End of UK furlough scheme ‘means needless loss of 2m jobs’
Important in the context of this article to reflect that many of the 2 million jobs referenced here are in rural economies. The story tells us:
After confirmation that Britain has entered the deepest recession since records began, new analysis seen by the Observer finds that as many as 3 million jobs will still be reliant on the government’s furlough scheme by the time it is closed at the end of October.
While 1 million jobs will be lost permanently as a result of the pandemic’s impact and changing demand, it finds that the remainder could be saved in the long run by adopting a successor to the furlough scheme focused on viable jobs in the hospitality, entertainment and construction sectors.
The new research, drawn up by the Institute for Public Policy Research thinktank, warns that simply withdrawing the furlough scheme with nothing in its place will cause unemployment at levels “not seen since the Great Depression of the 1930s”. It also calls for major increases in universal credit to help those who are out of a job – an idea that is gaining support among Tory MPs.
The public is split on extending the furlough scheme beyond October, but most people want the support extended in some form, according to an Opinium poll for the Observer. It found 28% say the scheme should end as intended, 33% back extending it for sectors most affected by Covid-19, while 18% support extending it for all sectors.