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The FCSA is disappointed by the recent article contained within Computer Weekly which can be found here: IR35: FCSA defends Charter change that lets umbrella firms operate offshore setups (computerweekly.com)
The FCSA was created over 12 years ago to uphold the strongest possible ethical and operating standards. It operates via a set of published standards that are comprehensive and independently tested and provide the highest level of protection to the contractor and compliance assurance to the supply chain within the outsourced sector.
Our CEO, Phil Pluck has already commented within the article itself. But the article makes a number of inferences that are simply inaccurate. To be clear, the FCSA has never allowed its members to use, operate or promote any overseas or UK arrangements/schemes that change the lawful tax treatment of money earned in the UK. This has always been enshrined within the FCSA Codes of Compliance and always will be. The FCSA Charter has simply been amended to be in line with the existing FCSA Codes and we would encourage anyone who is interested to look in detail at both.
It is clear that within the FCSA Codes that members have never been able to use or promote offshore models to contractors (A8 of the FCSA Mandatory Code confirms this). FCSA companies must be registered in the UK, be subject to all UK employment legislation and be fully compliant with UK tax regulation.
We remain disappointed that the FCSA finds itself under attack for simply promoting and implementing the very highest standards of compliant and ethical behaviour within the sector and we remain confident that our comprehensive Codes and Charter give the contractor and supply chain the greatest assurance of compliant, legal and ethical choice. We also note that recent accusations against the FCSA and its members are just that. No evidence of non-compliant behaviour against an FCSA member has been provided to the FCSA in relation to these recent accusations.