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Kaye Adams

Atholl House Productions Limited v The Commissioners for HMRC · [2024] UKFTT 00037 (TC) · First-tier Tribunal, 2024 · read the judgment

On the remitted hearing, the tribunal held that hypothetical contracts between Ms Adams and the BBC would have been contracts for services rather than contracts of employment. Appeal allowed.

The tribunal held

Outside IR35

CEST returned

Unable to determine

Refused to decide

Our engine scored

46/100

Predicts inside. Disagreed with the tribunal

Our score is a 0 to 100 probability of being outside IR35, read as "outside" at 50 or above.

Why this is a Chapter 8 case

The tribunal constructed hypothetical contracts between Ms Adams and the BBC, with Atholl House Productions Limited as the intermediary. That construct exists only under section 49 ITEPA, so its presence is what distinguishes a Chapter 8 status case from an agency case under section 44 or a Host Employer NIC case.

Every answer, and why

This is the contestable part of the study. Each row is a question CEST asks, the option we chose, and the finding in the judgment that drove it. Confidence in this encoding is recorded as high, and 4 answers are marked as inferred where the judgment makes no express finding.

If you think an answer is wrong, it is a specific row you are disagreeing with, which is the point of publishing them.

Personal Service

Has a substitute ever actually worked in your place on this engagement?

No substitution has happened on this engagement

No substitution occurred. The tribunal found that in practice Ms Adams did not provide substitutes: if she could not present, the BBC found a replacement and paid that replacement separately, outside the agreement.

If you needed to send a substitute, could the client reject them?

Yes — the client could reject a substitute, or has an approval veto

Clause 16.7 of Part B permitted an alternative provider only in exceptional circumstances where she was unavailable for reasons beyond her control, subject to BBC approval. Asked in correspondence whether she was entitled to send a replacement, Ms Adams answered "Of course not". She accepted the only service a substitute could realistically perform was programme preparation.

Control

Can the client move you to different tasks or work areas on this engagement?

No — a new agreement with me would be required

Inferred. The agreement engaged her as presenter of the Kaye Adams Programme for a minimum commitment of 160 programmes, so moving her to different work would have required a new agreement. The judgment makes no express finding on this point.

Who decides how you do your work — the methods and approach you use?

I agree how to do it with others (client team, colleagues)

Clause 17 of Part B gave the BBC final editorial control, but the tribunal found the reality was collaborative: the team and Ms Adams discussed content and decided the format together, and the editorial team never needed to insist on editorial control. The producer likened her to the conductor of "her Orchestra".

Who controls when you work — the days and hours?

The client decides my schedule

Inferred from the nature of a scheduled daily radio programme, which airs in a fixed slot. The judgment records the BBC accommodating her other commitments but does not find that she set the broadcast schedule.

Who decides where you carry out the work?

I cannot choose — I must work at the client's location

Studio-based. The BBC would sometimes allow her to present from an alternative location to help her fulfil other engagements, which is permission rather than the worker choosing.

Financial Risk

Did you purchase and supply significant raw materials for this work?

No

Did you provide significant specialist equipment of your own for this work?

No

Did you use your own vehicle as a primary work tool on this engagement?

No

Did you incur significant other work-related expenses at your own risk?

Yes

Clause 7 of Part B made the Minimum Fee inclusive of all expenses unless specific exceptional expenses were agreed in advance, and required the Appellant to provide her clothing. The tribunal also records her challenging public criticism "of her own initiative and at her own expense".

Are significant work expenses simply not applicable to this type of role?

No — expenses could be relevant but I didn't have them

How are you mainly paid for this work?

Fixed price for the project or deliverable

Clause 6.1 of Part B: a Minimum Fee of £155,000 for a minimum commitment of 160 programmes, with additional programmes at £968.75. Encoded as fixed rather than piece rate because the BBC was not obliged to call on her services yet remained obliged to pay the Minimum Fee.

If you delivered substandard work, what would happen?

The work cannot be corrected once done

Inferred. A live broadcast cannot be re-performed. The judgment makes no finding on rectification at the worker's own cost.

Integration

Do you receive employee-type benefits from the client?

No

Clause 11.19 of Part B expressly excluded any BBC liability for insurance cover, including health and medical insurance, or for loss of income or expense due to illness or injury.

Do you manage any of the client's employees — acting as their line manager?

No

Do you have direct contact with the client's customers or end clients?

Yes

She presented a BBC programme to the BBC's audience, so contact with the end client's audience is inherent in the role.

When you interact with customers, how do you present yourself?

As an independent contractor or consultant

Finely balanced and the most contestable answer in this case. On air she fronted a BBC programme, but the tribunal found her own brand dominant: when introduced at other engagements she was more likely to be called "Loose Women's Kaye Adams" than "the BBC's Kaye Adams", and she cut back BBC work to expand Loose Women. Encoded as working as an independent on the strength of those express findings.

Ongoing Obligation & Business Independence

Is the client obliged to offer you work, and are you obliged to accept it, throughout this engagement?

No — either party can stop without obligationCEST does not assess this

The agreement stated the BBC "will not be obliged to call on the services" of Ms Adams and would not be liable for any resulting loss, provided it still paid the Minimum Fee.

When this contract ends, would you be surprised if the client did not offer you more work or extend?

Yes — I expect it to continue and would be surprised if it didn'tCEST does not assess this

Inferred. She had worked for the BBC for a number of years under successive agreements before those in issue.

Are you working for multiple clients simultaneously, or have you actively marketed your services to others in the past 12 months?

Yes — I have or actively seek multiple clientsCEST does not assess this

Clause 1 stated her services were not exclusive, and clause 8.1 gave the BBC only first call subject to prior professional commitments. The tribunal found the BBC never sought to restrict her work for others and would go out of its way to help her fulfil other engagements.

Do you hold professional indemnity or public liability insurance in your own name or through your company?

NoCEST does not assess this

Not established. Clause 7 made the Appellant responsible for insurance of any equipment it or she provided, and clause 11.19 disclaimed BBC liability for her own cover, but the judgment makes no finding that the company carried professional indemnity or public liability insurance. Encoded false rather than assumed. This field is Verdict-only and does not affect the CEST result.

This case is one of 10 encoded so far. The method, the limits and the full results are on the study page.

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