IT contractors in other parts of Europe are facing exactly the same problems as those in the UK, it has been claimed.

They are also subject to tax regimes which are hostile to the way they work, as well being victims of over-regulation and a lack of political understanding about the contribution they make to society, according to Contractor Calculator.

Dave Chaplin, the advice website's chief executive officer, said that the "third way" of working, between employment and self-employment, is not recognised in most countries.

"This means that labour, business and tax laws are frequently drafted without taking into account the unique characteristics of contractors," he explained on the website.

The major challenge now is to get contractors a representative voice within European parliament, where much of our legislation now comes from, Mr Chaplin concluded.

According to research by recruitment agency Hays, most private firms view temporary workers as simply a way of avoiding adding to the permanent head count, rather than recognising the skills they can offer.