Recent statistics released by HMRC show a dramatic decrease in IR35 reviews and a consequent reduction in the resulting tax collected.

158 reviews were conducted in the 2006/2007 tax year with subsequent years decreasing to 104,25 and 12 respectively. 2010/2011 showed a slight increase to 23 reviews conducted. Tax yields over this period have reduced from £1.9 million in 2006/2007 to £219,00 in the year ending 2011.  In 2009/2010 the tax yield from IR35 reviews was a mere £155,00.

In response to the figures, John Brazier of the Professional Contractors Group said, "These figures confirm what PCG has always said, that the tax yield from IR35 is minimal and that the stress and damage done to the UK's 1.4 million genuine freelance businesses is completely unneccessary. It also shows us that IR35 is an unwarranted measure introduced by the previous Government"

Whether or not the Government decide to scrap IR35 altogether remains to be seen; for the moment the administration of IR35 is simply being "reviewed".