SNP in call to continue furlough scheme

Rishi Sunak is making a “grave mistake” by phasing out the furlough scheme from August, Ian Blackford has said.

With less than two weeks to go until the job retention scheme starts to wind down, the SNP Westminster leader has called on the Treasury to extend the scheme into next year.

More than a quarter of the UK workforce is being supported by the scheme at a cost, so far, of more than £20 billion.

The scheme, brought in to mitigate the effects of coronavirus, allows employees to receive 80% of their monthly salary, up to £2,500.

So far in Scotland, 628,000 workers have signed up to the scheme.

In the north-east there are 27,700 workers in Aberdeen benefiting, 29,700 in Aberdeenshire and 11,700 in Moray.

The scheme will continue to support jobs until the end of October, but from August 1 employers will be expected to pick up part of the tab.

Mr Blackford said: “The Tory government is making a grave mistake by cutting off furlough support prematurely, with all the evidence suggesting it could lead to thousands of unnecessary job losses.

“With just two weeks to go until the first round of Tory cuts sink in, I urge the chancellor to think again and extend the furlough schemes into 2021 – to protect jobs and help struggling businesses ride out the winter. We are still in the middle of a global pandemic and there is a very real danger of a second wave.

“Many businesses are already on the edge and thousands of job losses have been announced as they prepare for the UK Government’s cuts to hit home.”