Chancellor Rishi Sunak has today extended the furlough scheme through until the end of April 2021 – giving businesses and employees across the UK certainty up to Easter.
Mr Sunak also confirmed the he would be extending the government-guaranteed Covid-19 business loan schemes until the end of March.
Under the furlough scheme the Government will continue to pay 80 per cent of the salary of employees for hours not worked until the end of April.
The Chancellor said he would review the employer contribution element of the CJRS in January, but decided to bring this forward to allow businesses to plan ahead for the remainder of the winter and the New Year.
The Chancellor said: “Our package of support for businesses and workers continues to be one of the most generous and effective in the world – helping our economy to recover and protecting livelihoods across the country.
We know the premium businesses place on certainty, so it is right that we enable businesses to plan ahead regardless of the path the virus takes, which is why we’re providing certainty and clarity by extending this support, as well as implementing our Plan for Jobs.”
These changes come ahead of the Budget, which the Chancellor has confirmed will take place on 3 March 2021.
