Great Britain: employers call on the government to postpone “tax on jobs”

lacement agencies will no longer enjoy reduced VAT, which enabled them to be taxed on commission only, on the condition that the organization employing the agency workers pays them directly. The finance, health, education and voluntary sectors, the main “victims” of the tax exception, are already planning on reducing their numbers of agency workers. (Ref. 090302)

The government
introduced the Staff Hire Concession in 1997 for fairness: this temporary measure
allows placement agencies to...