Concerns have been raised over Chancellor Rishi Sunak’s financial aid package for the self-employed, announced 26 March.

Sunak announced that those who are self-employed can apply for a grant worth 80% of their average monthly profits, up to a maximum of £2,500 a month.

This average will be worked out based on the last three years of accounts, although three years of accounts are not required to be eligible. A minimum of one year’s worth is accounts is required.

While support for the self-employed has been welcomed, those who are classified as sole directors of their own limited companies have been left in limbo. These people cannot claim the 80% either as an employee or as self-employed, and may have to apply for Universal Credit.

It is also unclear whether or not they can furlough themselves, in order to receive the 80% wage grant which was announced by the chancellor last week.

If you are self-employed or work on a freelance basis and have questions, we urge you to visit The Association of Independent Professionals and the Self-Employed (IPSE).

Derek Cribb, CEO of IPSE, commented: “We urge the government to get this vital support to freelancers as soon as practically possible.

“This is an unprecedented package and a very welcome response to our campaign for freelancers and the self-employed. While this assistance is practical and wide-ranging it does not, however, cover all self-employed people. We will keep working to fill in these gaps.

“With our mission to support and promote the work of independent professionals and the self-employed, we will keep striving to stop those in need from being left behind.”


Are you self-employed? You can ask questions or find useful info at this thread in the new Mash Community. Please get involved!