Furlough scheme to be extended until Oct-end

LONDON: The furlough scheme currently supporting 7.5 million jobs through the coronavirus crisis will be extended until the end of October, Chancellor Rishi Sunak announced as the UK death toll linked to Covid-19 passed 40,000.

The scheme – which pays 80 per cent of a worker’s salary up to a £2,500 monthly cap – will remain unchanged until the end of July and then continue with employers expected to start footing some of the multi-billion pound bill.

Sunak told MPs that from August there will be greater flexibility in order to allow furloughed staff to begin returning to work. “Employers currently using the scheme will be able to bring furloughed employees back part-time,” he said. “And we will ask employers to start sharing with the government the cost of paying people’s salaries.”

Under the scheme – which has already cost the taxpayer £10 billion – staff will continue to receive the current level of support through a combination of state and employer contributions.

Details will be announced at the end of the month following consultations with business, but officials have acknowledged the state will continue to make the largest contribution.

Sunak’s announcement came as new analysis by the PA news agency puts the death toll at just over 40,000, following new figures on care home deaths released by the Office for National Statistics (ONS).

This includes deaths from Covid-19 and where it has been mentioned on the death certificate as a factor. ONS data showed care home deaths accounted for some 40 per cent of coronavirus-related fatalities registered in England and Wales in the week ending May 1

As lockdown measures are eased – with unlimited exercise and sunbathing allowed in England from Wednesday as long as the two-metre rule is respected – the government hopes its new contact tracing app will help keep outbreaks of coronavirus under control.

Health Secretary Matt Hancock said the app being trialled on the Isle of Wight would be rolled out across England in the next week or so. He told Sky News: “We’re rolling out in mid-May. The Isle of Wight project has gone well so far, we’ve learned a lot about how the app operates. We’re pleased with progress, and we’re going to bring it in.”

The Health Secretary continued to face questions about elements of the new rules which will apply in England. Speaking on BBC Breakfast, Hancock said there was a “common sense” principle as to why children can be looked after by childminders, but not other family members from outside their household.

He said: “For some people’s livelihoods they need a childminder in order to earn an income and so that is important we allow that to happen.”

He also confirmed that when people decided to meet one other person at a distance and outdoors, they should meet in parks and open spaces, not in their gardens.

He said one of the reasons is that gardens can sometimes only be accessed through a house.

Hancock said an idea being considered by experts could help relieve the “anguish” of people wanting to see their grandparents or partners.