London Daily

Focus on the big picture.
Monday, Mar 09, 2026

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
Trump Declines UK Offer to Deploy Aircraft Carriers to Middle East Amid Iran Conflict
Prince Harry and Meghan Markle to Return to Australia After Seven Years for Philanthropic and Business Engagements
UK Government Signals Independence From Washington as Cooper Says Britain Does Not Agree With Trump on Every Issue
UK Experts Warn AI Chatbots Are Fueling Surge in Claims of Organised ‘Satanic’ Ritual Abuse
UK Political Parties Divided Over Strategy as Iran Conflict Reshapes Foreign Policy Debate
Britain Discloses Secret Military Repair Hubs Operating Inside Ukraine
Trump Says US No Longer Needs UK Carrier Support After Delayed Offer Amid Iran Conflict
Why Britain Has Become Involved in the US-Israel Military Campaign Against Iran
UK Gas Storage Falls to Under Two Days as Iran Conflict Jolts Global Energy Markets
UK Warned to Brace for Economic Shock as Iran War Drives Global Energy Price Surge
Starmer and Trump Hold First Call After Public Dispute Over Iran Conflict
UK Dentists Returned £1.3 Billion to Government as Shift Toward Private Care Accelerates
Expert Warns UK Must Build Emergency Food Stockpiles to Prepare for Climate Shocks or War
UK Plans Charter Flight to Evacuate British Nationals from Gulf as Regional Conflict Disrupts Air Travel
Families of Zimbabwe’s Liberation Fighters Call on Britain to Help Locate Skulls Taken During Colonial War
Iran’s Ambassador Warns Britain to ‘Be Very Careful’ Over Deeper Role in Expanding Middle East War
UK Military Leadership Defends Britain’s Defensive Role in Expanding Middle East Conflict
Four U.S. Strategic Bombers Arrive in Britain as Iran War Intensifies
Soham Murderer Ian Huntley Dies After Violent Attack in High-Security Prison
UK Lawmakers and Experts Condemn Scale of Overseas Human Remains Held in British Museums
Royal Navy Aircraft Carrier HMS Prince of Wales Placed on Standby for Potential Deployment
United Kingdom Confirms U.S. Military Using British Bases for Operations Targeting Iranian Missile Sites
Starmer Defends UK Role in Iran Conflict After Renewed Criticism from President Trump
Blue Owl Reveals £36 Million Exposure After Collapse of UK Lender Serving Wealthy Clients
UK Asylum Reform Plan Triggers Fierce Debate Over Border Control and Humanitarian Impact
US Stealth Bombers Head to UK Base as Trump Issues Stark Warning to Iran
UK Deputy Prime Minister Says Legal Case Could Exist for British Strikes on Iranian Missile Sites
Investigators Link Mysterious Parcel Fires Across Europe to Russian Intelligence Operation
Debate Intensifies Over Britain’s Legal Justification for US Military Operations Launched From UK Bases
Britain Faces Heightened Energy Price Risks as Iran-Linked Tensions Threaten Global Oil and Gas Supplies
British Counter-Terror Police Arrest Four Suspected of Spying on Jewish Community for Iran
Axel Springer Agrees $770 Million Deal to Acquire Britain’s Daily Telegraph
Iceland Supermarket Drops Trademark Challenge Against Icelandic Government in Long-Running Naming Dispute
UK Defence Secretary Visits Cyprus Following Scrutiny of Britain’s Response to Drone Attacks
Questions Grow Over Britain’s Military Readiness as Response to Iran Conflict Draws Scrutiny
UK Offers Failed Asylum Seeker Families Up to Forty Thousand Pounds to Leave Voluntarily
Saharan Dust Could Bring ‘Blood Rain’ to Parts of the UK as Weather Systems Shift
UK Deploys Additional Typhoon Fighter Jets to Qatar and Helicopters to Cyprus Amid Rising Middle East Tensions
Experts Urge Britain to Accelerate Renewable Energy Push as Global Conflicts Drive Up Costs
British Public Shows Strong Reluctance to Join Wider War in Iran
First UK Evacuation Flight Departs Middle East After Lengthy Delay
United Kingdom Imposes New Visa Requirements on Travelers from St. Lucia and Nicaragua
Iran Conflict Strains U.S.–U.K. Alliance as Trump and Starmer Clash Over Military Strategy
UK Interest Rates Could Rise Above Four Percent Again if Energy Shock Continues, Think Tank Warns
Starmer Defends Britain’s Iran Strategy as Badenoch Urges Stronger Military Support
Labour MP Says She Saw No Sign Husband Broke Law After Arrest in China Espionage Investigation
UK Jobless Rate Overtakes Italy’s for First Time in Years as Labour Market Weakens
United Kingdom Suspends Student Visas for Four Countries in Unprecedented Immigration Move
Campaigners Warn UK Student Visa Ban Could Push Migrants Toward Dangerous Channel Crossings
First U.K. Charter Flight for Stranded Nationals Set to Depart Oman Amid Middle East Crisis
×