Furlough Extended to March, Lockdown Still to End in December
Rishi has promised that although furlough is now being extended for another half-year (right the way until March and longer than the original full scheme ran) the national lockdown will still end in December. His explanation is that economic consequences of lockdown outlive the measures. Rishi was keen to stress extending furlough will not mean extending lockdown…
“The Government’s intention is for the new health restrictions to remain only until the start of December but as we saw from the first lockdown, the economic effects are much longer lasting for businesses and areas than the duration of any restriction.”
Fortunately, the lockdown Bill passed last night has a sunset clause, meaning the law that enacts the measures itself ensures they automatically fall away after 28 days. The Government will lift lockdown in December. It will be harder to lift the enormous new debt that furlough – estimated to cost £14 billion per month – is creating.