To ask Her Majesty's Government what plans they have to extend the furlough scheme for industries affected by COVID-19.
28 September 2021
The Coronavirus Job Retention Scheme was designed as a temporary, economy-wide measure to support businesses while widespread restrictions were in place. Closing the scheme at the end of September strikes the right balance between supporting the economy as it opens up, continuing to provide support and protect incomes, and ensuring incentives are in place to get people back to work as demand returns. As set out in the Plan for Jobs Progress Update published on 13 September 2021, this approach has worked. The OBR have estimated that without the short-term fiscal easing announced in the Budget, and in particular the CJRS extension, unemployment would have otherwise been around 300,000 higher in the fourth quarter of this year than the 2.2 million in the central forecast.
The Government has shown throughout the pandemic that it is prepared to adapt support if the path of the virus changes. We continue to engage closely with sectors across the economy to understand their recovery horizons as the vaccine is rolled out and restrictions ease.