Get our money-saving tips and top offers direct to your inbox with the Mirror Money newsletter Sign up Thank you for subscribing We have more newsletters Show me See our privacy notice Invalid Email

New businesses registering on ebay.co.uk will not have to pay fees until May 31, the online marketplace has announced.

From today, all new small firms on the site will receive a payment holiday on their first 250 listings of the month.

Existing sellers will also benefit from a 30-day payment holiday on all charges, with a commitment to consider a further holiday at the end of April.

The move marks an urgent response to calls for additional support by UK entrepreneurs.

It comes as chancellor Richi Sunak is expected to unveil a plan to protect self-employed workers at 5pm on Thursday - with insiders claiming the Government will offer to cover 80% of their wages over the next 12 weeks.

The eBay pay break will give self-employed retailers and entrepreneurs who rely on bricks and mortar stores a chance to continue trading until June.

Video Loading Video Unavailable Click to play Tap to play The video will start in 8 Cancel Play now

On Monday, the Government ordered non-essential retailers to close down to help limit the spread of COVID-19, but encouraged online retail to continue, while postal services and delivery networks are continuing to run as normal.

Rob Hattrell at eBay UK, said: "Small businesses are the backbone of Britain, but now more than ever, they need our support. If we don’t help them now, we risk losing a generation of successful SMEs and entrepreneurs.

"We recognise that the challenges are vast and wide-ranging for SMEs on Britain’s high streets, but while the offline world is on lockdown, a shift to online spending should represent a real growth opportunity and a vital lifeline.

"These are unprecedented times, but we must rise to the challenge to help ease the pressure that small businesses currently face. Now’s the time to be there when small businesses need us most, so that they can continue doing what they do best – safely, responsibly, and fairly."

Michelle Ovens MBE, Founder of Small Business Britain, added: "With increased isolation and the closing of many business premises, there is a critical need for online sales channels for small businesses that can get up and running fast.

"This is why I am really encouraged to see eBay's great steps to enable small businesses to build alternative sales channels with low cost and low complexity. I hope this will be a lifeline for many small businesses looking for new routes to market."

Ebay has also stepped up its crackdown on anyone listing items at unreasonably inflated prices.

Over the past week, it said hundreds of seller accounts have been suspended and nearly half a million listings removed from the platform.

eBay has also introduced a new policy whereby only pre-approved whitelisted vendors are allowed to sell face masks and hand sanitiser items, and, on Wednesday, announced further restrictions on sales of toilet roll, baby formula, nappies, baby wipes and tampons by anyone excepted registered business sellers.

It comes after the Government announced it could prosecute retailers who exploit shoppers with higher prices during the coronavirus pandemic.