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Evening Standard
Evening Standard
World
Abbianca Makoni

Millions of Brits are now off UK’s Covid furlough scheme

Rishi Sunak’s furlough scheme has helped millions of people through the pandemic

(Picture: PA)

Millions of employees across the UK have come off the Government’s furlough scheme as the economy begins to slowly recover from the crisis.

The Office for National Statistics reported between 1.3 and 1.9 million people are still on furlough in the UK, however, the figure is dropping rapidly.

Around one million people were taken off the scheme in May.

As the country tries to get back on its feet, the scheme is now helping far less businesses than it did at the start of the pandemic.

Some 8.9 million were enrolled on the scheme in May last year, according HMRC.

In the months to come, as the measures are phased out by the end of September, firms will have to take on more of the costs.

Employees will continue to receive 80 per cent of their wages but their bosses will have to pay part of that.

According to Labour Party statistics, around 450,000 companies who still have furloughed staff will need to start picking up 10 per cent of the bill from July 1.

Millions of employees across the UK came off the Government’s furlough scheme last month as the economy began to slowly recover from the crisis (PA Wire)

This will rise again on August 1 when employer’s contributions are expected to rise to 20 per cent while the Government’s share reduces.

Terry George, the owner of the Mission night club, is among the list of business owners calling for an extension to the scheme until firms are back up and running.

Speaking on BBC’s Today programme, he said: “We can’t afford to pay people out of a pot that has no money coming in. We’re going to have to lose some staff. We were told that we were going to be back in June, obviously that’s been extended a month.

“So the easiest thing to do would be to just extend the furlough scheme, as it was, until until things have got [back] to the same speed.”

Labour’s shadow chief secretary to the Treasury, Bridget Phillipson, echoed these concerns on Thursday.

She said: “The Government must make sure economic measures go hand in hand with public health measures.”

It comes after the Government moved the date for Freedom day from June 21 to July 19.

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