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The furlough scheme will be extended to September in Chancellor Rishi Sunak s Spring Budget as some industries will remain closed up until June 21.
The Job Retention Scheme, known as furlough, has acted as a lifeline to millions of households. It was initially extended for a month after England was placed in a four-week lockdown at the end of last year. However, Mr Sunak has been forced to keep the scheme running for longer to protect jobs and livelihoods.
Employees will continue to receive 80pc of current salary capped at £2,500 per month until the scheme ends, with employers asked for a small contribution from the end of July.
One in five beauty salons and hairdressers could fold by the spring without further support, a stark industry report has warned.
Britain s 74,880 hair and beauty businesses saw turnover collapse by up to 57 per cent in 2020 and will have lost an average of £41,000 due to Covid-19 by the end of this year, new analysis for the National Hair & Beauty Federation shows.
It warns that 11 per cent will be acutely vulnerable to failure if they remain closed until the end of March. This figure rises to 21 per cent if they stay shut until the end of April.
Cuts: The jobs of many hairdressers are acutely vulnerable if lockdowns persist