LONDON (UK) – According to a survey, firms in Britain were haemorrhaging jobs in the three months to August. This shows that unemployment is on the rise as the government wound up its job furlough scheme.
The survey published by the Confederation of British Industry on Thursday said that firms depending on consumer spending, a good number of which reopened recently after the lockdown, slashed jobs at an unprecedented pace.
Firms expect job cuts to slow down in the next three months, but the CBI said urgent government action was essential.
“As we head into the autumn, the UK needs a bold plan to protect jobs as the job retention scheme draws to an end, to support the services sector,” CBI economist Ben Jones said.
Calls to extend the Coronavirus Job Retention Scheme beyond October 31 were rejected by Finance Minister Rishi Sunak.
By the end of this year, the UK unemployment rate will double to 7.5%, according to the Bank of England and many economists predict it might be much higher.
(Photos syndicated via Reuters)
This story has been edited by BH staff and is published from a syndicated field.