More than 440,000 self-employed workers successfully applied for income support grants on the first day of the Government’s new scheme being launched.
HM Revenue & Customs said the claims for the self-employment income support scheme (SEISS) totalled more than £1.3 billion.
The scheme, which opened on Wednesday, offers grants worth up to 80 per cent of average trading profits for self-employed workers stuck at home due to coronavirus, paid in a single instalment capped at £7,500 to cover three months of lost income.
Payments are expected to arrive within six working days, the Government said.
It is the biggest direct financial support package for freelancers and the self-employed – including plumbers, builders and hairdressers – since the lockdown started, and claims for lost work can be dated back to March.
The grant does not need to be repaid, but will be subject to Income Tax and self-employed National Insurance.
Launched at 8am on Wednesday, the scheme is run by HMRC, which has been operating and overseeing loan schemes and the Government’s furlough payments.
Everyone eligible for the SEISS will be able to receive the Government grant by May 25, or within six days of a completed claim, it added.
Those able to make a claim have already been contacted by HMRC and can use a unique reference to make their claim.
Chancellor Rishi Sunak said: “With payments arriving before the end of this month, the self-employed across the UK will have money in their pockets to help them through these challenging times.”
Mike Cherry, national chairman of the Federation of Small Businesses, said the scheme represents a lifeline for millions of self-employed people in the UK.
“The self-employment income support scheme represents a lifeline for the millions of self-employed people who are expected to qualify," he said.
“I would encourage all those who think they are eligible to use the online checker if they’ve not done so yet, and to apply on the date allocated."
