August 12, 2020, 04.11 PM

Read also: Finance Minister Expects Indonesian Economy to Grow 0.5 percent in Q3

The British government hopes additional measures such as the reopening of pubs and restaurants will allow the economy to rebound further.

But given the scale of the contraction, it's inevitable unemployment will sky-rocket in coming months.

“I’ve said before that hard times were ahead, and today’s figures confirm that hard times are here," said Treasury chief Rishi Sunak.

“Hundreds of thousands of people have already lost their jobs, and sadly in the coming months many more will,” stated Rishi.

Read also: Small Rise in EU Unemployment Rate Despite Easing Lockdown

So far, the British government has kept a lid on the numbers swelling the ranks of the jobless through a salary support package that has given hard-pressed firms the opportunity to retain workers rather than fire them.

Under the Coronavirus Job Retention Scheme, the government has been paying a large chunk of the salaries of workers retained.

Some 1.2 million employers have taken advantage of the program to furlough 9.6 million people at a cost to the government of 33.8 billion pounds ($44 billion).

Sunak is ending the program in October on the grounds it gives “false hope” to furloughed workers while at the same time limiting their prospects of getting new jobs as their skills fade.

Page:


Recommendation
Comment wisely and responsibly. Comments are entirely the responsibility of the commentator as regulated in the ITE Law
Report
Thank You! We have received your report. We will remove comments that conflict with the Community Guidelines and the ITE Law.

More Headlines

News
August 16, 2022, 01.24 PM

UN Envoy Makes First Visit to Myanmar

News
August 15, 2022, 09.06 PM

Myanmar Court Sentences Suu Kyi to 6 Years

News
August 12, 2022, 04.41 PM

Researchers Warn of Melting Antarctic Ice Sheet

News
August 8, 2022, 09.07 AM

ASEAN Wraps Up Foreign Ministers Talks

Close Ads