developers
IT contractors who can demonstrate any of these skills give themselves a competitive edge in the job market.
Overall, the job market in the past few months has been advantageous for temporary staff and the future looks very promising. Kevin Green stated, “The government must make a New Year’s resolution to ensure that the UK labour market remains successful in 2018.” Nonetheless, contractors can enjoy Christmas and ring in the New Year on a positive note. So, from K&B Accountancy and Cloud9 Umbrella, we hope you have a merry Christmas and a happy New Year!
Are you a contractor looking to switch from your existing accountant? We have introduced a simple and straightforward approach to changing accountants. We’re offering contractors, consultants and freelancers the opportunity to switch to K&B Accountancy Group for FREE without the need to pay for any ‘catch up’ or retrospective accountancy fees for the previous year’s accounts and corporation tax return*. Sign up here. *T&Cs apply
Working in public sector, caught inside of IR35 or simply do not want the trouble of running your own limited company? Contact Cloud9 Umbrella, who can take the hassle out of contracting and look after the administrative burden for you.