A total of 11 of Theresa May's government's plans were shelved by the time of the Queen's Speech. These included the so-called dementia tax, energy price caps and winter payments. For contractors, there have been a lot of changes concerning taxes that might concern them – notably, corporation tax.
When the prime minister first came into office, she pledged to bring corporation tax down to a low 17 per cent – one of the most reasonable rates in Europe. On the other hand, Jeremy Corbyn has always made clear his intention to raise corporation tax to 26 per cent.
In the absence of clear tax changes moving forward, the current corporation base rate rests at 20 per cent and is likely to stay that way for the foreseeable future. As with delays concerning changes to off-payroll rules and dividend increases, this is something contractors and PSCs can be pleased about.
Since many controversial tax policies were left out of the Finance Bill in order to get it passed before the government dissolved for the snap election, the future of contractor tax is as yet uncertain. But as Theresa May tries to garner support from her backbench critics, it's unlikely she'll be rolling out these reforms right away – so the UK's self-employed can rest easy. For now.