Labour has accused the government of “leaving self-employed people in the lurch” as changes to the self-employment income support scheme (SEISS) will leave almost half a million of those most in need with reduced support.
New analysis released by Labour today has revealed that half a million self-employed people work in industries that are being hit hard by coronavirus restrictions, including hospitality, the arts and sports.
The Chancellor announced on Thursday that the SEISS will now provide just 40% of a self-employed worker’s average monthly trading profits if they are badly affected or unable to work, compared to first Covid grant of 80%.
The new Labour research suggests that, as a result, the average self-employed person working in the arts or hospitality industry will receive just £450 a month via the government support scheme this winter.
Commenting on the difficulties facing many self-employed people in the coming months, Shadow Business Secretary Ed Miliband said: “The promise of doing ‘whatever it takes’ to protect workers is a distant memory.