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Self-employed: Coronavirus

Department for Work and Pensions written question – answered on 15th April 2020.

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Photo of Tommy Sheppard Tommy Sheppard Shadow SNP Leader of the House of Commons

To ask the Secretary of State for Work and Pensions, what plans she has in place to protect people working (a) freelance and (b) without a contract whose work is reduced or ended as a result of the effect of covid-19 on the business they work for.

Photo of Mims Davies Mims Davies The Parliamentary Under-Secretary of State for Work and Pensions

Holding answer received on 19 March 2020
An error has been identified in the written answer given on 20 March 2020.

The correct answer should have been:

As both the Prime Minister and Chancellor have made clear, the Government will do whatever it takes to support people affected by COVID 19 and we have been clear in our intention that no one should be penalised for doing the right thing. These are rapidly developing circumstances, we continue to keep the situation under review and will keep Parliament updated accordingly.

The Chancellor has announced a Self-Employed Income Support Scheme that will help millions of people across the UK, with those eligible receiving a cash grant worth 80% of their average monthly trading profit over the last three years. This covers 95% of people who receive the majority of their income from self-employment.

The scheme brings parity with the Coronavirus Job Retention Scheme, whereby the Government committed to pay up to £2,500 each month in wages of employed workers who are furloughed during the outbreak.

We have also temporarily relaxed the application of the Minimum Income Floor (MIF) for all self-employed claimants affected by the economic impact of COVID-19 to ensure that the self-employed can access UC at a more generous rate.

Does this answer the above question?

Yes1 person thinks so

No0 people think not

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Photo of Mims Davies Mims Davies The Parliamentary Under-Secretary of State for Work and Pensions

Holding answer received on 19 March 2020

As both the Prime Minister and Chancellor have made clear, the Government will do whatever it takes to support people affected by COVID 19 and we have been clear in our intention that no one should be penalised for doing the right thing. These are rapidly developing circumstances, we continue to keep the situation under review and will keep Parliament updated accordingly.

The Chancellor has announced a Self-Employed Income Support Scheme that will help millions of people across the UK, with those eligible receiving a cash grant worth 80% of their average monthly trading profit over the last three years. This covers 95% of people who receive the majority of their income from self-employment.

The scheme brings parity with the Coronavirus Job Retention Scheme, whereby the Government committed to pay up to £2,500 each month in wages of employed workers who are furloughed during the outbreak.

We have also temporarily relaxed the application of the Minimum Income Floor (MIF) for all self-employed claimants affected by the economic impact of COVID-19 to ensure that the self-employed can access UC at a more generous rate.

Does this answer the above question?

Yes0 people think so

No0 people think not

Would you like to ask a question like this yourself? Use our Freedom of Information site.