UK Government Expands its Job Support Program

After attending a cabinet meeting on February 14, 2020, the Vice Chancellor of the Sage Craze left 10 Downing Street.

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LONDON – The UK government has expanded its jobs support program as the country prepares for strict coronavirus restrictions to be announced every week.

Finance Minister Sage Craze said on Friday that companies whose premises have to be closed as part of local or national restrictions during the winter period will receive grants to pay salaries of employees who cannot work.

The British government will pay the wages of two-thirds of its employees in winter to protect their jobs. A cash grant for businesses in England that would increase to around £ 3,000 ($ 3,893) per month.

The new program will come into effect from November 1 and will run for six months. The BBC reported that the expansion could cost hundreds of million pounds per month.

“Safety nets for businesses across the UK that need to temporarily close their doors give them the right support at the right time,” the fad said in a statement.

The additional financial support comes ahead of coronovirus restrictions, which are expected to be announced late on Monday, which is seeing rapid growth.

The UK has reported 564,518 cases since Kovid-19 first emerged late last year, with 42,682 deaths. Meanwhile, the Office of National Statistics said on Friday morning that cases in England had fallen to around 17,200 per day in the latest week. 8,400 per day on 1 October last week.

Two weeks ago, the craze announced the first iteration of the job support scheme – a new emergency package of measures to curb unemployment, replacing the UK’s Furlow scheme which is set to expire at the end of October.

This would directly top the salaries of employees working fewer hours due to suppressing demand for business, enabling workers to do their work at shorter hours rather than making them redundant.

In the summer, the original Furloff scheme subsidized 80% of wages for millions of workers as a result of the epidemic. But the craze confirmed in July that it would be wound up as the country began to emerge from coronovirus lockdown measures.

—CNBC’s Elliot Smith contributed to this article.