UK furlough scheme extended by four months

Chancellor Rishi Sunak announced that the UK Job Retention Scheme will be extended to October, an extra four
months. Employers will therefore continue to receive 80% of their monthly wages, up to £2,500, until this new extended deadline.

7.5 million workers and almost 1 million businesses are currently being covered by the scheme. Despite this extension, Sunak announced that from August the government will be asking companies to “start sharing”
the cost of the scheme. This will mean that from the start of August, furloughed workers should return to work part-time, with employers paying a percentage towards the salaries of their furloughed staff.

Sunak announced that this new flexibility should get employees back to work and will boost the economy.
More specific details are to be announced by the end of the month.

This article is prepared with the intention of providing general information on the changes in law. Philip Ross Solicitors accept no responsibility for errors it may contain and the coverage of the topic is not comprehensive. You are advised to speak directly to the writer or another partner within this firm within any specific enquiries on the topic addressed.

Georgina is a solicitor with nearly 30 years of experience in advising substantial businesses on complex legal issues and providing strategic and commercial solutions.