Jane Crosby from Hart Brown Solicitors outlines the new government support scheme for the self-employed:
Yesterday Rishi Sunak, the Chancellor, declared measures for the outline details of the rescue package for the self-employed. There has been a lot of thought and consideration that has gone into this scheme. The Business secretary has said people are working night and day to get this scheme up and running.
What you need to know about the package of support that has been announced : –
The government will contact individuals about this scheme so you do not need to phone up to apply, so keep looking at the website for more details.
The government will review the average income over the last three years and
self-employed people can claim these grants and continue to work like employees on the furlough scheme.
The scheme is only open to anyone with trading profits less than £50,000 so this prevents people earning more qualifying for this scheme.
If you are in part time employment and are self-employed, you may not be able to apply.
The scheme is only for those who have submitted a tax return for 2019. However if you have been delayed or deferred you may be able to apply for the scheme.
This will be a rescue package where the government will pay self-employed people a taxable grant worth 80% of average monthly income, capped at £2,500 per month.
The scheme is unlikely to be coming up until the end of June so there may be problems for self employed people in the short term.
About the author
Jane is an employment and commercial litigation solicitor, and Partner at Hart Brown Solicitors