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Liverpool Echo
Liverpool Echo
World
Sophie McCoid

Chancellor Rishi Sunak to give crucial furlough update in commons today

Chancellor Rishi Sunak is set to give a key update on furlough to MPs today.

As a second national lockdown begins in England the Chancellor is expected to give a statement to the House of Commons at 12pm today.

Mr Sunak will deliver a statement on the economy.

The Coronavirus Job Retention Scheme has been extended for a month during the lockdown, with employees receiving 80% of their current salary for hours not worked.

People and businesses across the UK are being provided with additional financial support as part of the government’s plan for the next phase of its response to the coronavirus outbreak.

Under the extended scheme, the cost for employers of retaining workers will be reduced compared to the previous scheme.

This means the extended furlough scheme is more generous for employers than it was in October.

But today Mr Sunak will reportedly announce 80% wages - not 67% - will continue to be on offer even after lockdown ends on December 2.

There are reports the higher wages - equivalent to the original furlough scheme in March - will apply to any lockdown in the UK.

That includes not just future national measures in Scotland, Wales or Northern Ireland, but also Tier 3 areas in England.

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Yesterday Boris Johnson hinted at what future furlough measures would include.

Mr Johnson said at PMQ's: "Furlough is a UK-wide scheme that will, of course, continue to be available to the people of Scotland.

"For any further elucidation of the details of the entire package of support that this Government are putting in place for the people of the entire UK, I direct [MPs] to what the Chancellor will say tomorrow."

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