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No 'cliff-edge' in furlough scheme

Published:  05 May, 2020

There will be no “cliff-edge” for businesses to face when the Covid-19 Job Retention Scheme (JRS) is brought to end, Chancellor Rishi Sunak has said.

Providing reassurance to the around 6.3 million employees in the UK who have been furloughed, including the eight in 10 hospitality workers estimated to have been put on the scheme (ONS statistics), Sunak said he was “working as we speak to figure out the most effective way to wind down the scheme and ease people back into work in a measured way".

“There will be no cliff edge to furlough scheme”, said the Chancellor, who has already extended the JRS once to the end of June, and is under pressure to do so again. 

Welcoming the “great news”, Hospitality Union founder Jonathan Downey said: “This is very reassuring to hear two months ahead of the current end date. 

“Between now and 30 June, we must start to get people back to work in safe environments. Fewer on furlough equals it’s more likely the scheme can be extended for longer to those not allowed to work.”

On 20 April, Cabinet office minister Michael Gove confirmed that restaurants, bars and pubs will be among the last to reopen for business following the Covid-19 lockdown. 

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