STEM freelancers are voting with their feet
In the UK’s STEM sectors, freelance and contract workers have long underpinned business-critical delivery. When niche skills are needed fast, or projects ramp up unexpectedly, it’s freelancers who make it happen. But that safety net is fraying and businesses are starting to feel it.
From flexibility to frustration
In today’s market, STEM contractors are reassessing their future. Freelancing once promised control, choice and competitive earnings. And for many, it still does. But new pressures are changing that equation.
IR35 and off-payroll rules have made flexible work harder to access and riskier to offer. Contractors now face a tangle of compliance requirements, reduced take-home pay, and fewer “outside IR35” roles that align with their expectations. Businesses, too, have grown cautious — limiting the flexibility and autonomy that freelancers value most.
At the same time, concerns about job security, inconsistent cash flow, and lack of benefits are rising. Entry-level freelancers cite limited development opportunities; mid-level specialists feel a lack of belonging; and across the board, many are questioning whether the trade-offs are still worth it. This isn’t just a shift — it’s a signal. Freelancers are voting with their feet.
Global talent is watching…and walking
The UK’s loss could become someone else’s gain. According to Matchtech’s Voice of the Workforce Survey 2025, over eight in ten contractors say they would consider looking for freelance opportunities overseas if conditions at home worsen. And many already are. Countries with simpler tax laws, clearer contracting models, and higher demand for STEM talent are drawing UK freelancers away — permanently, in some cases.
This talent flight is especially risky at the senior level, where contractors carry the most niche experience and deliver the highest impact. Losing this capability isn’t just a short-term resourcing headache — it’s a long-term competitiveness issue for UK plc.
Contractor loyalty is earned, not assumed
One of the clearest messages from the survey is this: contractors are not loyal to a working model — they’re loyal to good opportunities, fair terms and professional respect.
Right now, only four in ten professionals open to contracting say they’d consider all roles regardless of IR35 status. One in five won’t even apply for roles marked “Inside IR35”. That’s not stubbornness — it’s pragmatism. Contractors are weighing up the risks and increasingly walking away from roles that don’t stack up.
So, what can employers do?
If your business relies on freelance STEM talent, now is the time to adapt. That could mean:
- Reviewing your IR35 stance and working with expert partners to identify roles that genuinely fall outside scope.
- Offering more certainty and support, such as longer contracts, clear project scopes, and prompt payment terms.
- Exploring hybrid models like Employed Consultancy, which offer a halfway house between freelance and permanent, giving both sides what they need.
- Treating contractors like talent, not transactions — by including them in team communications, recognising their contributions, and respecting their need for autonomy.
A flexible future is still possible
Contracting isn’t broken beyond repair — but it does need a rethink. The fundamentals of freelance work are still valuable: agility, speed, expertise on demand. But the market has changed, and contractors are responding.
Organisations that evolve their models, listen to contractor feedback, and invest in better engagement will still be able to access the best freelance STEM talent. Those that don’t may soon find their usual talent pool drained, with little warning and no easy fix.
Because in the current market, STEM freelancers are voting with their feet — and their skills are going where they’re most valued.