UK Freelancers urged to secure projects before the October Budget. Here’s how to get started
This week’s labour market data paints a picture of economic resilience and potential prosperity. With unemployment (4.1%) at its lowest since January, and real wage growth strong at 1.8%, the UK is witnessing a “Goldilocks” scenario as good as it can get, according to equity research analyst John Choong, Head of Markets and Research at Newspage in London.
The combination of full employment and increased discretionary income sets the stage for sustained economic growth for the second half of 2024.
For UK freelancers and those collaborating with UK clients, this presents a unique window of opportunity to secure projects and lock in favourable terms before the October Budget potentially shifts the nation’s economic mindset.
Choong warns that as consumer confidence rebounds and businesses “whistle optimistically”, the economy remains in a “fragile state”.
He says, “The government’s rumoured fiscal policies, particularly regarding taxation, could make or break this delicate economic balance, and one misstep could transform our current economic symphony into a discordant mess.”
Why the Urgency?
The government’s rumoured fiscal policies, particularly regarding taxation, could make or break this delicate economic balance. Changes to tax rates, deductions, or allowances could impact both businesses and individuals, potentially affecting spending habits and investment decisions. For freelancers, this could translate to clients tightening their budgets or delaying projects until the economic outlook becomes clearer.
Furthermore, while the Bank of England may hold off on a September rate cut based off today’s data, given the labour market’s robust performance, the expectation of a 25bps cut before year-end still lingers. Choong suggests this potential catalyst, coupled with our resilient job market, suggests that the UK might indeed be on the cusp of a “golden era — if we play our cards right.”
Here’s how to approach clients before the Budget
Reach Out to Existing Clients: Initiate conversations with your current clients about their upcoming project needs. Highlight the potential benefits of starting projects sooner rather than later, such as locking in current rates and ensuring your availability.
Network Actively: Attend industry events, connect with potential clients online, and leverage your professional network to identify new project opportunities.
Offer Incentives: Consider offering discounts or flexible payment terms to entice clients to commit to projects before the budget announcement.
Review Your Contracts: Ensure your contracts include clauses that protect you from potential changes in taxation or economic conditions.
The current economic climate offers a promising outlook for UK freelancers. By taking proactive steps to secure projects now, you can position yourself for continued success in the face of potential economic changes.
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