CORONAVIRUS

Firms must start paying quarter of staff wages

Rishi Sunak said that Britain was facing a “very serious economic crisis”
Rishi Sunak said that Britain was facing a “very serious economic crisis”
JONATHAN BRADY/PA

Employers will be required to pay a quarter of the wages of furloughed staff under Treasury plans to unwind the state subsidy scheme.

Rishi Sunak, the chancellor, is expected to announce next week that employers will have to contribute from August as the lockdown is eased.

He will allow employers to take furloughed workers back part time for as many hours a week as they want. All employers using the scheme will be required to make the payments, even if they are still under lockdown.

Companies will also be required to restart paying national insurance but the government will continue to pay pension contributions.

More than eight million people have been furloughed, equivalent to a third of the private sector workforce. The Office for Budget