The Financial Secretary to the Treasury, Jesse Norman, has said that any taxi driver who is not eligible for the Self-Employment Income Support Scheme (SEISS) grant, could still seek financial support via a number of other avenues.
Transport Shadow Minister Kerry McCarthy asked: “What steps are his Department are taking to support taxi drivers who have recently purchased a zero-emissions-capable taxi and offset the cost against their earnings using capital allowance and other self-employed income support scheme?”
Mr Norman suggested looking into the possibility of other support offered. Norman said: “The SEISS continues to be just one element of a substantial package of support for self-employed, and those ineligible for the SEISS Grant Extension may still be eligible for other elements of support available.”
Norman went on to point out that the Universal Credit standard allowance has been temporarily increased for 2020-21, and the minimum income floor relaxed for the duration of the crisis. Where self-employed claimants’ earnings have fallen significantly, their Universal Credit award will therefore have increased to reflect their lower earnings.
He added: “They may also have access to other elements of the package, including Bounce Back loans, tax deferrals, rental support, mortgage holidays, self-isolation support payments and other business support grants.”
Focusing specifically on low carbon dioxide emission vehicles, Norman stressed the Government uses the tax system to encourage the uptake of such vehicles to help meet the UK’s legally binding climate change targets.
Norman said: “Since April 2019, purpose built zero-emission capable taxis have been exempted from the Vehicle Excise Duty expensive car supplement.
”At Budget 2020, the Government also announced that First Year Allowances on purchases of zero-emission business cars, including zero-emission taxis, will remain available until at least March 2025.”