The Job Retention Scheme will be extended until the end of September. The scheme pays 80% of employees wages they cannot work due to the pandemic. The scheme has already protected millions of people from loosing their jobs over the last 12 months. At its peak there were 9 million employees registered on the scheme. Some 600,000 more self-employed people will also be eligible for government help as access to grants is widened.
Sharon Smith. Chief Executive of Herefordshire & Worcestershire Chamber of Commerce, said: “Many businesses have been calling for this extension of the furlough scheme for months now, announcing this earlier could have eased worries of some businesses and allowed them to plan for the year ahead sooner. “The extension will be a welcomed relief to many businesses who have relied on the scheme to keep their staff however and will protect the livelihoods of millions of people as well as preventing a spike in unemployment after the spring. With renewed optimism coming from the hugely success vaccine rollout together with the roadmap to recovery, businesses can start to see the light at the end of the tunnel.”
Dr Adam Marshall, Director General of the BCC, said: “The extension of the furlough scheme shows that the Chancellor has listened to our business communities. Many firms will be breathing a huge sigh of relief, particularly those businesses that are still closed or facing reduced demand due to Covid-19 restrictions. “The furlough scheme has been a lifeline for companies all across the UK. This extension gives firms much more clarity on the way ahead and will allow many to plan with greater optimism and confidence as they look to restart and rebuild over the coming months.” The Chancellor will outline his 3-point plan to support people through the coming months in his budget statement later today.