The furlough scheme, which pays employers in the UK who have been laid-off from work due to the coronavirus pandemic, will now be extended for an extra four months with it now being in operation until October 2020.
The announcement of such was made by the Chancellor, Rishi Sunak, who confirmed that staffs who are off work will continue to receive 80% of their monthly wages up to £2,500.
But, this time around, there is a caveat – in that Sunak added that the government will ask companies signed up to the scheme to “start sharing” the cost from August.
A quarter of the UK workforce – anywhere up to 7 and a half million people – are currently covered by the furlough scheme, which has, to date, £14 billion.
The Chancellor said that from August, the scheme will continue for all sectors and regions of the country but with greater flexibility to support the transition back to work.
Employers using the furlough scheme will be able to gall furloughed employees back in to work on a part-time basis.