Commons Sense

House of Commons · Ministers' Questions

Self-Employed People: Covid-19 Support

Tuesday 1 December 2020 · 6 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 2 Partly answered 4 Not answered 0

Key points

  • The Government have taken steps to support the self-employed through the self-employment income support scheme, which has been extended up to April.
  • The Government are protecting innovators and start-ups through 900 million of future fund loans, 79 million for innovation loans, and more than 5 billion in support through research and development tax credits.
  • The Government are working at pace with the British Business Bank to implement the extension of the coronavirus business interruption loan scheme term from six to 10 years in line with state aid rules.

Topics (select to filter)

Questions & Answers

Q1 Bob Neill Con
Employment Business & Trade
Context

Freelancers and self-employed individuals are facing significant challenges due to the economic impact of the pandemic.

Question

What steps is the government taking to support freelancers during the covid-19 outbreak?

Answer from Jesse Norman (West Dorset) (Conservative)

The Government have taken unprecedented steps to support the self-employed through the self-employment income support scheme, which has been extended up to April, with details of the third grant published last week.

Answered
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Q2 Felicity Buchan
Economy Science & Technology
Context

The pandemic has impacted all sectors, but innovators and start-ups have been particularly affected.

Question

What is the Treasury doing to support innovation as we rebuild our economy?

Answer from Jesse Norman (West Dorset) (Conservative)

The Government are protecting innovators and start-ups through £900 million of future fund loans, £79 million for innovation loans, and more than £5 billion in support through research and development tax credits.

Answered
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Q3 Stephen Metcalfe Con
Employment Benefits & Welfare
Context

Millions of self-employed people have benefited from government schemes, but some continue to struggle.

Question

Will the Government keep an open mind on future support measures for those who have had no income for nine months?

Answer from Jesse Norman (West Dorset) (Conservative)

The Government take these points seriously and are looking closely at various suggestions to accommodate concerns while mitigating fraud risk. Meetings have been scheduled with relevant groups.

Partly answered

Not addressed: Specific measures or timeline for additional support was not provided

How: Fraud Risk

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Q4 Simon Baynes
Business & Trade
Context

Businesses in the wedding venue and hospitality sectors have been significantly impacted by pandemic restrictions.

Question

When will the increase in the coronavirus business interruption loan scheme term from six to 10 years come into effect?

Answer from Jesse Norman (West Dorset) (Conservative)

The purpose of this extension is not simply to allow borrowers a longer term but also to provide extended government guarantees up to 10 years. My colleagues are working at pace with the British Business Bank to implement the policy in line with state aid rules.

Partly answered

Not addressed: Exact timeline for implementation was not specified

How: State Aid Rules

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Q5 Bob Neill Con
Employment Culture, Media & Sport
Context

Many self-employed individuals are required to form limited companies, but they may not qualify under current support schemes.

Question

Does my right hon. Friend accept that many freelancers continue to fall through the net? Would it be a good idea to meet with those in affected sectors?

Answer from Jesse Norman (West Dorset) (Conservative)

I have indicated that I will be meeting many of the groups representing people in this situation. In addition to the £1.57 billion culture recovery fund, the Government have put in place the film and TV insurance scheme.

Partly answered

Not addressed: Specific commitments to address support gaps were not provided

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Q6 Abena Oppong-Asare Lab Erith and Thamesmead
Employment Business & Trade
Context

The self-employed in areas with additional restrictions face significant challenges.

Question

What plans do the Government have to improve the situation for those working in harder hit sectors under additional restrictions?

Answer from Jesse Norman (West Dorset) (Conservative)

The third phase of the self-employed scheme is expected to cost more than £7 billion as part of a wider package of support. Business grants have been backdated to address some concerns.

Partly answered

Not addressed: Specific improvements or changes to existing measures were not detailed

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