Further reaction has come from various parts of the recruitment industry as the new government gets to work in fulfilling it promise of change.

“ManpowerGroup has long been calling for a people-first approach to securing future prosperity for our country and to unlock the potential of its people,” said Michael Stull, managing director, ManpowerGroup UK. “As millions nationwide are currently unable to either find, access or participate in work, we look forward to engaging with relevant Ministers across the new government as Labour implements the initiatives outlined in its Plan to Make Work Pay paper.

“Better skills, leading to better quality jobs that provide sustainable earning potential, work-life balance, and wellbeing – done in ways that can be equitably accessed and shared by all – are, in our view, what’s needed to deliver a more inclusive and dynamic labour market. Under Labour’s new leadership, the UK’s transition towards the new-look economy of the future is a priority that we and others are eager to explore.”

Crawford Temple, CEO of Professional Passport sent a message to the new government saying: “With a new PM and Labour government arriving in Number 10, I would like to remind them of one of their campaign pledges to tackle tax avoidance as a top priority and take decisive action. The Tories had 14 years to stamp out tax avoidance, yet unscrupulous operators are still exploiting the loopholes, skirting regulations, and thriving.  Moreover, they are getting away with it unpunished.

“I would like to remind Labour that HMRC already possesses the necessary tools to combat this systemic tax avoidance,” he went on. “Real-Time Information (RTI) reporting that was introduced in 2013 along with the 2014 Intermediary Reporting provides HMRC with two sets of data that give a unique insight into the market and the supply chain.  Matching that data should set alarm bells ringing and help HMRC identify a dubious provider and shut it down immediately. Yet currently it appears this data is not being effectively utilised to proactively pinpoint anomalies that would flag illegal behaviour.

“I have suggested before and I would like to reiterate to this new Labour government, if HMRC worked more closely with the recognised compliance bodies in the sector, together with a joined-up targeted approach we could identify the architects of the dodgy schemes and take steps to limit their access to market.

“We need a multi-faceted approach to address this problem,” Crawford adds. “Labour must equip HMRC with more resources to significantly enhance enforcement efforts and implement stringent penalties for those orchestrating these schemes. The message must be clear: tax evasion will not be tolerated.

“However, enforcement alone is not enough. We must foster a culture of compliance and transparency within the industry. I have been calling for the formation of a dedicated working group for some time, bringing together experts from the umbrella market, policymakers, and other relevant stakeholders. This collaborative approach will ensure that new policies are both well-informed and practical, while also building trust between the government and legitimate industry players.

“By working together, we can identify and address the root causes of non-compliance, promote best practices, and raise industry standards. This isn’t just about recovering lost revenue; it’s about creating a fairer economic landscape for all.

“However, I would issue a note of caution too and ask Labour to take time to understand the market and pressure points before making and taking any hasty decisions,” concluded Crawford. “The Tories paid lip service to listening to industry experts then ignored them and that is why the sector is in the place it’s in. Let’s hope that a Labour government will listen and we can make some real progress.”

Stay up to date

Keep me up to date to receive all the latest news and updates.