COVID-19: Support for the Self-Employed Revealed by the Government

The Government has revealed a support package for the self-employed

Chancellor Rishi Sunak has outlined a support package to be given to the self-employed, including homeworkers.
They will receive 80% of their average monthly profit, up to a maximum of £2,500 a month.

Payments will be based on their last three years’ tax returns and they will last for three months, putting the self-employed on the same footing as employees.

The Chancellor said the scheme would cover 95% of the estimated five million self-employed people.
The support for the self-employed will be up and running by the beginning of June, possibly earlier, with payments back-dated to March.

Self-employed people don’t need to contact HMRC, they will be sent forms to fill in to show their current trading and earnings, he said, and lump sum payments will be made directly to their bank accounts.

For those self-employed with fewer than three years’ accounts, payments will be based on their average earnings over the past two years or solely on their 2018/2019 tax return. However, for the recently self-employed who have yet to file a tax return, the Chancellor said ‘there is nothing we can do’.