Rishi Sunak confirmed the furlough scheme will be extended until the end of September, and employees will continue to receive 80% of their salary for hours not worked.
He told MPs: “As businesses reopen, we’ll ask them to contribute alongside the taxpayer to the cost of paying their employees. Nothing will change until July, when we will ask for a small contribution of just 10% and 20% in August and September.”
Mr Sunak said the support for self-employed workers will also continue until September, with the fourth grant providing three months of support at 80% of average trading profits. He noted for the fifth grant, people will continue to receive grants worth three months of average profits – with the system open for claims from late July.
Rishi Sunak said the full 80% grant will be given to people whose turnover has fallen by 30% or more, telling MPs: “People whose turnover has fallen by less than 30% will therefore have less need of taxpayer support and will receive a 30% grant.”
On changes to the self-employed scheme, the Chancellor said: “When the scheme was launched, the newly self-employed couldn’t qualify because they hadn’t all filed a 2019/20 tax return.
“But as the tax return deadline has now passed, I can announce today that, provided they filed a tax return by midnight last night, over 600,000 more people, many of whom only became self-employed last year, can now claim the fourth and fifth grants.”
The Universal Credit uplift of £20-per-week will continue for a further six months, the Chancellor said.
