Furlough scheme extended until March

The Chancellor has been setting out financial support on the first day of England's second lockdown

Rishi Sunak in the House of Commons
Author: Dan GoodingPublished 5th Nov 2020
Last updated 23rd May 2022

The furlough scheme, set up to support people during the first coronavirus lockdown, has been extended into next year.

Rishi Sunak has been outlining financial support in the House of Commons this lunchtime, on the first day of England's second national lockdown.

But he's come under fire from MPs who say he has only done this when measures have affected the South of England.

Scheme extended until March 2021

This will mean up to 80% of wages will be paid by the government well into next year.

Originally the furlough scheme was going to end on 31st October. It was then extended into November.

Mr Sunak said the Government’s highest priority remains “to protect jobs and livelihoods”.

The Chancellor told the Commons:

“We can announce today that the furlough scheme will not be extended for one month, it will be extended until the end of March.

“The Government will continue to help pay people’s wages up to 80% of the normal amount.

“All employers will have to pay for hours not worked is the cost of employer NICs and pension contributions.

“We will review the policy in January to decide whether economic circumstances are improving enough to ask employers to contribute more.”

What else has the chancellor announced?

More money has been announced for the devolved administrations - i.e. Scotland, Wales & Northern Ireland.

The funding was at £14bn and it's now at £16bn.

The self-employed are also due to get more support.

This is an area which the government has been heavily-criticised on.

As the Tweet above states, the Self-Employment Income Support Scheme grant covering November to January will be calculated at 80% of average trading profits.

Not everyone is impressed

The Chancellor has faced a grilling from MPs in the House this afternoon.

Many say that jobs have been lost already as the scheme was being wound-down and so this move comes too late to save some positions.

The campaign group Excluded UK, who say they represent 3 million people who haven't been able to use any of the government's support schemes.

These are commonly freelancers or those on zero-hours contracts, for example.

Which shops and businesses will remain open during lockdown in England?

Supermarkets


Post offices


Pharmacies and chemists


Medical and dental services


Newsagents


Off-licences


Petrol stations


Garden centres


Banks


Hardware stores


Pet shops and vets


Launderettes and dry cleaners


Funeral directors


Takeaways and food deliveries


Food banks and shelters


Agricultural supplies shops


Storage and distribution units


Outdoor playgrounds


Taxi and vehicle hire businesses


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