Nigel Farage has doubled down on Reform UK's proposal to scrap IR35, framing it as the showpiece policy of a new campaigning organisation, Small Business for Reform.
Calling company directors "up and down" the UK to join the organisation, Mr Farage said it would become a "strong voice and a very strong lobby group for small business".
'Produce the right small business policies for Reform's next general election manifesto'
Mr Farage said: "We are looking for thousands of small businesses up and down this country to join this organisation, and we will put in place a board.
"We will work together to produce the right policies for small businesses, entrepreneurship, for start-ups — and for our manifesto for the next general election."
'Bureaucratic IR35 has made life very, very difficult for contractors'
The Reform leader's speech about Small Business for Reform (made on November 10th at an invite-only event to small-business leaders in London), used the party's pledge to axe IR35 as its showpiece.
Just two minutes in, Mr Farage said: "The IR35 rules, brought in by the Conservative Party, [are] affecting every single self-employed sole trader in this country…in the most bureaucratic and the most ridiculous way.
"I think it all comes from Treasury thinking that says that 'Anybody in the private sector must be a crook, and only those of us in Whitehall are the good guys.'
"The IR35 rules have made life very, very difficult for self-employed contractors, and frankly, they simply need to be scrapped."
'Reform would axe the whole IR35 framework'
Farage's mention of "the Conservative Party" suggests he was referring to the Off-Payroll-Working (OPW) rules, as it was the Tories who introduced the two sets of OPW rules in April 2017 and 2021.
But in a new development, when shown a news article stating that it is only the reform of IR35 that Reform UK would repeal, a party spokesperson implied that the proposal goes even further.
Asked whether Reform would axe both the Off-Payroll Working rules and the original 2000 Intermediaries legislation, Reform UK indicated to ContractorUK that it would.
'Off-payroll reforms have been damaging'
ContractorUK yesterday asked four expert advisers to contractors for their reactions.
The four are — a leading contractor accountant, a top tax lawyer, an IR35 status specialist, and a veteran IT recruiter.
The accountant, Dan Mepham, boss at SG Accounting, says: "I'm not surprised to hear calls for IR35 to be scrapped by Nigel Farage — it's been a Reform UK policy for a while now.
"And it is one of their commitments to abolish IR35 within 100 days of entering government.
"The off-payroll reforms have been damaging — not just inconvenient. They've pushed skilled, flexible workers out of projects; they've forced businesses to engage talent through intermediaries; and they've created a culture of fear where 'risk management' matters more than getting work done."
'Real-world effects of IR35 have become too complex to manage'
Tax lawyer Rebecca Seeley Harris, of ReLegal Consulting, confirmed: "IR35 was introduced to tackle disguised employment, but its real-world effects have got too complex to manage.
"One particular injustice is that the contractors deemed 'inside IR35' pay employment-style taxes while receiving none of the corresponding rights on holiday, sick pay or redundancy.
"That mismatch undermines morale and is simply unconscionable. Clients also default to blanket decisions to manage risk, which is understandable, but it reduces agility and innovation across supply chains."
'Contractors would be very happy if Chapter 10 rules were scrapped'
Charlie Hemsworth, of status specialists Bauer & Cottrell, said in a statement: "This isn't the first time we've heard this from Reform UK.
"And it really would be a very happy day indeed for contractors and engagers if the Off-Payroll Working rules ('Chapter 10') were scrapped.
"The rules are extremely onerous for businesses, are continually criticised by independent bodies and have caused huge damage to the self-employed market over the last five years."
'Caution, and correction'
Hemsworth cautioned that any political party promising to repeal IR35 "needs to really understand how contracting, temp work and supply chains actually operate in the UK".
"A slight correction to Nigel's speech — IR35 does not apply to sole traders," said Matt Collingwood, owner of VIQU-IT.
"Putting that aside, I agree with Farage's thinking.
"The taxation gap between PAYE and working through a personal service company is now so small that many business owners find it difficult to decide which route to take.
"And some choose to take themselves out of the equation altogether by seeking permanent employment instead."
'Risk-takers in business deserve to be compensated'
Also the owner of VIQU Energy, Mr Collingwood added: "I genuinely believe that if you take risks, create opportunities, and generate jobs as a business owner, self-employed professional — or sole trader — you deserve to be compensated fairly for those risks. I would love to see IR35 repealed. I believe that if Reform UK were to come into power, they would gain substantial support from small business owners because of their approach to backing enterprise."
In his speech (on November 10th 2025), Mr Farage said: "Let's allow the self-employed — you don't get sick pay or anything else. Let's allow them to carry on with their lives."
