The self-employed will now be able to claim a cash grant equivalent to 55 per cent of usual trading profits after the Government announced that the UK would go into a second national lockdown.
Under the changes to the Self-Employment Income Support Scheme (SEISS), the level of financial support for the month of November will be doubled from 40 to 80 per cent.
As SEISS grants are calculated over three months, it means that the total level of financial support has been increased to an average of 55 per cent across November, December and January, up to a maximum £5,160.
According to the Government, this is “broadly equivalent” to employees enrolled on to the Coronavirus Job Retention Scheme (CJRS) in November and then the Job Support Scheme (JSS) in December and January.
As per usual, the SEISS will be available to self-employed workers who are experiencing reduced demand or cannot trade due to the effect of Covid-19, and who:
- have submitted a Self Assessment tax return for the tax year 2018/19
- have traded in the tax year 2019/20
- intend to continue to trade in the 2020/21 tax year, and
- more than half of their income is derived from self-employed profits.
HM Treasury said the window for claiming the third grant will open on 30 November – two weeks earlier than previously announced.