Fears for jobs as furlough scheme scaled back

Politics explained: Rishi Sunak’s emergency scheme once paid the wages of almost a third of workers

Andrew Woodcock
Political Editor
Sunday 01 August 2021 01:55
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In this file photo from 2020, Sunak is greeted by nationalist demonstrators during a visit to the Isle of Bute
In this file photo from 2020, Sunak is greeted by nationalist demonstrators during a visit to the Isle of Bute

The UK takes its latest step on Sunday towards weaning itself off massive state support for wages, as chancellor Rishi Sunak’s furlough scheme is scaled back.

Some 1.9 million workers are still on furlough, and there are fears that the cut from 70 to 60 per cent in the state’s contribution to their pay will force thousands out of their jobs.

A survey by the British Chambers of Commerce (BCC) found that nearly one in five (18 per cent) of businesses with employees on furlough plan to make some or all of them redundant as the Treasury payments become less generous.

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