London Daily

Focus on the big picture.
Sunday, Jul 19, 2026

More than HALF of British businesses will lay off employees if UK govt's job retention scheme ends, new survey suggests

More than HALF of British businesses will lay off employees if UK govt's job retention scheme ends, new survey suggests

A new poll of British business leaders has revealed that over half of them will have to cut staff numbers within three months if the UK government's job retention scheme ends.

A survey published by the UK polling company YouGov on Wednesday – which polled more than 500 business leaders – shows that a staggering 51 percent of firms will be forced to lay off employees, if government financial assistance is dropped.

Businesses have been plunged into uncertainty, with many facing the prospect of bankruptcy and redundancies for staff, as a result of the coronavirus crisis.

Some 21 percent of companies that said they will have to make redundancies revealed that they will have to let at least three in 10 of their workers go, according to the poll. Just over a third of the firms say that no staff cuts will have to be made if the furlough scheme expires.


Since March, the government's job retention scheme has been paying 80 percent of the incomes of around a quarter (7.8 million) of the workforce. The scheme will continue between August and October, but companies will be asked to contribute at least a fifth of their employees' wages.

According to the Office for National Statistics (ONS), about 81 percent of UK companies have made use of the scheme. However, a number of economists have warned that many people risk losing their jobs when the scheme ends in the autumn, with companies – particularly in the hospitality and leisure sectors – seeing massive reductions in their revenues over the course of the pandemic.

The ONS published figures on Tuesday showing that the number of workers on UK payrolls plummeted by more than 600,000 between March and May.

Newsletter

Related Articles

0:00
0:00
Close
Brothers Andrew and Tristan Tate Who Turned "Toxic Masculinity" Into a Brand Arrested in Miami as Britain Seeks Their Extradition
Passenger Bound for Germany Refused to Sit Beside a Woman on a Plane — Then Slapped a Flight Attendant
Ukrainian Drone Barrage Kills Eight and Strikes Russian Logistics Network
Key Trends to Watch
Financial Conduct Authority Warns Cloud and Digital Risks Are Becoming a Financial Priority
Jeffrey Donaldson Appeals Sexual Abuse Conviction as Democratic Unionist Party Opens Review
Welsh Health Authorities Launch Emergency Meningitis Vaccination Programme for Students
Scottish Business Activity Falls for Third Month as Companies Face Rising Costs
Bank of England Regulators Demand Better Access to Digital Banking Services
United Kingdom Cuts Bilateral Aid to Several African Countries by Up to Ninety Per Cent
United Kingdom Introduces Tougher Deportation Rules After Rochdale Exploitation Scandal
NHS England Launches Wearable Technology Plan to Reduce Sepsis Deaths
Amazon Web Services Billing Error Sends Trillion-Dollar Invoices to British Companies
Bank of England Takes Direct Regulatory Role Over Major Global Cloud Providers
Extreme Summer Heat Drives Record Fire Risk and Rising Deaths Across Britain
United Kingdom Nationalisation of British Steel Sparks Diplomatic Dispute With China
United Kingdom Economy Shows Weak Growth Ahead of Major Autumn Budget
Andy Burnham Set to Become United Kingdom Prime Minister After Labour Leadership Victory
The Ten World Cup Finals That Defined Football History
Smartphones Are Getting More Expensive, Sales Are Collapsing, and Even Apple Admits: "Prices Will Rise"
The Monaco Bombing Has Become a Test of Ukraine’s Intelligence Accountability
Leadership Change and Strategic Rivalry Redraw the Political Map
Energy Risk, Uneven Growth and the New Geography of Global Capital
The AI Race Enters Its Infrastructure Era
Security and resilience remain long-term national priorities
Britain balances growth ambitions with public finance pressures
Regional devolution becomes a defining theme of the next Labour era
Industrial strategy returns to the centre of British economic policy
Political Instability Remains a Challenge for UK Investment Confidence
Brexit Economic Debate Continues as Public Concerns Over Long-Term Impact Remain
UK Climate Risks Rise as Met Office Warns Extreme Weather Is Becoming More Common
Housing Shortages and Regional Inequality Become Key Priorities Under Incoming Labour Leadership
National Health Service Reform Remains One of Britain’s Biggest Political Challenges
Bank of England Remains at Centre of UK Economic Debate Over Inflation and Growth
UK Economy Shows Recovery Signs but Households and Businesses Remain Under Pressure
Britain Deepens European Defence Cooperation as NATO Allies Seek Stronger Security Capabilities
United Kingdom Expands Sanctions Against Russian Cyber Networks Over Security Threats
UK Industrial Strategy Faces Test After Government Takes Control of British Steel
British Businesses Seek Policy Clarity as Andy Burnham Prepares to Lead Labour Government
Andy Burnham’s Labour Leadership Signals Major Shift Toward Regional Power and Devolution
British Steel Nationalisation Creates New UK-China Tensions Over Control of Strategic Industry
For 36 Years, He Scammed About 300 Luxury Hotels — Until He Was Caught
England's World Cup Exit Expected to Cost Hospitality and Retail £334 Million
Former ICC Prosecutor Aide Speaks Publicly About Allegations Against Karim Khan
Opposition Raises Questions Over June Heatwave Power Grid Pressures
Mastercard Explores Sale of Majority Stake in UK Payments Operator Vocalink
Boeing Forecasts Global Commercial Aircraft Fleet Will Double by 2045
London GP Surgeries Receive £18 Million to Expand Primary Care Capacity
Health Advisers Recommend Nationwide Meningitis B Vaccination for Teenagers
OECD Warns UK Economy Faces Slower Growth and Weak Productivity
×