Furlough scheme to be extended until end of September

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// Furlough support to be extended until end of September
// Rishi Sunak is expected to announce the extension in today’s Budget
// Over 600,000 additional people who previously missed out on grants will also receive support

Chancellor Rishi Sunak is expected to announce that the furlough scheme will be extended until the end of September, in today’s Budget.

In his Budget speech later today, Sunak will say that the furlough scheme – which pays 80 per cent of employees’ wages – would help millions through “the challenging months ahead”.

More than 600,000 additional people, including many of the self-employed who previously missed out on grants, will also receive support.


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

“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.”

Extending furlough will be part of Sunak’s ‘three-point plan’ to rebuild the economy post-Covid.

Sunak will also announce that employers must contribute too – 10 per cent in July and 20 per cent in August, as businesses are allowed to reopen.

Over 11 million people have had their wages covered by furlough since the scheme began.

On Monday, it was reported that Sunak is due to offer 700,000 shops, pubs, restaurants, hotels and other businesses, grants of up to £18,000 each as part of a £5 billion rescue scheme.

The scheme aims to prevent mass bankruptcies for stricken businesses as the Covid-19 pandemic continues to hammer the economy.

The news is set to be announced in today’s budget as Sunak faces increasing pressure to avoid or postpone significant corporation tax rises.

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