Coronavirus – Covid 19

Coronavirus – Covid 19

As this is a rapidly evolving situation, we will endeavour to bring you the latest developments as they occur.

The following is an article published by the BBC yesterday, 11th March, 2020.

What benefits were announced for the self-employed who get coronavirus or have to self-isolate? Simone Tyler

People who are not eligible for sick pay, particularly the self-employed, will be able to claim Employment and Support Allowance (ESA) from day one of “illness” rather than day eight.

ESA is paid to those who are too sick to work, provided they meet certain conditions. It is worth £73.10 a week, or £57.90 for the under-25s. The complexity of this benefit may mean this change is unlikely to affect a lot of people.

However, many self-employed people face a higher tax bill from April, when the so-called IR35 rule is extended to the private sector. That could mean thousands of contractors and freelancers will pay more tax.

The government is also temporarily removing the minimum income floor from universal credit. The minimum income floor would have taken into account how much you would normally expect to earn in a month, when calculating your entitlement to universal credit.

Not having the floor means they will be able to claim for time they spend off work due to sickness.

Mr Sunak said they would not need to attend a job centre, and could apply on the phone or online instead.

The government has also announced a new £500m fund to support economically vulnerable people – this will be allocated by local authorities.

Support for Tax Payments

For businesses or self employed people who are experiencing financial difficulty in paying taxes on time due to the impact of Covid-19, there is a helpline to call.  Each case is assessed individually.  Please call 0800 0159 559 for assistance.

Mortgage and Loan Repayments Support

Some banks have announced that they will offer customers ‘loan breaks’ on loan and mortgage repayments.  Please contact your lender to find out more.

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