How Changes to UK Company Size Thresholds Impact IR35 and Off-Payroll Working Rules

The UK government has announced significant changes to company size thresholds, which will take effect for financial years beginning on or after 6 April 2025. These new thresholds mean that many more businesses will now qualify as small companies, exempting them from certain regulatory requirements—including the off-payroll working (IR35) rules. This is a crucial development for contractors and businesses that rely on temporary workers, particularly in industries such as nuclear, power generation, renewables, and utilities, where contract labour is essential.