Universal Credit is designed to support those who have fallen on hard times and may need support. However, it can also be utilised by self-employed people who are trying to secure relatively stable income.
If the person makes a loss in one month, the loss will be noted and taken into account in separate months when profits are made.
If the profits in question are not high enough to fully cover a loss, the remaining loss will be carried forward to the next month when a profit occurs.
These rules will likely be very important for self-employed people over the coming months.
Coronavirus is expected to get worse before it gets better and there will likely be repurcusions for the economy.
In the recent budget, the Chancellor of the Exchequer provided details on a £500million boost to the welfare system.
On top of this, he also announced today that over £300billion in loans will be provided to struggling businesses.
More support expected to be announced in the coming weeks.
This support will be aimed not only for individuals but also public institutions like the NHS. It is an unprecedented situatino as it is officially the biggest offering of support money in the history of peacetime.