Furlough: Rishi Sunak ends scheme tomorrow – key warning to Britons

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Furlough, formally known as the Coronavirus Job Retention Scheme, has offered a financial helping hand to Britons affected by the COVID-19 crisis. First established in March, furlough was originally designed to provide employees with 80 percent of their salary up to £2,500 from the government. It was due to end in June, but was extended due to demand, and the amount of government support was slowly reduced.

With the end of the scheme tomorrow, there was also concern about redundancies and mass unemployment.

As such, the government announced the Job Support Scheme (JSS) as a replacement, however, there is a vital issue to consider.

Although support is set to continue to help those who are still affected by COVID-19, Britons have been warned it is less generous than previous government offerings.

JSS comes into force from Sunday, November 1, 2020 and is designed to help workers and employers this winter.

READ MORE: Britons face important deadlines as first support measures end

The government has stated this will ensure employees will receive at least 73 percent of their normal wages where earning £3,125 a month or less. 

For those businesses who have been forced to close, the JSS Closed scheme will apply to them and their employees.

Employees who cannot work due to local lockdowns will receive two thirds of their standard pay, fully funded by the government.

This will go up to a cap of £2,083.33 per month, to help those severely affected.

The government has also encouraged people in this circumstance to look into Universal Credit as a potential support option. 

JSS is scheduled to run for six months, until April 30, 2021, with the government set to review the terms in January.

The scheme appears to be less generous to some workers than the £3,000 cap originally outlined under CJRS.

However, it will provide a high level of support to those whose employment has been affected. 

Mr Sunak announced the new support measures intended to help Britons past the furlough end date.

He said: “I’ve always said that we must be ready to adapt our financial support as the situation evolves, and that is what we are doing today.

“These changes mean that our support will reach many more people and protect many more jobs.

“I know that the introduction of further restrictions has left many people worried for themselves, their families and communities.

“I hope the government’s stepped-up support can be part of the country pulling together in the coming months.”



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