UK furlough scheme extended until end of September

The UK government has announced it is extending the country’s furlough scheme again, this time until the end of September.

Chancellor Rishi Sunak said Wednesday the Coronavirus Job Retention Scheme (CJRS) - which sees the government pay 80 percent of employees’ wages for hours not worked due to the pandemic - will be extended by a further three months.

But companies will be asked to pay 10 percent of those wages in July and 20 percent in August and September as the scheme is phased out.

The Labour party said the extension should have been announced months earlier.

Additionally, around 600,000 more self-employed workers will be eligible for government financial help.

From April, a new grant will be available from the Self-Employment Income Support Scheme (SEISS) worth 80 percent of three months’ average trading profits up to 7,500 pounds.

‘Light at the end of the tunnel’

The furlough scheme was first introduced in March 2020 as a lifeline for employees and businesses alike during the first lockdown and has now been extended three times. Since its inception, it has protected more than 11 million jobs, according to the government.

“Our Covid support schemes have been a lifeline to millions, protecting jobs and incomes across the UK,” Sunak announced Wednesday afternoon.

“There’s now light at the end of the tunnel with a roadmap for reopening, so it’s only right that we continue to help business and individuals through the challenging months ahead - and beyond.”

Last week, Boris Johnson announced a “cautious” roadmap to easing lockdown restrictions over the coming months, which includes reopening non-essential stores from April 12 and lifting all restrictions on social distancing by June 21.

Nicola Sturgeon then announced just a few days later that Scotland’s non-essential retailers would be able to reopen from April 26.

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