Applications open for self-employed who need government help

17/08/2020
Rishi Sunak. UK Chancellor

APPLICATIONS have opened for the second round of grants for the self-employed to help them through the Covid-19 pandemic.

The grant will cover the three months to the middle of October, and is the final time the Government has said it will support the self-employed with a cheque.

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They can claim 70% of their usual income under the Self-Employment Income Support Scheme (SEISS), up to a maximum of £6,570 for the three months.

So far around £7.8 billion has been paid out to support approximately 2.7 million self-employed people who sent claims to the authorities for help.

Last week the Office for National Statistics found that there were around 238,000 fewer self-employed people in the most recent quarter.

The Association of Independent Professionals and the Self-Employed said that the Government will need to consider a second extension if there is a second wave of Covid-19.

Derek Cribb, association chief executive, said: “It is now clear from the sharp drop in the number of self-employed in the UK that this vital part of the workforce has had nowhere near enough support compared to employees.

“Two-and-a-half million people claimed for SEISS between May and June – just half of the total five million self-employed in the UK. Now, as the number of self-employed has fallen sharply for the second quarter in a row, we are seeing the consequences.

“With the risk of a second wave looming, government must be ready to not only reopen SEISS, but also extend it to the desperately struggling forgotten self-employed.

Historically, self-employed people have been essential for kickstarting the economy in recessions, but they cannot do this if they are driven out of business before they can play their part.”

 

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