Budget 21: Furlough and SEISS extended
Budget 21: The furlough scheme will be extended until the end of September, Chancellor Rishi Sunak (pictured) has revealed.
The scheme will remain unchanged until July, when the government will ask businesses to provide a 10% contribution to employees’ pay, which will rise to 20% in August and September.
Sunak said: “The government is proud of furlough, one of the most generous schemes in the world.”
The Self-Employed Income Support Scheme (SEISS) will also continue until September, with fourth grant of three months’ support at 80% of average trading profits continuing until April, and a fifth commencing from May onwards at three months of average profits, open for claims from July.
The scheme will be targeted at the most heavily affected, and therefore people whose turnover has fallen by 30% or more will continue to receive 80% of profits, while those whose turnover has fallen by less than this will receive a 30% grant.
Sunak also announced an improvement in accessibility. Where previously the newly self-employed could not apply, provided they filed tax return by midnight last night, individuals will be able to claim fourth and fifth grants.
Sunak said: “Over the course of this crisis we will have spent £33bn supporting the self-employed.”