End of furlough will mean thousands of job losses as one firm in five plans to shed employees 

One firm in five plans to shed jobs after today’s latest cut in the Government’s furlough aid.

The support is slowly being made less generous, with the Treasury ending the scheme by October.

From today, Government support for a furlough wage will be cut to 60 per cent from 70 per cent, with employers now having to foot 20 per cent of furlough pay, instead of the ten per cent expected in July.

One firm in five plans to shed jobs after today's latest cut in the Government's furlough aid

One firm in five plans to shed jobs after today's latest cut in the Government's furlough aid

One firm in five plans to shed jobs after today’s latest cut in the Government’s furlough aid 

A poll of 250 businesses with employees still on furlough found that 18 per cent said they were likely to make staff redundant.

This will lead to thousands of job losses, said the British Chamber of Commerce (BCC), which carried out the survey.

A quarter of firms said they would aim to reduce hours or move staff to part-time working.

Official data shows that 1.9 million people were still furloughed at the end of June, a reduction from 2.4 million a month earlier.

BCC spokeswoman Jane Gratton said many people needed training in new skills, adding: ‘It is crucial that employers and the Government give them the support they need to be re-engaged.’

The support is slowly being made less generous, with the Treasury ending the scheme by October. Pictured: Chancellor Rishi Sunak

The support is slowly being made less generous, with the Treasury ending the scheme by October. Pictured: Chancellor Rishi Sunak

The support is slowly being made less generous, with the Treasury ending the scheme by October. Pictured: Chancellor Rishi Sunak  

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