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Wales Online
Wales Online
National
Cathy Owen

Wales' dependence on the £20bn furlough scheme revealed with more than 315,000 people paid to stay at home

    New statistics have shown the full extent of the dependence of employers in Wales on the furlough scheme with nearly a third of a million workers on the scheme.

    Just over a quarter of the 1.2m-strong Welsh workforce is furloughed. They are among 8.9m people who have been paid to stay at home across the UK at a total cost to the taxpayer of £19.6bn

    The new figures for the UK Government’s job retention and self-employment support schemes also show how many people in each area of Wales have been put on furlough.

    The scheme was announced on March 20 as part of a package of measures to support jobs, businesses and individuals affected by the coronavirus outbreak.

    The scheme provides employers with financial support up to 80% of salary, up to a maximum of £2,500 per month per employee.

    Today’s figures show 316,500 jobs in Wales have been furloughed up to the 31 May 2020, across a wide range of sectors including retail, agriculture and construction.

    This compared to  628,000 people furloughed through the scheme in Scotland, and a total of more than two million in London and the South East.

    Cardiff has seen 36,000 people furloughed, with 23,000 receiving support through the CJRS in the city of Swansea.

    Map: Where people have been furloughed in Wales

    The figures also show that 102,000 self-employed people in Wales have accessed the Self Employment Income Support Scheme receiving £273 million in support. They are among 2.6m self-employed people across the UK who have relied on the scheme.

    Nationally, employers in the wholesale and retail sectors have furloughed the highest number of employers, covering 1.6 million jobs, followed by accommodation and food service employers furloughing 1.4 million.

    The total value of claims made in the UK topped £19.6bn by May 31.

    (HMRC)

    The sectors that have been affected most:

    (HMRC)

      Chancellor Rishi Sunak said: "The UK Government is doing everything we can to, protect jobs and businesses in Wales and across the UK during the crisis.

      "Our unprecedented job retention and self-employment support schemes have supported the livelihoods of millions and will help ensure our recovery is as swift and possible."

      Secretary of State for Wales Simon Hart said: " The UK Government said it would do whatever it took to support the people and businesses of Wales through the pandemic and we have produced an unprecedented package of measures to deliver on that promise.

      “So far, more than 316,000 Welsh jobs have been supported by the job retention scheme while £273m has been provided to support 102,000 self-employed people. People and businesses in Wales have also benefited from UK-wide schemes such as VAT deferral, company loans and Universal Credit, while the Welsh Government has been allocated an additional £2.2 billion in direct coronavirus funding.

      “The UK Government has provided certainty for employers and workers to ensure that Wales’s economy is ready to bounce back from the pandemic.”

      The scheme will continue to support jobs until the end of October, with flexible part-time furloughing beginning in July to support businesses as the economy is carefully reopened.

      From July 1, employers can bring back to work employees that have previously been furloughed for any amount of time and any shift pattern, while still being able to claim a grant for their normal hours not worked.

      When claiming the CJRS grant for furloughed hours, employers will need to report and claim for a minimum period of a week. The scheme will close to new entrants from June 30. From this point onwards, employers will only be able to furlough employees that they have furloughed for a full three-week period prior to June 30.

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