Next self-employed income support grant boosted to 55% of profits
The Government is to increase the support provided by its Self-Employment Income Support Scheme - with the value of the next three-month grant boost from 40% to 55% of average trading profits.
The third Self-Employment Income Support Scheme (SEISS) grant covers the period from November to January, and its value in November will be increased from 40% to 80% of profits - meaning over the three months it'll be worth 55% of profits, up to a maximum of £5,160.
The next grant will also be paid faster than previously planned, with the claims window opening on 30 November rather than the middle of December as previously announced.
It comes after the Prime Minister announced a new national lockdown in England, running from Thursday 5 November to Wednesday 2 December - though the increase in self-employed support applies UK-wide.
See Coronavirus Self-Employed & Small Limited Company Help for full help on your rights and what support is available.
How does SEISS work?
The Self-Employment Income Support Scheme (SEISS) is made up of four taxable Government grants for self-employed individuals. There were initially only two grants (these two have now closed), but in September Chancellor Rishi Sunak announced that a third and fourth grant would be rolled out.
This means that Government support for the self-employed will now be extended until 30 April 2021. However, the extension means there is now effectively 12 months' worth of support over a period covering 14 months – here's what Martin has to say on that.
The four grants are similar. The main differences are when they're available, how much they're worth and stricter eligibility criteria for the third grant compared to the previous two. The first two grants were open to those whose businesses were "adversely affected" by coronavirus, while those who apply to the second two need to declare that they have been specifically "impacted by reduced demand" due to coronavirus.
While the third grant has now been increased in size, it'll still cover a smaller amount than the previous two grants. And crucially, only those who were eligible for the first and second grant are able to apply for the third, which means those who were previously excluded and still excluded. See full info, including precise eligibility criteria, in our Self-Employment Income Support Scheme need-to-knows.