Hundreds fewer workers in Blackburn with Darwen were on furlough in April, compared to before the coronavirus restrictions started easing across the UK.
But the Government has still paid out a whopping £60million+ to claimants across East Lancashire since the start of the pandemic, new data reveals.
Many pub, restaurant and shop workers returned to their roles in April as outdoor hospitality and non-essential retail opened for the first time since December, meaning more people were less in need of the money provided by the Government's income scheme.
However, with restrictions still in place in some industries, businesses in other sectors continue to be hit hard by the effects of the coronavirus pandemic.
HM Revenue and Customs figures show that 6,400 jobs held by workers living in Blackburn with Darwen were furloughed in April.
That was 1,600 fewer than the 8,000 furloughed at the end of March.
Meanwhile, 3,800 jobs held by workers living in Burnley were furloughed in April -1,000 fewer than the 4,800 furloughed at the end of March.
The figures also show that in April in Blackburn with Darwen:
- Furloughed jobs in the retail sector dropped by 620, to 1,580
- In the arts, entertainment and recreation sectors, 100 fewer jobs were supported by the scheme, however 330 were still furloughed in April
- The number of hospitality jobs furloughed fell by 140, to 1,160
While in Burnley:
- Furloughed jobs in the retail sector dropped by 330, to 850
- In the arts, entertainment and recreation sectors, 60 fewer jobs were supported by the scheme, however 380 were still furloughed in April
- The number of hospitality jobs furloughed fell by 100, to 720
Separate HMRC figures show 5,500 self-employed workers in Blackburn with Darwen, and 3,100 in Burnley have received Government cash since the self-employment income support scheme started.
The total value of the claims made across the areas by May 9 stood at £38million, and £21.8million respectively.
Through the furlough scheme, the Government pays 80 per cent of a worker’s wages, up to £2,500 per month, if they haven’t been able to work due to the impact of the pandemic.
However, employers will pay a larger contribution from July.
Across the UK, the total number of jobs furloughed fell by 900,000 during April to 3.4 million at the end of the month, the figures show.
Senior economist at the Resolution Foundation, which focuses on living standards, Dan Tomlinson, said the drop in the number of people on furlough was "encouraging", saying it is an indicator that the labour market – as well as the wider economy – is recovering quickly.
He said: “But with around one in six young workers still on furlough at the end of April, today’s figures are a stark reminder of the risk of rising unemployment when the furlough scheme ends.
"The Government must do all it can to ensure those workers find work as quickly as possible.”
Chancellor Rishi Sunak said: “We’ll continue to support those who need it through to September but I am hopeful that we’ll see more people moving back into work as we continue on the road to recovery.”
At a recent four-nation coronavirus recovery summit, Scotland's First Minister Nicola Sturgeon called for the UK Government to extend the furlough scheme beyond September.
Cabinet Office minister Michael Gove said the Government was “open-minded” about the possibility of this and that the furlough scheme had been a huge success.
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