Chancellor confirms furlough scheme extension

12 May 2020

The furlough scheme, part of the Coronavirus Job Retention Scheme, has been extended to October, Chancellor Rishi Sunak has just announced (12 May).

The news of the scheme’s extension beyond its original June date, will be a relief for textile care services businesses concerned about survival with no Government support as it takes the furlough support scheme to eight months in total. This especially true for those servicing hospitality businesses.

Sunak, announcing the changes, said that until the end of July there will be no changes, but businesses would see “greater flexibility” from then until the end of October.

Employers currently using the scheme would be able to bring furloughed employees back part-time.

Workers will continue to receive 80 per cent of their current salary in furlough, but the Government will expect businesses to start sharing the cost from August, said the Chancellor.

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