Weds, 29 Feb 2012

The average hourly rate for professional umbrella contractors has fallen over the last year for the second year in a row, according to research from the Parasol Group of companies, which surveyed 8,000 umbrella companies.

The average hourly rate for umbrella contractors and freelancers in the UK in February 2012 stands at £32.39, compared to £33.12 in February 2011.

The Parasol Group data also shows that the gender gap between male and female contractors also continues to grow – having stood at £3,225 in terms of gross annual pay in 2011, in 2012 this has increased to £4,459, based on an average hourly rate for men of £33.09 compared to £30.56 for women.

Parasol Group managing director, Derek Kelly, says: “Once the UK economy starts to pick up, then rates for contractors and freelancers will do so as well. Until then though I would encourage all umbrella contractors to make sure they are maximising their take-home pay by claiming for all their legitimate business expenses and start to practice their pitch for a rate increase later on in the year.”