Job Retention Scheme needs to be carefully phased out
Job Retention Scheme needs to be carefully phased out to avoid "choking off recovery"
Emergency coronavirus support including the job retention scheme needs to be carefully phased out because abruptly stopping the scheme could “choke off recovery”, a think tank has warned.
The Institute for Fiscal Studies (IFS) said the furlough scheme cannot be “cut completely in one go”, and called for it to be extended past its currently scheduled end date of 30 April and then carefully phased out as the coronavirus restrictions ease.
In a series of recommendations made ahead of chancellor Rishi Sunak’s second budget statement next month, the IFS said the government needed to balance continuing support for jobs and businesses with “weaning the economy off blanket support”.
