According to ComputerWeekly.com, many IT projects at the Ministry of Defence are on hold after IT contractors walked out over a dispute in their tax status. The UK Hydrographic Office (UKHO), responsible for the collection and supply of hydrographic and geospatial data to the Royal Navy has very limited IT staff after contractors walked out. The dispute is centred on whether contractors are eligible to be taxed under controversial rules known as IR35. The Association of Independent Professionals and the Self Employed (IPSE), which represents around 26,000 public sector off-payroll workers, is known to have written to the UKHO in June about the issue.

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