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Self-employed grant date: When can I apply for the 4th SEISS grant?

Daily Express logo Daily Express 04/03/2021 Katie Sewell
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The Chancellor's Budget announcement on March 3 has now outlined how the Government will support businesses and the economy during the next stage of the coronavirus lockdown. While Covid cases are plummeting and widespread vaccine rollout is underway, the next stage of lockdown still appears very uncertain for businesses. previously faced significant pressure to extend support schemes, such as the Self-Employment Income Support Scheme (), given the earliest point all lockdown restrictions could be eased is June 21 and SEISS was originally scheduled to end in April.

Ahead of his long-awaited Budget announcement, it was confirmed on Tuesday this week the SEISS scheme will be extended.

The scheme was already expected to offer a fourth SEISS grant for February to April 2021, but the Treasury has now announced there will be a fifth SEISS grant later on in the year.

Ahead of the Budget on Wednesday, Rishi Sunak said: "Our Covid support schemes have been a lifeline to millions, protecting jobs and incomes across the UK.

"There's now light at the end of the tunnel with a roadmap for reopening, so it's only right that we continue to help business and individuals through the challenging months ahead - and beyond."

READ MORE: SEISS grant 4 extension - 600,000 self-employed to become eligible

a person wearing a suit and tie: Self-employed grant date: Rishi Sunak © GETTY Self-employed grant date: Rishi Sunak a man wearing a suit and tie standing in front of a fence: Self-employed grant date: Rishi Sunak © GETTY Self-employed grant date: Rishi Sunak

How much will the fourth SEISS grant be worth?

Like the third SEISS grant, it has now been confirmed the fourth SEISS grant will be worth 80 percent of average monthly trading profits.

Over the three-month period of February to April, the maximum amount claimants can get is £7,500.

The grants provided under SEISS are subject to tax, but they are not loans so they do not have to be directly repaid.

The fifth SEISS grant will be worth 80 percent of average monthly trading profits for people who have seen a drop in turnover of 30 percent or above.

People who have not seen a drop in turnover of 30 percent or above may be eligible for a fifth SEISS grant at 30 percent of average trading profits.

a person holding a sign: Self-employed grant date: UK lockdown © GETTY Self-employed grant date: UK lockdown

Who is eligible for SEISS grant four?

The Treasury has announced that hundreds of thousands more people will be eligible for the grants this time, as tax return data for 2019/20 is now available.

Some 600,000 people, including many who are newly self-employed, are expected to benefit from the fourth SEISS grant.

While the news the eligibility criteria is being extended for SEISS grant four will come as a relief to many, some employment experts think "it's too late" after thousands missed out on the first three grants.

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a person standing in front of a window: Self-employed grant date: Self-employed woman © GETTY Self-employed grant date: Self-employed woman

The previous three SEISS grants have been subject to strict eligibility criteria, meaning directors of companies, the newly self-employed and people who earn more than £50,000 in profits have not been eligible for any of the support.

Amanda Lennon, employment lawyer with Spencer West LLP, told Express.co.uk: "It's great news that the SEISS is being extended to cover the many thousands who've missed out on previous grants.

"I fear in some cases it's too late though because the 'Excluded UK' as they're known haven't been able to receive the grant for nearly a year now.

"It's a shame the Government didn't act on the calls for support for this group of self-employed when the first grant was issued.

a group of people sitting at a table: Self-employed grant date: Rishi Sunak © GETTY Self-employed grant date: Rishi Sunak

"It will be interesting to see what impact the extended grants make on the self-employed who weren't previously eligible and have had to find other ways to generate income where they've been impacted by Covid.

"I can't help feeling the new package of measures is an afterthought for this population and has only been introduced due to the mounting pressure on the Government to do something.

"Furthermore, IR35 - which at the moment looks to be moving forward as planned from April - will serve to eliminate any of the gains these grants provide by increasing the tax burden of an already-suffering group.

"It essentially equates to 'what the government giveth, the government taketh away.'"

The full eligibility criteria for SEISS grant four is expected to be published following the Chancellor's announcement.

When can I apply for the fourth SEISS grant?

Further details on how to apply for SEISS grant four are expected in the coming weeks.

Applications for the scheme's fourth grant will open from April 2021.

The fifth grant will be available to claim from July 2021 and it will cover May to July.

When will the fourth SEISS grant be paid?

The Treasury has not confirmed an exact date for the SEISS scheme to open for grant four, so it is not known exactly when payments will be made.

However, based on the previous three grants, claimants could expect to get their payments shortly after their claim is accepted.

HMRC has previously aimed to pay out successful SEISS claims within six working days.

If accepted, claimants can expect to see their total grant for the three-month period paid out in one lump sum instalment.

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