ONS | 'Furlough scatters cushions on extremely bumpy road'

An economist has stated that the “eleventh-hour reprieve” of the furlough scheme has ‘scattered some extra cushions’ on what is expected to be a difficult road ahead.

Speaking on the recent ONS figures, Jack Kennedy, UK Economist at job site Indeed, explained: “The eleventh hour reprieve of the furlough scheme, which was extended just hours before it was due to expire at the end of October, has scattered some extra cushions on what is still sure to be an extremely rocky road ahead.”

Kennedy also shared that while the overall pace of job losses is easing, younger people are now feeling the brunt, as data discovered that during the last quarter the number of 16 to 24-year-olds in work dipped by 174,000, reaching its lowest level yet.

In addition, the data revealed that the estimated employment rate for all people was 75.3%; this is 0.8 percentage points down on the year and 0.6 percentage points down on the quarter.

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“Two things are clear from the UK labour market’s mixed signals – the pain of job losses is being felt unevenly, but the Chancellor’s furlough medicine appears to be working,” he said.