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Client (inside IR35) declaring "No Contractors will be paid" for a month, from December 15
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I have been contracted by my client since April 2022 (1st Contract until 22 Dec 2022, 2nd Contract from 5 Jan 2023) until now.

2nd Contract end date is 22 December 2023, but they have said they will extend it for at least six more months. It's one of those ones where I'm enmeshed in the team and working on critical pieces, so it will likely continue for years if I want to.

The issue I'm having is the client have announced that they will not be paying any contractors - or providing any work to contractors (from a higher place in the company, not from my specific team) - between 15 December and 8 Jan, which is almost four weeks. I've just been told this.

They are the ones that have determined that I'm inside IR35, and I'm taxed to the hilt because of that. But they're effectively removing an entire month from my scope to earn money each year.

Does anybody have experience of something similar? Or knowledge of the law enough to determine if this is right? It doesn't feel right; If I'm determined inside IR35 because the client determines how I work, the hours & location of my work, and that I cannot substitute myself for another provider, I don't see that unilaterally barring me from working and earning for a whole month can be right.

Many thanks in advance!

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1 year ago