We have some excellent consultants. They bill in 15min increments. So I assume we don't pay them for dicking around if they do partake (and they do, as they're human). They're still 100% utilization.
The former has better marketing (and a commensurate increase in rates, naturally).
But seriously, given the breadth of roles that could reasonably be described as freelance, there's little meaningful or objective distinction between freelancers and consultants. I don't think the distinction between freelancing and contracting is particularly relevant today either, though some would strongly disagree.
For non UK folk IR35 is a rule brought in to penalize self employed IT people of course self employed lawyers and accountants don't have this problem.
At first glance, it's a bit scary.