Furlough extension: Will furlough last until summer? | Personal Finance | Finance


The UK furlough scheme has comprehensively covered people for nearly a year now, keeping them in employment where the lockdown prevents them from working. People have kept up to 80 percent of their wages if their company registered with the scheme. But some have expressed concern over whether the scheme will continue through 2021, given recent indications the Government could dial back some of its Covid aid.

Will furlough last until summer?

Furlough began last spring and lasted through summer 2020 with regular updates to its framework.

At present, the scheme is due to continue until at least April this year.

But experts have called for an extension amid increasing economic uncertainty.

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The Treasury has previously outlined its commitment to the UK jobs market in a statement, promising the March budget would cover “the next stages” for jobs and business support.

They said: “At the upcoming budget the Government will set out how we’ll ensure public services continue to receive the investment they need.

“We’ll also outline the next stages of our plan for jobs to support businesses and families across the UK.

“That has been our priority throughout the past year and it will be the priority for the year to come.”

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Mr Danker said: “If the Government plans to continue its support then I urge them to take action before the budget which is still more than six weeks away.

“The rule of thumb must be that business support remains in parallel to restrictions and that those measures do not come to a sudden stop, but tail off over time.

“Just as the lifting of restrictions will be gradual, so must changes to the Government’s sterling support to businesses.”

Shadow Chancellor Annalise Dodds has also called on precise action from the Chancellor, criticising his stop-start approach.





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