What HMRC might deem false self employment is all over the place but the single largest market is construction, if you apply it there, it's instant revenue.
The document we've been following is a consultation called
"False self-employment in construction: taxation of workers"
What it says is that there are people working self employed in the construction sector who should be classified as employed; it says that the current tests for self employment are vague and recommends new legally binding rules to determine what they call “deemed employment”. The idea of course is to force employed levels of tax and
NI on the self employed community but without giving them the rights of employed workers.
Needless to say this will increase the cost of construction for contractors and the end clients right at a time when they can least afford it. So it remains to be seen whether this can be implemented now, held off or dropped altogether.