The Self-Employment Income Scheme (SEISS) will be extended, with applications opening in August for a second and final grant, Chancellor Rishi Sunak has announced in today's briefing.
The payment will cover up to 70% of profits and paid out in a single instalment, covering three months’ worth of average monthly trading profits. This will be up to a cap of £2,190 a month for another three months, so up to £6,570 in total.
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Liz Bayram, PACEY Chief Executive comments:
"We welcome the announcement today from the Chancellor of the extension of the Self-employed Income Support Scheme to cover a further three months’ income. We have been calling for this extension, alongside other early organisations for some time. However, as our recent survey has shown, many registered childminders are missing out from this much needed support. Most do not make a profit so were ineligible to apply as were many newly registered childminders. We remain extremely concerned that this highly flexible, quality childcare provision is at significant risk because of this.
Married with the fact that most childminders do not deliver funded early education (so have also not benefited from this government support either) means many have had nothing but benefits to rely on since March.
Our survey of parents published today reveals that many parents are wary of sending their children back to childcare. This means that childcare businesses will continue to see a reduction in their income.
We need the current SEISS to be adapted to better support the many thousands of childminders who are on low-incomes and unable to benefit currently. Furthermore we are calling for funding so that new start-up businesses, like registered childminding which require high upfront investment, can be supported.
The current business loans are not available to most childminders and, even if they are, most are fearful of taking on debt, especially when they know they are likely to only earn a low income. If this action is not taken, we are at risk of losing a significant cohort of new childminders, accelerating the already significant decline in the number of childminding settings that currently provide around 250,000 quality childcare places for families."