London Daily

Focus on the big picture.
Tuesday, Dec 23, 2025

UK govt unveils new job support scheme, but warns it ‘cannot save every business’

UK govt unveils new job support scheme, but warns it ‘cannot save every business’

Britain’s Finance Minister Rishi Sunak has announced a new jobs support program to help firms employ people on shorter hours amid the coronavirus pandemic, with the current furlough scheme ending this month.

“The government will directly support the wages of people in work,” Sunak told Parliament on Thursday. It would give businesses “who face depressed demand the option of keeping employees in a job on shorter hours, rather than making them redundant,” the chancellor said.

The new Jobs Support Scheme, a part of the ‘Winter Economy Plan’, will run for six months starting in November, and will be open to all small- and medium-sized enterprises. Larger firms will only be included if their turnover has fallen during the crisis.

“It will support viable jobs to make sure that employees must work at least a third of their normal hours and be paid for that work as normal by their employer,” Sunak said. Together with employers, the government “will then increase those people’s wages, covering two-thirds of the pay they have lost by reducing their working hours,” he added.


The current furlough scheme, dubbed the Coronavirus Job Retention Scheme (CJRS), will be stopped at the end of next month. It supported around nine million jobs at its peak in May.

Britain’s statistics agency estimated on Thursday that one in eight workers were being helped by the program in early September. The CJRS paid employers 80 percent of the salaries of furloughed workers, up to £2,500 a month.

Sunak admitted he “cannot save every business and job” affected by the pandemic, leaving an opening for criticism from his opponents, who have already claimed the scheme will not prevent many furloughed workers from losing their jobs.

This is a [very] big change from furlough. Less generous. Only open to those who are working a third of normal hours,” Paul Johnson, the head of the Institute for Fiscal Studies (IFS) think-tank, tweeted on Thursday. “Understandable given need to adapt as economy changes… But a lot on furlough now likely to lose their job.”

Prime Minster Boris Johnson, however, said his government was doing its utmost to protect jobs and described the new economic measures as “creative and imaginative.” Speaking of the finance minister’s plan, Johnson said: “That’s the balance in this package, it’s about working together to drive down the virus now, but also keep education and the economy going.”

Newsletter

Related Articles

0:00
0:00
Close
Banksy Unveils New Winter Mural in London Amid Festive Season Excitement
UK Households Face Rising Financial Strain as Tax Increases Bite and Growth Loses Momentum
UK Government Approves Universal Studios Theme Park in Bedford Poised to Rival Disneyland Paris
UK Gambling Shares Slide as Traders Respond to Steep Tax Rises and Sector Uncertainty
Starmer and Trump Coordinate on Ukraine Peace Efforts in Latest Diplomatic Call
The Pilot Barricaded Himself in the Cockpit and Refused to Take Off: "We Are Not Leaving Until I Receive My Salary"
UK Fashion Label LK Bennett Pursues Accelerated Sale Amid Financial Struggles
U.S. Government Warns UK Over Free Speech in Pro-Life Campaigner Prosecution
Newly Released Files Shed Light on Jeffrey Epstein’s Extensive Links to the United Kingdom
Prince William and Prince George Volunteer Together at UK Homelessness Charity
UK Police Arrest Protesters Chanting ‘Globalise the Intifada’ as Authorities Recalibrate Free Speech Enforcement
Scambodia: The World Owes Thailand’s Military a Profound Debt of Gratitude
Women in Partial Nudity — and Bill Clinton in a Dress and Heels: The Images Revealed in the “Epstein Files”
US Envoy Witkoff to Convene Security Advisers from Ukraine, UK, France and Germany in Miami as Peace Efforts Intensify
UK Retailers Report Sharp Pre-Christmas Sales Decline and Weak Outlook, CBI Survey Shows
UK Government Rejects Use of Frozen Russian Assets to Fund Aid for Ukraine
UK Financial Conduct Authority Opens Formal Investigation into WH Smith After Accounting Errors
UK Issues Final Ultimatum to Roman Abramovich Over £2.5bn Chelsea Sale Funds for Ukraine
Rare Pink Fog Sweeps Across Parts of the UK as Met Office Warns of Poor Visibility
UK Police Pledge ‘More Assertive’ Enforcement to Tackle Antisemitism at Protests
UK Police Warn They Will Arrest Protesters Chanting ‘Globalise the Intifada’
Trump Files $10 Billion Defamation Lawsuit Against BBC as Broadcaster Pledges Legal Defence
UK Says U.S. Tech Deal Talks Still Active Despite Washington’s Suspension of Prosperity Pact
UK Mortgage Rules to Give Greater Flexibility to Borrowers With Irregular Incomes
UK Treasury Moves to Position Britain as Leading Global Hub for Crypto Firms
U.S. Freezes £31 Billion Tech Prosperity Deal With Britain Amid Trade Dispute
Prince Harry and Meghan’s Potential UK Return Gains New Momentum Amid Security Review and Royal Dialogue
Zelensky Opens High-Stakes Peace Talks in Berlin with Trump Envoy and European Leaders
Historical Reflections on Press Freedom Emerge Amid Debate Over Trump’s Media Policies
UK Boosts Protection for Jewish Communities After Sydney Hanukkah Attack
UK Government Declines to Comment After ICC Prosecutor Alleges Britain Threatened to Defund Court Over Israel Arrest Warrant
Apple Shutters All Retail Stores in the United Kingdom Under New National COVID-19 Lockdown
US–UK Technology Partnership Strains as Key Trade Disagreements Emerge
UK Police Confirm No Further Action Over Allegation That Andrew Asked Bodyguard to Investigate Virginia Giuffre
Giuffre Family Expresses Deep Disappointment as UK Police Decline New Inquiry Into Andrew Mountbatten-Windsor Claims
Transatlantic Trade Ambitions Hit a Snag as UK–US Deal Faces Emerging Challenges
Ex-ICC Prosecutor Alleges UK Threatened to Withdraw Funding Over Netanyahu Arrest Warrant Bid
UK Disciplinary Tribunal Clears Carter-Ruck Lawyer of Misconduct in OneCoin Case
‘Pink Ladies’ Emerge as Prominent Face of UK Anti-Immigration Protests
Nigel Farage Says Reform UK Has Become Britain’s Largest Party as Labour Membership Falls Sharply
Google DeepMind and UK Government Launch First Automated AI Lab to Accelerate Scientific Discovery
UK Economy Falters Ahead of Budget as Growth Contracts and Confidence Wanes
Australia Approves Increased Foreign Stake in Strategic Defence Shipbuilder
Former UK Prime Minister Boris Johnson proclaims, “For Ukraine, surrendering their land would be a nightmare.”
Microsoft Challenges £2.1 Billion UK Cloud Licensing Lawsuit at Competition Tribunal
Fake Doctor in Uttar Pradesh Accused of Killing Woman After Performing YouTube-Based Surgery
Hackers Are Hiding Malware in Open-Source Tools and IDE Extensions
Traveling to USA? Homeland Security moving toward requiring foreign travelers to share social media history
UK Officials Push Back at Trump Saying European Leaders ‘Talk Too Much’ About Ukraine
UK Warns of Escalating Cyber Assault Linked to Putin’s State-Backed Operations
×