Michael Gove Hints at Extension of Furlough Scheme

The Government is “open minded” about extending the furlough scheme, according to Michael Gove, amid pressure from Nicola Sturgeon. Gove insisted that spending in response to Covid will remain high to help the country “build back better”. The Evening Standard has the story.

Scottish First Minister Nicola Sturgeon will use a Four-Nations Summit with the Prime Minister on Thursday to push for the job retention scheme to continue beyond its current September expiry date.

Now Cabinet Office minister Michael Gove has indicated it could be continued.

Asked about the possibility of this, he said: “We are open minded, yes.”

Speaking ahead of the Four-Nations Summit on tackling Covid, Mr Gove said the initiative, which sees the taxpayer pay cash towards workers’ wages, had been a “huge success” that was only possible “thanks to the broad shoulders of the U.K. Treasury”.

The U.K. Government minister insisted higher spending as a response to the coronavirus pandemic would continue, as the country as a whole seeks to “build back better”.

The Scottish Government has voiced concerns about a possible return to austerity from the Conservatives at Westminster, but Mr Gove told BBC Radio Scotland’s Good Morning Scotland programme: “We’ll be spending more.

“We’ll be spending more on the NHS, we will be spending more on education, we will be spending more on criminal justice, because in all of these areas it is absolutely vital that we build back better.

“Extra funding for everyone will continue, and it is important we all learn from each other about how that money should be spent.”

Last week, hospitality industry bosses called on the Government to do the opposite, to end the furlough scheme, arguing that people on furlough would rather stay at home than work. The Sun highlighted that there are currently 188,000 job vacancies in hospitality where more than 250,000 workers remain on furlough.

The Evening Standard report is worth reading in full.

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