To ask the Chancellor of the Exchequer, what steps he is taking to support self-employed people who are not eligible for the Self-Employed Income Support Scheme due to having a loss in trading profit bringing their average trading profit to below zero.
Self-employed individuals, including members of partnerships, are eligible for the Self Employment Income Support Scheme (SEISS) if they have submitted their Income Tax Self Assessment tax return for the tax year 2018-19, continued to trade, and have been adversely affected by COVID-19. To qualify, their self-employed trading profits must be no more than £50,000 and at least equal to their non-trading income. The value of the grant is based on average trading profit over three tax years: 2016-17, 2017-18, and 2018-19. The aim is not to subsidise the self-employed who would have been making losses regardless, but to support those who have been adversely affected as a result of COVID-19.
Individuals who are not eligible for the SEISS may be able to benefit from other elements of the unprecedented financial support provided by the Government. This package includes Bounce Back Loans, tax deferrals, rental support, mortgage holidays, and other business support grants. On 8 July, the Government also introduced the new Plan for Jobs which will make available up to £30 billion to assist in creating, supporting and protecting jobs.