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UK coronavirus live: Rishi Sunak says government will pay self-employed up to £2,500 a month UK coronavirus live: Rishi Sunak says government will pay self-employed up to £2,500 a month
(32 minutes later)
Rolling coverage of all the latest UK coronavirus developmentsRolling coverage of all the latest UK coronavirus developments
The number of people who have died from coronavirus in the UK has risen to 578, as of 5pm on Thursday.
As of 9am this morning, 11,658 people had tested positive for the virus.
Here is the Treasury press release with full details of Rishi Sunak’s package of help for the self-employed.
Just as the press conference was about to start, Downing Street announced what amounts to a U-turn over participating in the EU-wide effort to procure ventilators and other medical equipment. A Downing Street spokesman said:
According to one government source, the UK did not participate in the first procurement schemes launched by the EU because the emails sent to the UK inviting it to take part were somehow missed. The source claims this was nothing to do with the government making some point about Brexit.
Sunak ends saying he thinks this is a very generous package by international standards. And he ends with a message to the self-employed:Sunak ends saying he thinks this is a very generous package by international standards. And he ends with a message to the self-employed:
I will post a summary of the press conference shortly.I will post a summary of the press conference shortly.
Harries says the government may want to test a sample of the population, once an antibody test becomes available, to get a sense of how coronavirus has spread.Harries says the government may want to test a sample of the population, once an antibody test becomes available, to get a sense of how coronavirus has spread.
Harries says there may be “measures of lockdown” going forward in the coming months. Harries says there may be “measures of lockdown” in the coming months.
But she says “flexing” the measures may be an option.But she says “flexing” the measures may be an option.
She says the whole country will want to get back to normal as soon as possible.She says the whole country will want to get back to normal as soon as possible.
She says success means lessening the spike of the curve and putting it forward.She says success means lessening the spike of the curve and putting it forward.
Q: Is this open to fraud? And do you accept people might try to cheat?Q: Is this open to fraud? And do you accept people might try to cheat?
Sunak says he has taken the view that the perfect should not be the enemy of the good. He says checks will be carried out.Sunak says he has taken the view that the perfect should not be the enemy of the good. He says checks will be carried out.
Q: Smaller companies are saying they cannot get access to your Bank of England loans because they do not have investment-grade rating. Will you help?Q: Smaller companies are saying they cannot get access to your Bank of England loans because they do not have investment-grade rating. Will you help?
Sunak says he is aware of this issue. He says they are looking at means to construct a credit rating from information about firms’ relationships with their banks.Sunak says he is aware of this issue. He says they are looking at means to construct a credit rating from information about firms’ relationships with their banks.
He says 80% of UK employment and 80% of UK turnover will be covered by the government’s loan schemes.He says 80% of UK employment and 80% of UK turnover will be covered by the government’s loan schemes.
Q: Can you explain why the UK, unlike some other countries, gave up testing all people with symptoms?Q: Can you explain why the UK, unlike some other countries, gave up testing all people with symptoms?
Harries says the World Health Organisation said “test, test, test”. But they are the World Health Organisation. They have to advise countries with very different health systems. The UK has a very developed health system, she says. Harries says the World Health Organization said “test, test, test”. But they are the World Health Organization. They have to advise countries with very different health systems. The UK has a very developed health system, she says.
She says initially the UK had some successes with containment. But there comes a point in a pandemic where that is no longer appropriate, although she says “contact and trace” strategies still work in some contexts, such as in prisons and in care homes. “Contact and trace” is still used there, she says. She says initially the UK had some success with containment. But there comes a point in a pandemic where that is no longer appropriate, although she says “contact and trace” strategies still work in some contexts, such as in prisons and care homes. “Contact and trace” is still used there, she says.
Q: What are the self-employed meant to live on until June?Q: What are the self-employed meant to live on until June?
Sunak says he has looked hard at the quickest way to deliver this. The employment scheme covers 90% of the population. That will be up and running by April. This scheme uses the same system. So some of the work will have to be done later. He has also given some people another four weeks to file a tax return. Sunak says he has looked hard at the quickest way to deliver this. The employment scheme covers 90% of the population. That will be up and running by April. This scheme uses the same system, so some of the work will have to be done later. He has also given some people another four weeks to file a tax return.
In June people will get three months’ worth of money in one go.In June people will get three months’ worth of money in one go.
In the meantime, other support is available.In the meantime, other support is available.
Q: Are you saying the self-employed will have to pay more tax?Q: Are you saying the self-employed will have to pay more tax?
Sunak says he is just making the point that, given that the self-employed are now being treated the same, it is hard to justify the tax system treating them differently.Sunak says he is just making the point that, given that the self-employed are now being treated the same, it is hard to justify the tax system treating them differently.
Q: Are you worried about the health impact of people staying at home?Q: Are you worried about the health impact of people staying at home?
Harries says she is worried about that. Those told to shield at home have been given advice about their health.Harries says she is worried about that. Those told to shield at home have been given advice about their health.
But she says people now don’t have to travel to work. They may have more time for exercise, she says.But she says people now don’t have to travel to work. They may have more time for exercise, she says.
Q: What about people who do not have three years worth of accounts? They might just have entered the workforce recently. Q: What about people who do not have three years’ worth of accounts? They might just have entered the workforce recently.
Sunak says, for those without three years’ worth of accounts, the Treasury will look at what they do have. For those who do not have accounts, there is nothing they can do. He says they will have to go with the information they have.Sunak says, for those without three years’ worth of accounts, the Treasury will look at what they do have. For those who do not have accounts, there is nothing they can do. He says they will have to go with the information they have.
For those how are very recently self-employed, it is not possible to operate a scheme like this, he says. He says there is too much fraud risk. But this will cover the vast, vast majority of people, he says.For those how are very recently self-employed, it is not possible to operate a scheme like this, he says. He says there is too much fraud risk. But this will cover the vast, vast majority of people, he says.
Q: What is the estimated cost of the scheme? And how long will it run?Q: What is the estimated cost of the scheme? And how long will it run?
Sunak says this is equivalent to the scheme for the employed.Sunak says this is equivalent to the scheme for the employed.
Q: After this is over, are you saying you will equalise the tax treatment of the employed and the self-employed?Q: After this is over, are you saying you will equalise the tax treatment of the employed and the self-employed?
Sunak says he is just making a point today that this intervention does make the case for consistency.Sunak says he is just making a point today that this intervention does make the case for consistency.
Q: Chris Whitty said yesterday the problem with testing was as global shortage of material. Why didn’t we order this months ago? Q: Chris Whitty said yesterday the problem with testing was a global shortage of material. Why didn’t we order this months ago?
Harries says the UK “has ordered and we have planned ahead”. But every single country has ordered at the same time, She says. Harries says the UK “has ordered and we have planned ahead”. But every single country has ordered at the same time, she says.
She says this is not an issue of lack of forethought. It is about this being a brand new event, she says.She says this is not an issue of lack of forethought. It is about this being a brand new event, she says.
Q: People won’t get this money until June. You say they can get universal credit, but they do not get money for the first five weeks. Can you guarantee that if people apply for UC, they will get an advance payment?Q: People won’t get this money until June. You say they can get universal credit, but they do not get money for the first five weeks. Can you guarantee that if people apply for UC, they will get an advance payment?
Sunak says the government has made UC more generous.Sunak says the government has made UC more generous.
And he says the DWP does pay advance payments, almost immediately, certainly within days.And he says the DWP does pay advance payments, almost immediately, certainly within days.
Councils also have money to help families with council tax bills, he says.Councils also have money to help families with council tax bills, he says.
At the press conference Jenny Harries, the chief medical officer for England, says it is too early to predict then the epidemic will peak. At the press conference Jenny Harries, the chief medical officer for England, says it is too early to predict when the epidemic will peak.
She says “we must not take our foot off the pedal”.She says “we must not take our foot off the pedal”.
The Treasury has posted details of the scheme in a Twitter thread starting here.The Treasury has posted details of the scheme in a Twitter thread starting here.
Sunak says he is treating the self-employed like the employed.Sunak says he is treating the self-employed like the employed.
But in return, everyone must pay in, he says.But in return, everyone must pay in, he says.
He is implying that he will reform the tax system so that the self-employed lose some of their tax advantages.He is implying that he will reform the tax system so that the self-employed lose some of their tax advantages.
Sunak says he knows many self-employed people are deeply anxious. They are not covered by the employment support packaged announced on Friday last week.Sunak says he knows many self-employed people are deeply anxious. They are not covered by the employment support packaged announced on Friday last week.
He says he is announcing a new self-employed income support scheme.He says he is announcing a new self-employed income support scheme.
The government will pay self-employed people a taxable grant based on their previous earnings over the last three years, worth up to 80% of earnings, and capped at £2,500 a month.The government will pay self-employed people a taxable grant based on their previous earnings over the last three years, worth up to 80% of earnings, and capped at £2,500 a month.
It will run for a minimum of three months, he says.It will run for a minimum of three months, he says.
He says that is equivalent to the support available to the employed.He says that is equivalent to the support available to the employed.
He says this will be open to anyone with average profits of £50,000 or less.He says this will be open to anyone with average profits of £50,000 or less.
It will be open to people who make the majority of their income from self-employment.It will be open to people who make the majority of their income from self-employment.
And, to avoid fraud, it will only be open to people who are already self-employed and have a tax return from 2019.And, to avoid fraud, it will only be open to people who are already self-employed and have a tax return from 2019.
He says 95% of the self-employed will be covered.He says 95% of the self-employed will be covered.
It will be available by June.It will be available by June.
And anyone who missed the deadline for their tax return will get an extra four weeks, he says.And anyone who missed the deadline for their tax return will get an extra four weeks, he says.