Q&A: call for evidence on the umbrella company market

20 January 2023

The government’s call for evidence on the umbrella company market was closed for responses in February 2022. But what movement has there been since this testimony?

Umbrella companies have been influential in the labour market with a rapid increase in numbers. The call for evidence invited views from stakeholders on the role that umbrella companies play in the labour market, and how they interact with the tax and employment rights systems. It set out the concerns that have been raised by some stakeholders, as well as government action already taken to tackle tax non-compliance and improve protection for workers.

James Murray, Labour MP for Ealing North, put a question to the government:

‘‘To ask the Chancellor of the Exchequer, if he will place in the House of Commons Library a summary of responses and Government response to the call for evidence: umbrella company market, which closed in February 2022’’.

In response, Victoria Atkins, Conservative MP for Louth and Horncastle answered:

‘‘The Government ran the Call for Evidence on the umbrella company market to ensure it has a detailed and up to date understanding of the market. This Call for Evidence was issued jointly by HM Treasury, HMRC and BEIS. Officials in the three departments are working closely together to consider the evidence submitted and will publish the Government's response in due course’’.

Now that the government has confirmed that a summary of responses to the call for evidence will be published "in due course", the CIPP look forward to the outcome of this public feedback and reporting these to you. However, with three large agencies involved, it is surprising that no date has been given, but we will keep our eyes peeled.

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