Sunak’s furlough taper will result in unnecessary job losses

Financially weakened firms may have to axe staff rather than contribute to the job retention scheme. The chancellor should let a recovering economy create a natural taper through employers bringing people off furlough, says James Moore

Chancellor Rishi Sunak got his Budget off to a fast start by announcing an extension to the furlough (AP)

It’s a sad state of affairs when, even in the midst of an unprecedented crisis, the government puts news management above the economy and the jobs of people working in it. 

While chancellor Rishi Sunak extending the job retention scheme, popularly known as the furlough, is very welcome, the decision could and should have been taken when Boris Johnson unveiled his reopening roadmap a couple of weeks ago. 

Holding back until the eve of the budget so Sunak could start his show with a bang meant the virus of uncertainty was allowed to continue spreading in the economy.