Difference between contractors and employees for payroll tax

[CC07 PEU]

Are there ever any circumstances when a company would offer a short term contract position and have that person on the payroll rather than the contractor issuing an invoice for the work? If so, what would the reasons be for this as I understand the company saves tax by not having the person on the payroll?

[CC07 PEU]

malks222 said:

protect themselves from IR35?

Liability- eg the insurance risk for a contractor would be too high, but if they are an employee protected under the businesses own insurance?

Sensitive information- technically would be giving and business access to certain information that may be against company policy?

contract with agency- agency may only employ people as paye/umbrella and not engage limited company contractors

there may be more, but these are reason I have come across.

Ok, that's really useful to know, thanks.