“Cloud9 has successfully adapted their offerings to the new world and met Professional Passport’s updated compliance standards in light of all the recent changes”.
Crawford Temple – Managing Director of Professional Passport
Further to all the legislative changes that were introduced April 6th 2016, Cloud9 Umbrella is delighted to announce that we have been reviewed by Professional Passport and have had our accreditation extended to support our ‘new world’ umbrella models for another year.
Professional Passport is an independent professional membership organisation that works across all sectors of the flexible workers market, to provide unbiased guidance and reduce risks within the supply chain. By working closely with a number of government departments and industry trade bodies, Professional Passport design solutions to meet regulatory requirements that are practical for both contractors and recruitment agencies.
We are proud to be approved by Professional Passport as a compliant umbrella provider, and our commitment to compliance is highlighted further by our affiliations with APSCo and IPSE. Since the introduction of ‘supervision, direction or control’ (SDC) for contractors who work through an intermediary, the industry has seen a shift in the solutions that are offered.
Since April 6th, those who are subject to SDC are unable to claim tax relief on travel and subsistence. As a result, a lot of contractors’ will have noticed a reduction in their take home pay. As many contractors relied heavily on the tax relief for travel and subsistence, it may be tempting to look for a new intermediary who offers an improved return.
You know the saying “if it’s too good to be true, it probably is!” The appeal of taking home 85-95% of your income offered by some providers seems like a great way to beat the system. However, contractors and consultants should be vigilant when considering ‘new and improved’ models, as some might operate under MSC legislation, whilst others could involve disguised remuneration (either from a loan or trust structure). To avoid any nasty surprises, be confident that the umbrella company you work with is fully compliant and informative in regards to industry legislation.
The partnership between Cloud9 and Professional Passport has seen the introduction of two new compliant models – Cloud9 Mileage and Cloud9 Fixed Expenses. These models are suitable for contractors who fall outside SDC, or who are mobile workers. Our SDC flowchart/questionnaire has been created to ensure a robust and fair assessment of each contract and we’re offering a free consultation for each new engagement for every worker. We’re confident that our contractors are using the most suitable model for their situation.
Our accreditation with Professional Passport supports recruitment agency partnerships too. Our administrative processes have been carefully designed to ensure every contractor is meticulously assessed and receives the most suitable solution for their assignment. Agencies can be assured that each candidate recommended to Cloud9 will get paid in an efficient and compliant manner, have administrative support and contract guidance from their own personal PA, as well as being kept up to date with industry legislation. We recommend you regularly check our blog for the latest information – please click here.
Professional Passport ‘Approved Providers Accreditation’ is the only compliance review that is backed and guaranteed by a £5,000,000 insurance policy against MSC Debt Transfer for the recruitment company members of Professional Passport.
To get in contact with Cloud9 Umbrella, please give our team of experts a call on 020 7078 0212. All of our payroll models are fully compliant and we will help you choose the option that is best suited to your personal working circumstances. Alternatively, if you have decided to investigate the Personal Service Company route, our sister company K&B Accountancy Group is also offering all contractors and freelancers a free consultation, either over the phone or in their Canary Wharf office. Please call the K&B team of specialist accountants on 020 7078 0211.