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More than 200,000 people in Kent furloughed

More than 200,000 people across Kent are signed up to the government's furlough scheme, new figures have revealed.

Statistics released by HM Revenue and Customs show about 29% of the county's workforce are having their wages paid by the taxpayer.

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Medway has the highest number of employees being supported by the Coronavirus Job Retention Scheme (CJRS), with 30,700 in all.

Meanwhile, Gravesham and Thanet have the largest proportions of their workers receiving their pay from the government, at 39% and 36% respectively.

But business expert professor Richard Scase fears the scheme is delaying expected mass redundancies across the county in the autumn.

“The figures reflect how across the county Kent is heavily dependent on the hospitality and retail industries. The lockdown has really affected those sectors," he explained.

“In a sense, the government is deferring the real doom and gloom that’s going to hit the county that, I reckon, will hit the county in September or October.

Business expert Richard Scase
Business expert Richard Scase

"A high percentage of hospitality and retail business or small- to medium-sized - and the evidence shows they're going to run out of money in three to four months' time.

"They've been given a stay of execution by furlough."

The CJRS was launched on April 20 three months ago in order prevent mass lay-offs, as scores of businesses were forced to cease trading during lockdown.

The scheme was introduced by Chancellor Rishi Sunak to help employers across the country retain employees by fitting the bill for 80% of their wages up to £2,500 per month.

It will run until the end of October, with companies having to start contributing to employees' salaries in August.

Businesses across Kent have furloughed 201,300 since the scheme was introduced. Stock picture
Businesses across Kent have furloughed 201,300 since the scheme was introduced. Stock picture

"A number of employers are not going to be able to afford to do that," Mr Scase added.

"In places like Canterbury and Tunbridge Wells - the retail centres of the county - they're going to be hit hard in September and October.

"We're going to see shop closures in the high street and small - to medium-sized enterprises go out of business.

"I think West Kent is probably less vulnerable than East Kent because you have a higher percentage of people there who will be able to go backwards and forwards to London."

The government also rolled out in May the Self-Employment Income Support Scheme, which has supported more than 75,000 self-employed people across the county.

Figures show that the claims paid out in Kent and Medway are worth £236,000,000.

Mr Sunak said: "The government is doing everything we can to protect jobs and businesses in the South East and across the UK during the crisis.

"Our unprecedented job retention and self-employment support schemes have supported the livelihoods of millions and will help ensure our recovery is as swift as possible.”

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