Chancellor, Rishi Sunak is preparing to scale back the coronavirus wage-subsidy scheme for workers from July as the government plans to gradually ease restrictions on business activities.
It’s been reported that the Treasury is considering a number of options for tapering the scheme, including cutting the 80 per cent wage subsidy paid by the state to 60 per cent and lowering the £2,500 cap on monthly payments.
Another option promoted by employers’ groups to allow furloughed staff to work, but with a smaller state subsidy, is also under consideration.
Related: IGA calls for flexible furlough scheme
A final decision has yet to be made but the Treasury is understood to be working closely with No 10 as Boris Johnson prepares to outline plans on Sunday to gradually lift lockdown restrictions.
It will follow more than a month of tight controls on social and business activity across the UK, which is now on the brink of the deepest recession in living memory.
Share your comments below.