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UK coronavirus live: businesses must pay part of furlough costs from August UK coronavirus live: businesses must pay part of furlough costs from August
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Chancellor Rishi Sunak reveals details of tapering furlough scheme; Nicola Sturgeon urges caution as Scottish lockdown eases; Wales tells residents to ‘stay local’ as new lockdown rules come inChancellor Rishi Sunak reveals details of tapering furlough scheme; Nicola Sturgeon urges caution as Scottish lockdown eases; Wales tells residents to ‘stay local’ as new lockdown rules come in
Q. Are places with higher infection rates like Hull more susceptible to the virus as restrictions get lifted across the board? Are they more likely to see local lockdowns imposed?
Powis says there will be variation in the rate of infection around the country, which is not unusual.
The estimate of the R number across England is that’s it’s below 1, he says, so even with variation the trend is downwards.
There will likely be much more localised outbreaks, e.g. in dormitories and prisons, he says, which will require local public health intervention.
Key will be detecting these localised outbreaks early and intervening to break transmission before it becomes a wider problem, he adds.
Q. Hull has one of the worst unemployment rates in the country. What’s your message to the people struggling? Can you pledge to support the workers after these schemes elapse?
Sunak says many Hull businesses will have received help from the government’s schemes, including cash grants and business rates holidays.
He is doing everything he can to stand behind Britain’s workers, he says.
And that’s it, the press conference is over.
Q. Should ministers take a pay cut in solidarity with workers, as in New Zealand?
Sunak says he wasn’t aware of this but he’ll look into it.
Q. Is it going to be possible to shield the wider public sector from the economic fallout we face?
Sunak says the process whereby pay review bodies collect evidence and advise the government, that will happen later this year.
Q. Is there a safe way to share a BBQ or should we all be looking to picnics instead?
Powis says whether it’s in a private garden or in a park, for having a BBQ, the two metre rule and hand-washing remain critical.
Q. Will you reaffirm that you won’t get rid of the Tory manifesto commitment on the triple tax lock?
Sunak says he won’t write future budgets today.
Q. Would you like to see the two metre rule reduced?
Sunak says it is being kept under review but we’re not there at this point.
Powis adds two metres isn’t absolute – the closer you are to somebody and the longer you are close to somebody is also important.
The scientific evidence is unchanged but if new evidence becomes available it will be taken into account, he adds.
Q. We haven’t gone from level 4 to 3 – but we’ve pressed ahead anyway. Doesn’t it look like the decision was taken regardless of the advice?
Sunak says the decision was taken in conjunction with the scientific advice.
The test and trace system and the surveillance system gives us the ability to measure what’s happening across the country and react quickly in a more targeted way, he adds.
Q.The alert level remains at 4. It’s only at 3 that you can have gradual relaxation of restrictions, but we’re doing that at 4. Does that mean we’re no longer following the science?
Sunak says because we’re meeting the five tests, we can begin to carefully lift restrictions.
This is being done in a measured and phased, as opposed to reckless, progressive way, he says.
We remain engaged with scientific advice, he adds.
Q. Are we being a bit risky in going forward with relaxing restrictions?
Powis says the important thing is to keep the transmission – the R – below 1.
Infection rates in the community need to be monitored really closely and action taken if the R starts to go above 1, he says.
The scientific advice to the government will be how to do this through a range of measures going forward and avoid any second peak, he adds.
Q. How tough a period do the British people need to prepare themselves for, in terms of unemployment?
Sunak says despite this extraordinary intervention to protect as many jobs as possible, they can’t protect every job.
We’re in a better place than we otherwise would have been, he says.
However, there will be hardships ahead for many when the furlough scheme ends in October, the chancellor says.
He will work hard to help get people back into work if they do lose their jobs, he adds.
Q. If there’s a second spike and reimposing of lockdown measures, will you switch the furlough scheme back or would it just be over?
Sunak says the scheme will end in October.
Q. Will there be an emergency budget?
Sunak says he was planning an autumn budget but the timing will be released in the normal course of business.
Q. Is £100bn roughly what we’re looking at for the total cost of both schemes for the total eight months?Q. Is £100bn roughly what we’re looking at for the total cost of both schemes for the total eight months?
Sunak says the OBR has provided a range of estimates.Sunak says the OBR has provided a range of estimates.
It’s difficult to say what the total aggregate cost will be, he adds, because the flexible furlough will make that hard to predict.It’s difficult to say what the total aggregate cost will be, he adds, because the flexible furlough will make that hard to predict.
Q. Why haven’t we had people-tested numbers for the past six days?Q. Why haven’t we had people-tested numbers for the past six days?
Powis says he can’t give a specific answer on this but testing is increasing all the time.Powis says he can’t give a specific answer on this but testing is increasing all the time.
This week the antibody test has been rolled out in hospitals and healthcare facilities, he adds.This week the antibody test has been rolled out in hospitals and healthcare facilities, he adds.
They are taking questions from journalists now.They are taking questions from journalists now.
Q. Is £100bn your limit [for the furlough/SEISS schemes] and so unemployment will spike after?Q. Is £100bn your limit [for the furlough/SEISS schemes] and so unemployment will spike after?
Sunak says the scheme is very generous and will amount to the employer making a 5% contribution.Sunak says the scheme is very generous and will amount to the employer making a 5% contribution.
Around 40% of employers don’t pay national insurance or pension contributions at all, he says, so they won’t be affected by the changes in August.Around 40% of employers don’t pay national insurance or pension contributions at all, he says, so they won’t be affected by the changes in August.
Companies can apply in advance of payroll for the furlough scheme, he adds, which will help with cash flow.Companies can apply in advance of payroll for the furlough scheme, he adds, which will help with cash flow.
Q. If the alert level hasn’t gone down [from 4 to 3], why are we loosening things up?Q. If the alert level hasn’t gone down [from 4 to 3], why are we loosening things up?
Powis says the Joint Biosecurity Centre is feeding information into the four chief medical officers across the four nations.Powis says the Joint Biosecurity Centre is feeding information into the four chief medical officers across the four nations.
The NHS needs to be able to respond to any surge of infection in the community, so it’s important to link in to the centre and adapt what we’re doing, he adds.The NHS needs to be able to respond to any surge of infection in the community, so it’s important to link in to the centre and adapt what we’re doing, he adds.
Simona from Eastbourne asks what the government is doing to support women returning to work from maternity leave who have no childcare and can’t be furloughed.Simona from Eastbourne asks what the government is doing to support women returning to work from maternity leave who have no childcare and can’t be furloughed.
Sunak says the various schemes, tax cuts and loans in place will help many people.Sunak says the various schemes, tax cuts and loans in place will help many people.
The reopening of schools will also help people with children to get back to work, he adds.The reopening of schools will also help people with children to get back to work, he adds.
They are taking questions from the public.They are taking questions from the public.
Will from Manchester asks what specifically is the government doing to maintain low emission rates as lockdown eases.Will from Manchester asks what specifically is the government doing to maintain low emission rates as lockdown eases.
Sunak says more people are cycling as they commute.Sunak says more people are cycling as they commute.
Powis adds that the NHS wants to make changes such as reducing the number of face-to-face appointments to cut down NHS-related transport.Powis adds that the NHS wants to make changes such as reducing the number of face-to-face appointments to cut down NHS-related transport.
Many of these things have happened during the pandemic and this approach should be kept as much as possible, he adds.Many of these things have happened during the pandemic and this approach should be kept as much as possible, he adds.
The Self-Employment Income Scheme will be extended, with applications opening in August for a second and final grant, he says.The Self-Employment Income Scheme will be extended, with applications opening in August for a second and final grant, he says.
It will be paid out in a single instalment, covering three months’ worth of average monthly trading profits, he says.It will be paid out in a single instalment, covering three months’ worth of average monthly trading profits, he says.
The value of the final grant will be 70%, up to a total of £6,570, he adds.The value of the final grant will be 70%, up to a total of £6,570, he adds.
From 1 July, flexible furlough will be in place, he says.From 1 July, flexible furlough will be in place, he says.
Employers will have maximum flexibility to decide to bring back employees for a number of days per week.Employers will have maximum flexibility to decide to bring back employees for a number of days per week.
The furlough scheme cannot continue indefinitely, Sunak says.
Employers will be asked to contribute, alongside the taxpayer, to pay the wages of their staff, Sunak says.
In June and July, the scheme will continue as before – with the government pay 80% of wages up to £2,500 – with no employer contribution at all, he says.
In August, the taxpayer contribution will stay at 80%. Employers will only be asked to pay national insurance and employer pension contributions, he says.
By September, employers will be asked to start paying towards people’s wages. Taxpayers will pay 70% of the furlough grant, employers 10%.
In October, taxpayers will pay 60%, employers 20%.
Then the scheme will close, he says.
The chancellor is speaking now.
He is joined by Prof Stephen Powis, national medical director for NHS England.
131,458 tests were carried out yesterday, and 2,095 people tested positive.
Across all settings, 38,161 people have died, an increase 324 fatalities since yesterday.
The chancellor will front this afternoon’s press conference, due to begin shortly. He is expected to outline changes to the government’s job retention scheme, including details on how employers will be asked to contribute to pay the wages of furloughed workers.
Sunak has also faced calls from cross-party group of 113 MPs to extend support for the self-employed – due to end on Sunday – or risk leaving many “without work and without support”.
The number of fines for breaches of lockdown rules has plunged since measures were eased, with just 841 handed out by police in England, new figures show.
A total of 16,947 fixed penalty notices, including 15,552 in England and 1,395 in Wales, were recorded by forces up to 25 May, according to provisional data released by the National Police Chiefs’ Council (NPCC).
There were 1,019 issued in England during the latest two-week period, between 12 and 25 May – although the figure is likely to be revised upwards as more fines are reported – compared to 4,967 during the previous fortnight.
Just 841 fines were handed out by forces in England since lockdown measures were eased on 13 May with the highest number (178) during the latest period given the day before.
The NPCC said penalties have been given to people for driving with others who are not members of their household, house parties, large gatherings and camping, since restrictions were relaxed.
NPCC chairman Martin Hewitt said:
The NPCC said most penalties have been given to young men, aged between 18 and 24, with more issued on weekends and during warm weather.
It comes ahead of a further easing of lockdown restrictions on Monday, with those in England allowed to gather in groups of six in parks or private gardens.
Only half of people who develop coronavirus symptoms self-isolate for at least a week, according to government science advisers, raising urgent questions about the success of the test, trace and isolate strategy needed to contain future outbreaks.
In an April report to the government’s Scientific Advisory Group on Emergencies (Sage), behavioural science experts said “rapid” research was needed on how best to get people to comply with self-isolation advice given that “only around 50%” took the precaution when they developed a cough or fever, according to Department of Health and Social Care tracking in England.
Under the new track-and-trace system, people will be required to self-isolate for 14 days if they are informed that a recent contact has tested positive for the virus.
The same document from the Sage subgroup states that scientists “anticipate major behavioural barriers” to people using the NHS contact-tracing app that will prevent it from being the primary method of containing outbreaks.
No further action is being taken by police over the death from coronavirus of a railway worker, it has been announced.
British Transport Police said detectives have conducted “extensive inquiries” into the death of 47-year-old railway ticket officer Belly Mujinga, who died with Covid-19 in April, two weeks after being spat on by a man who claimed to have the virus while she was at work at London’s Victoria station. She is survived by her husband and 11-year-old daughter.
BTP said they had held a “full and thorough investigation”, including interviewing a 57-year-old man, adding that the incident did not lead to Belly’s death.
The UK government is “taking some risk” by relaxing lockdown measures while the number of new cases of coronavirus recorded each day remains “relatively high”, an expert in infectious diseases has said.
Prof John Edmunds, who attends meetings of the Scientific Advisory Group for Emergencies (Sage) supporting the government, said many experts would “prefer” to see the number of Covid-19 infections drop before measures such as a relaxation on social interaction restrictions were introduced.
Latest data from the Office for National Statistics suggests there are an estimated 54,000 new coronavirus infections a week in England outside of hospital and care settings, equating to nearly 8,000 per day.
The R number, or reproduction rate, is currently between 0.7 and 0.9, and must remain under one to avoid a rise in infections – a key test on whether lockdown measures should be eased, with the government stressing the need to avoid a second wave of cases which would threaten to overwhelm the NHS.
Prof Edmunds, speaking during a Science Media Centre briefing, said the decision to relax certain rules came with a degree of risk. He said:
The government has launched its track and trace system designed to limit the spread of infection by ordering contacts of those who become infected with coronavirus to isolate.
Prof Edmunds, from the London School of Hygiene and Tropical Medicine, supported the decision to essentially substitute a “blanket approach” to containing the virus with a targeted one, adding it saw a return to “some level of normality”. He added:
He said there was a need to try and get the economy restarted, to get people back to work and to provide a boost to people’s mental health.
But he said even if track and trace kept the R-value at about one, it would still result in around 8,000 community infections a day in England.
Private renters are more likely to have fallen behind with housing costs than those with a mortgage since the start of the coronavirus crisis, a new study suggests.
One in eight private renters have fallen behind compared to one in 12 mortgaged home owners, said the Resolution Foundation. The figures, from a survey of more than 6,000 adults, highlight how the pandemic has exacerbated Britain’s housing divide, said the think tank.
One in five private renters have been furloughed or lost their job since the crisis began, compared to around one-in-seven mortgaged home owners, although home owners are more likely to have had their hours and pay reduced, said the report.
Private renters face higher costs in the first place, with their average pre-crisis housing costs estimated to be 32% of their family’s income, compared to 11% among mortgaged homeowners, according to the findings.
Almost one-in-four private renters had no savings in the run-up to the crisis, compared to one-in-eight home owners, said the foundation, adding that many people living in private rented accommodation have been forced to cut back on basic spending or, in the case of young people, to move house.
Lindsay Judge, principal research and policy analyst at the Resolution Foundation, said:
Afternoon everyone. I’m back from lunch to continue the coronavirus live coverage for the rest of the day. Please do continue to get in touch with tips and comments, your thoughts are hugely appreciated:
Email: lucy.campbell@theguardian.comTwitter: @lucy_campbell_