CLOSE to three in 10 eligible jobs in Cheshire have been covered by the Government's furlough scheme, according to new figures.

Figures from HM Revenue and Customs show around 50,400 claims to furlough jobs were made in Cheshire East – including Middlewich, Knutsford and Wilmslow – by the end of June.

That was 7,000 more than at the end of May, and means 28 per cent of eligible jobs had been furloughed.

Meanwhile in Cheshire West, including Northwich and Winsford, around 49,300 claims to furlough jobs were made by the end of June.

That was 7,900 more than at the end of May, and means 30 per cent of eligible jobs had been furloughed.

Under the job retention scheme, launched by Chancellor Rishi Sunak in March, the Government pays 80% of employees’ wages, up to a maximum of £2,500 per month per employee.

Northwich Guardian:

Chancellor Rishi Sunak. Image: Stefan Rousseau/PA Wire

Jobs at firms which are unable to operate or have no work for their employees because of coronavirus are eligible for furlough.

Cheshire's figures were slightly below the national rate of jobs furloughed, which stood at 31 per cent by the end of June.

The figures show 9.4 million employments across the UK had been placed on furlough by the end of June, at a cost to the Treasury of £26.5 billion.

The scheme will be scaled back in August, when firms start making contributions to the costs, and will close in October.

The Office for Budget Responsibility, the UK's spending watchdog, predicts that 1.3 million furloughed workers may lose their jobs once the scheme ends.

Mr Sunak recently announced that employers will receive a one-off bonus of £1,000 for each furloughed employee who is still employed by January 31 next year.

Speaking to the Commons Treasury Committee last Wednesday, Mr Sunak said the bonus provided a 'significant incentive' for firms to retain staff who would otherwise be laid off.

"I firmly believe that it will and can make a difference," said the Chancellor.

"I think the way it is designed, particularly for those who are lower paid, it will serve as a significant incentive and reward to those especially small and medium-sized companies to protect employment.

"We have the prospect of many people losing their jobs. I am determined to do what I can to protect as many of those jobs as possible and this I believe will help do that."

However, the Trades Union Congress believes it 'falls short' of what is needed to prevent job losses.

Northwich Guardian:

Frances O'Grady of the TUC. Image: Danny Lawson/PA Wire

Frances O’Grady, general secretary, said: “Mass unemployment is the biggest threat facing the UK.

“Struggling businesses need more than a one-off job retention bonus to survive in the long run.

“The more people we have in decent work, the faster we can move out of recession."

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