You are viewing 1 of your 1 free articles
The chancellor has announced that the government’s Coronavirus Job Retention Scheme will remain open until the end of October, however changes to the scheme will be introduced from the start of August.
Rishi Sunak told MPs in parliament today that the scheme will be extended for another four months, with furloughed workers continuing to receive 80% of their salary during that period.
From the start of August, furloughed workers will be able to return to work part-time and employers will be asked to pay a percentage towards the salaries of their furloughed staff, substituting the contribution the government has been making.
The government said that more specific details around these changes will be made available to employers at the end of May.
Mr Sunak introduced the Coronavirus Job Retention Scheme, which sees the government pay 80% of a furloughed worker’s salary, on 20 March. This scheme was initially introduced for a three-month period.
Latest figures show that 7.5 million workers have now been furloughed through the scheme and almost one million businesses have received government subsidies for wages.
Research by Inside Housing found that almost 3,000 employees from 40 large housing associations had been furloughed during the coronavirus crisis.
The extension of the scheme follows the announcement by Boris Johnson on Monday of the next phase of the government’s coronavirus response, which includes encouraging those who cannot work from home to return to work.
Mr Sunak said: “Our Coronavirus Job Retention Scheme has protected millions of jobs and businesses across the UK during the outbreak – and I’ve been clear that I want to avoid a cliff edge and get people back to work in a measured way.
“This extension and the changes we are making to the scheme will give flexibility to businesses while protecting the livelihoods of the British people and our future economic prospects.”
Already have an account? Click here to manage your newsletters
To see all our coronavirus coverage to date – including the latest news, advice to providers, comment and analysis – use the link below.