This really is wonderful news for interim HR consultants

The Bonus Horror Tax may appear to be a nightmare for all but the youth unemployed that it's intended to assist, but it also looks set to be a good thing for the average HR contractor.

As well as all the hard work determining exactly what the tax means and precisely who merits earning a bonus that will cost an additional 50% to the bank paying it, the tax looks like generating lots of extra admin.

Page 11 of the HMRC's technical note details additional reporting requirements related to all the taxable bonuses over 25k. It also talks about penalties for banks which don't fulfill those requirements.

Recruiters operating in the HR contractor market say their wares have already been fairly popular this year.

"There's been big demand for senior level interim HR people going into banks," says Nicole Brooke at Pemberton Search. "A lot of them have been focusing on how to retain top performers after bonuses have been paid."

"The big demand is for comp and bens specialists," says Christos Sarros, head of financial services interim HR roles at recruitment firm Huxley. "Banks have been bringing in compensation specialists to help work out their strategies around pay."

At the top end, Brooke says interim HR directors can command up to 150k a year. Sarros says comp and bens consultants are on up to 350 a day.