New data: Only 3 per cent of furloughed workers made redundant as scheme comes to an end
Only 3 per cent of those workers still on furlough as the scheme came to an end were made permanently redundant, according to new official statistics.
The furlough scheme came to an end at the start of October, with 16 per cent of businesses still actively using it.
Two-thirds of those still on the scheme returned to work on their regular hours and another 16 per cent return to work on reduced hours.
Some six per cent have returned to more hours, perhaps reflecting the ongoing staff shortages across the economy.
It suggests that fears of a significant uptick in unemployment as the wage subsidy scheme comes to an end are overblown.
The UK unemployment rates sits at around 4.5 per cent, far lower than many economists had predicted at the start of the Covid-19 pandemic.
The data will give added impetus to those arguing that the greater threat to the UK economy is a wage spiral and runaway inflation rather than unemployment.
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