The furlough scheme is to be extended across the UK until the end of March, Chancellor Rishi Sunak has announced today
The scheme will continue to pay up to 80% of a person’s wage, up to £2,500 a month. He told the Commons that the Government will review the policy in January.
Originally the Coronavirus Job Retention Scheme, also known as the furlough scheme was set to end on 31 October. But with the second lockdown, it was relaunched at the 80% level last seen in August, before the reductions to 70% and 60%.
The chancellor said his intention was “to give businesses security through the winter” and “the security we are providing will protect millions of jobs” he added.
The furlough scheme subsidises the wages of people who cannot do their jobs, either because their workplace is closed or because there is no longer enough work for them.
Mr Sunak said it would apply throughout the UK, saying the country had “a Treasury for the whole of the United Kingdom”.
As part of the revised scheme, anyone made redundant after 23 September can be rehired and put back on furlough.