Originally written by Timothy Adler on Small Business
Rishi Sunak is to stop new applicants from joining the jobs furlough scheme, in a bid to continue winding the scheme down.
Part-time working from furloughed staff is expected to be allowed from August, following pressure from MPs and retail associations. The government has announced that non-essential shops can reopen from June 15.
However, according to the Financial Times, the chancellor wants to stop new applicants from joining the Coronavirus Job Retention Scheme (CJRS) to stop them from going on furlough and immediately coming back off it to work part-time – leaving the Treasury to pick up the bill.
>See also: Government launches business Coronavirus Job Retention Scheme
Mr Sunak is expected to announce changes to the jobs furlough scheme including asking small businesses to cover 20 per cent of the cost of the CJRS, as well as allowing part-time furlough, by the end of this week.
Currently, 8m people are on furlough, roughly a quarter of the total jobs in Britain.
A quarter of company directors surveyed by the Institute of Directors say they won’t be able to afford to pay even the 20 per cent of the furlough scheme if asked – as well as having to