The government have announced that self-employed workers can apply for a grant worth 80% of their average monthly profits to help them cope with the financial impact of coronavirus.
The Chancellor announced that the Self-Employed Income Support Scheme will pay out a single lump sum up to £2,500 a month for three months. However, the scheme will not be available until the start of June at the earliest.
The government had faced criticism from stakeholders such as the IPSE for failing to provide support for self-employed and freelance workers in its earlier package of economic measures.
This latest scheme sees financial support for the self-employed brought into line with that on offer for employees under the Coronavirus Job Retention Scheme. However, the government are asking people not to contact them. Those who are eligible will be contacted by the government in due course.
Mr. Sunak said the steps taken so far were "already making a difference" but it was right to go further "in the economic fight against the coronavirus". He added to the self-employed: "You have not been forgotten."
The scheme is the latest in a raft of measures announced by the government to tackle the effects of the Covid-19 pandemic. Many contractors may also be eligible for further relief and should check the government website for details of the following:
- Universal Credit
- small business grants for those that pay low rates
- 3-month income tax and VAT deferrals
- business interruption loan scheme.
Umbrella Exchange has a range of options to help contractors keep their career on target. We’ll be bringing you sector insights and tips on how to stay well during the coming months. To talk to a member of our team, call: 0203 393 3881
