The self-employed can claim Government support of up to 80% of profits during the initial month-long lockdown in England, Chancellor Rishi Sunak has confirmed.
Like previous tranches, the third taxable grants available through the self-employed income support scheme (SEISS) covers three months – from 1 November 2020 to 31 January 2021.
The latest tranche was initially set to only cover 40% of a claimant’s average monthly trading profits up to £3,750 in total.
This would have been a vast reduction on the previous grants, which covered 80% and 70% of total average trading profits up to £7,500 and £6,570 respectively.
However, it will now cover 80% of trading profits for November 2020, before reverting back to 40% for December 2020 and January 2021 – if lockdown in England ends on 2 December 2020.
Including the new higher November grant, it means the third taxable SEISS grant will cover 55% of profits, up to a maximum of £5,160 in total.
It is only available to self-employed individuals who were eligible for the previous payments.
The Government said third-tranche payments will be made more quickly, with the claims window being brought forward from 14 December 2020 to 30 November 2020.
Businesses can also continue to apply to banks for state-backed support loans until 31 January 2021, compared to a previous 30 November deadline for some of the schemes.