Many self-employed people have already been greatly impacted by the outbreak of the coronavirus in the UK, with the recent government lockdown preventing them from doing their normal work.
That is why many of the five million people in Britain who are in self-employment will be greatly relieved to hear of the government’s new Self-Employed Income Support Scheme.
Earlier this week (March 26th), Chancellor of the Exchequer Rishi Sunak revealed those who work for themselves who are unable to conduct their business because of the crisis will be able to receive 80 per cent of their salaries up to £2,500 in grants for three months.
This is thought to cover the vast majority (95 per cent) of people in Britain who receive most of their income from self-employment.
Mr Sunak stated: “Self-employed people are a crucial part of the UK’s workforce who’ve understandably been looking for reassurance and support during this national emergency.”
This support package is designed to help everyone “get through this emergency together”.
It is applicable to those who had a trading profit of below £50,000 for 2018-19, or an average trading profit of lower than this for the last three years.
Grants until May 2020 will be paid at the beginning of June to ensure self-employed people are not left out of pocket for too long.
Rt Hon Stephen Timms MP, chair of the work and pensions committee, commented on the package, saying it is “hugely welcome”.
However, he added the government must organise the grant promptly “so people get the money they need and quickly”.
Accountants in Bourne End can help those whom this package might apply to.