Furlough to be extended until the end of April

Furlough has been extended for one more month until the end of April 2021.

Rishi Sunak said on Thursday that the government will to pay 80% of wages to give individuals and businesses certainty well into the new year.

The chancellor also announced that government-backed loans that are designed to support firms throughout the pandemic would continue to give “certainty well ahead of the 45 day redundancy notice period, with budget setting out the next phase of support more than 45 days before the new end date of the scheme”.

“Our package of support for businesses and workers continues to be one of the most generous and effective in the world – helping our economy to recover and protecting livelihoods across the country,” said Sunak.

“We know the premium businesses place on certainty, so it is right that we enable them to plan ahead regardless of the path the virus takes, which is why we’re providing certainty and clarity by extending this support.”

The furlough scheme was first announced in March 2020 and was expected to run for three months, however, the government has continued to extend it.

Alongside the announcement, Sunak also said that the UK’s next budget would take place on 3 March.