Contractors now make up one in 20 of the UK’s workforce. The sector has grown by 12% over the last three years to include 1.56 million workers. These figures are the result of preliminary research by Kingston University and PCG, released for National Freelancers Day on 23 November 2011.
The research also reveals that interim managers represent the second largest contracting group in the UK (numbering 161,000), whilst IT and telecoms contractors are the fourth largest (93,000). The top spot is held by contractors and freelancers in arts, literary and media occupations (265,000), with teaching/education in third place (110,000).
This 12% growth in contracting occurred over the same period, 2008-2011, in which unemployment increased by almost 50% to reach 2.49m, suggesting that many workers have chosen contracting as a lifestyle choice and an alternative to unemployment.
PCG Managing Director John Brazier welcomed the research, saying: “Freelancers are offering industry and commerce a flexible talent stream when and where it is needed.
“The figures underline the steady growth in the sector in turbulent times, and confirm a widely held belief that more and more skilled and talented individuals are opting for freelancing as a work/lifestyle choice, or because of economic circumstances.
This new research comes hard on the heels of a report submitted by the All Party Parliamentary Group (APPG) for the Freelance Sector to MPs and policymakers. According to APPG Chairman, Brian Binley MP, in his foreword to the report: “Freelancers play a vital and often understated role in the British economy.”
The report has been distributed to encourage Government to address what is seen as “policy gap”. It states: “Though there is widespread support and acceptance of freelancing, and in particular of the value it brings to the economy, policies to support and promote this vital sector of the workforce are often lacking.”
PCG and Kingston University’s research underlines the urgent need for policymakers to create a regulatory framework supporting the flexible labour market, to maintain the UK’s competitive advantage within Europe. The APPG report notes: “With polices to encourage this, freelancing can play a key role in the UK‟s economic growth.”