There was little information within the Autumn Statement ‘blue book’ today as to how HMRC will respond to the recent consultation on reforming tax reliefs on travel and subsistence expenses to a temporary place of work, save that the test for personal service companies will be whether they are caught by IR35.

This means that all other employment intermediaries- umbrella companies and agencies supplying individuals who are currently benefitting from those reliefs- are likely to have to wait until draft legislation is published on 9 December 2015 before it is clear what action, if any, can be taken and how any new regime would work.

The ARC responded to the original consultation in the summer and its concern remains, namely that the withdrawal of these reliefs could have the potential to cause significant damage to the UK’s flexible work-force. Whilst it acknowledges that the Exchequer has to achieve savings, HM Treasury should also consider retaining measures that ensure agency work remains an attractive option to work seekers.