Rishi Sunak announcement: What did the Chancellor say on furlough scheme today?
RISHI Sunak made an announcement on how the Government will support thousands of businesses that are expected to shut again in October. But what did the Chancellor say? Here is everything you need to know… What did Rishi Sunak say in his announcement? Rishi Sunak announced an expansion to the Job Support Scheme and said […]
RISHI Sunak made an announcement on how the Government will support thousands of businesses that are expected to shut again in October.
But what did the Chancellor say? Here is everything you need to know…
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What did Rishi Sunak say in his announcement?
Rishi Sunak announced an expansion to the Job Support Scheme and said that it was his priority to “protect jobs”.
Some 67 per cent of worker’s wages will now be paid by the Government – it’s unclear whether employers will top them up.
Instead of employees having to work a third of their normal hours to qualify, those working from home will continue to qualify for at least six months.
On the new programme, people will have to be off work for at least a week.
It’s a sign that in the coming days the Government will force businesses to close.
Ministers are expected to outline a three-tier local lockdown system on Monday, which could see hospitality venues in coronavirus hotspots being temporarily shut.
Extra grants are also being made available for firms in lockdown areas – but again only if they are made to shut.
Businesses will be able to get up to £3,000 a month in help, which is paid in arrears every two weeks.
But for smaller businesses, they will be able to claim £1,300 a month – less than the £1,500 they can get at the moment.
And the scheme will open to places that are already still forced to close – like nightclubs which haven’t been allowed to reopen.
It will be a part of the new Jobs Support Scheme where employers can get 22 per cent Government help to pay wages if employees are only working part-time at the moment due to reduced demand.
When was the announcement?
The Chancellor made the announcement at 3pm today (October 9) in a pooled clip to the media.
The Chancellor’s statement comes as a government minister warned coronavirus is “out of control” in northern England.
Gillian Keegan, minister for skills and apprenticeships, said the country was now facing an “unbelievably serious situation” and desperately needed the new restrictions the government are bringing in.
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When will Job Support scheme replace furlough scheme?
The Job Support Scheme will replace the furlough scheme when it comes to an end on October 31.
Mr Sunak said the new scheme is “more generous” than the furlough scheme, which from October 1 has seen the state cover up to 60% of employees wages, capped at £1,875 a month.