During the Downing Street press briefing on Saturday, October 31, the Prime Minister declared the furlough scheme would be extended throughout the national lockdown. Boris Johnson’s announcement prompted many to wonder whether support for the self-employed would be increased to reflect the lockdown as well.

The Treasury has announced businesses which borrowed less than the maximum £50,000 or 25 percent of their turnover, can top up their Bounce Back Loans.

The Bounce Back Loan Scheme (BBLS) allows smaller businesses to access between £2,000 and up to 25 percent of their turnover. Under the scheme, the Government guarantees 100 percent of the loan, and there aren’t any fees or interest to pay in the first 12 months, but after 12 months the interest rate will be 2.5 percent annually.

The Treasury has also announced the Bounce Back Loan Scheme will be open for applications until January 31, 2021. The changes to the scheme will help provide businesses across the country with cash to get through the next stage of the lockdown.

Following the announcement of a number of changes to the Government’s financial support this week, Chancellor Rishi Sunak said the Government was responding to the “rapidly changing health picture” in the UK.

He said: “So far we’ve provided £13.7 billion of support to self-employed people through the crisis – and I’ve always said we will continue to do everything we can to support livelihoods across the UK. The rapidly changing health picture has meant we have had to act in order to protect people’s lives and I know this is an incredibly worrying time for the self-employed. That is why we have increased the generosity of the third grant, ensuring those who cannot trade or are facing decreased demand are able to get through the months ahead.”

In total increases in support for the self-employed will bring the total amount of Government support to £4.5 billion between November and January 2021.