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Wales Online
Wales Online
National
Neil Shaw

Hundreds of thousands could lose jobs next month as furlough ends

The furlough scheme that has paid the wages of more than 11million people in the UK during the coronavirus lockdown will come to an end next month.

But there are fears hundreds of thousands of people could be left redundant - rather than returning to work - as millions are still taking advantage of the scheme.

That is despite almost all restrictions in the UK now being lifted - and most businesses able to trade virtually as normal.

According to The Telegraph, analysis by ING found that 7.4 per cent of workers older than 55 are still on furlough and 6.3pc of employees under 25 are being paid through the Coronavirus Job Retention Scheme.

Chancellor Rishi Sunak is to roll out grants encouraging companies to take on apprentices, and support for people at risk of long-term unemployment.

The Bank of England believes unemployment will not rise from its current level of 4.8 per cent, but other economists believe it will rise to 5.6 per cent.

That would mean an increase of around 260,000 people unemployed.

On July 2 the Government said 2.4million people remained on furlough.

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