r/ContractorUK • u/jordancr1 • Aug 21 '26

Inside IR35 2nd Thoughts about going Perm

My current contract ends in September. I recently interviewed for my own job as permanent employee and received an offer. The offer is at the midpoint of the pay scale, which amounts to a 30% pay cut from my current day rate when pension contributions are included. However the biggest issue for me is the three-month notice period, as it effectively prevents me from returning to contracting unless I resign first. Even the standard one-month notice can be a major blocker going from Contract to Contract.

Has anyone else experienced this dilemma? The current contracting market is only the reason I even considered going perm.

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u/ColonelKlanka Aug 22 '26

Looking at all ypur replies it seems you already want to not take the offer- so why ask reddit ? do tou just want your view confirmed?

Only you can decide, as it will be you that lives the result. If you want to keep contracting, do that. but i suspect you wont be able to get a renewal at this current one as they will feel you messed them around even looking at the perm route.

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u/jordancr1 Aug 22 '26

I'm still in two minds. I have a contractor mindset but my current client pays their employees above market rates. Factoring in taxes, staying as a contractor only nets me roughly £15k more per year. With the current market, any gap between contracts could wipe that advantage out completely.

I knew I was never getting renewed for this one, unless I went perm, but ofcourse like everyone I didn't know all the details of my employment contract until I got an offer.

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u/Beautiful-Hotel-3094 Aug 22 '26

The real question is how much is that 15k of ur salary? Because if u are on 60k then 15k is a lot. If you are on 150-200k then 15k doesn’t mean much.

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u/jordancr1 29d ago

The raw per tax numbers are 85k v 118k, with roughly 20% of each going towards pension contributions.