Furlough scheme helps one in three workers
Almost a third of eligible workers in Kent have been forced to claim on the government’s furlough scheme, new figures reveal.
Almost 200,000 claims were made in the county by the end of June, up more than 26,000 from the same time in May.
The figures from HM Revenue and Customs are below the national average, but have led trade unions to call on the government to provide more support to “stem the tide of redundancies” when the scheme ends in October.
The 196,900 claims made in Kent make up 29% of the total roles eligible, just below the total rate of 31% across the UK. The figures show 9.4 million employees across the UK had been placed on furlough by the end of June, at a cost to the Treasury of £26.5 billion.
The scheme will be scaled back in August and then shut down in October, with Chancellor Rishi Sunak offering employers a one-off bonus of £1,000 for each furloughed employee who is still at their company by January 31. However, there are still fears of job losses, with a report from the Office for Budget Responsibility predicting 1.3 million furloughed workers could lose their jobs once the scheme ends.
The Trades Union Congress (TUC) warned that the Chancellor’s offer “falls short” of what is needed to prevent job losses. General secretary Frances O’Grady said: “Mass unemployment is the biggest threat facing the UK.
“Struggling businesses need more than a one-off job retention bonus to survive in the long run.
“The more people we have in decent work, the faster we can move out of recession.”
The Institute of Directors, representing business leaders in the UK, said broader measures were needed to help companies which have “fallen through the gaps” of support throughout the pandemic.
The Chancellor is also facing renewed calls to give greater support to the self-employed as their support scheme also begins to wind down.
About 66,800 people in Kent had applied to the Self-Employment Income Support Scheme by the end of June (SEISS), amounting to £206.4 million. This is equal to about £3,100 per person, with 75% of those thought to be eligible in the area having asked for support. Eligible workers will be able to claim a second and final grant in August, up to 70% of profits and capped at £6,570.
A Treasury spokesman said applications for the final grant will remain open until October 19.
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