I am self-employed and I have lost work due to the COVID-19 Pandemic! What should I do?
In a time of unprecedented uncertainty across the world, it is not a surprise that many self - employed people have been left in a state of anxiousness over their looming financial disarray.
What can I do?
We have compiled a brief account of the support we have found.
As many will already know the financial support that is available right now is Employment and Support Allowance (ESA) alongside Universal Credit. The charity “Turn2us” has created a calculator (linked below) so you can find out the benefits you might be entitled too.
This is not the only support being offered. The government has recently declared that income tax payments due in July 2020 “will be deferred to January 2021”, stating that the process will be ‘automatic’ with ‘no applications required’.
They have also offered small and medium businesses (businesses with ‘less than 250 employees’) Statutory Sick Pay (SSP) relief. “This refund will cover up to 2 weeks SSP per eligible employee” off work due to COVID-19.
Many unions and societies are coming together to help self-employed people at this time. The ‘Musicians Union’ (MU) has invested £1 million to its new “Coronavirus Hardship Fund” for MU members. Offering in the way of financial support to members of the Music Union who apply.
The ‘Arts Council’ also recently announced that their priority has shifted to helping support ‘people who work in arts, museums and libraries” through the means of refocusing grant programs to ‘compensate individual artists and freelancers for lost work. Amongst this, the small steps should not be ignored. Things such as making sure you are up to date on your invoices and managing any savings to prepare for any financial losses you may experience in the coming months. The Times has published an informative article about this, linked below.
Moving Forward The most important piece of information to gain is the knowledge you are not alone. Self-employed individuals account for 15% of the workforce within the UK, which is a statistic the government will be fully aware of. As pressure builds from the various societies and unions the government it is likely more aid and clarity will be provided to self-employed individuals.
Contact us for tax advice for self-employed professionals