Covid restrictions force 500,000 London workers into furlough

The economic damage in London as a result of the Covid crisis has been revealed today with the Capital being the hardest hit region.

The economic damage in London as a result of the Covid pandemic has been revealed.

London: Covid causes economic havoc

Six boroughs in London have the highest levels of furloughed workers in the UK on top of rising numbers claiming unemployment benefits. Many of these boroughs also have high Covid infection rates. 9 of the 14 boroughs where the claimant count has risen by 10,000 also have a Covid rate above 100 new cases a week per 100,000 population.

London has 557,400 people on the scheme as of August 31, a number which could rise when the furlough scheme is replaced by the Job Support Scheme at the end of October. London has the most staff furloughed out of the regions.

Haringey, Newham and Crawley, all of which are close to Gatwick airport, saw 16 per cent of jobs furloughed at the end of August. Tottenham had a take-up rate of 17 per cent, the highest in the Capital, with West Ham seeing the highest number of furloughed jobs, at 15,300.

Nine of the ten constituencies with the highest number of furloughed employments were in London. Since the national lockdown in March, 14 boroughs have seen the claimant count go up by more than 10,000. The claimant count in the capital reached almost 300,000 up until September. It has doubled in almost every borough.

Paul Scully, London minister, said: “We know it’s tough for Londoners across the city. So many jobs are dependent on the centre of town, especially in the hospitality sector. But in the boroughs, we know people and businesses are also struggling. That is why we need to really work on common sense hands, face, space to make sure we can get back into Tier 1 and get our economy motoring again while clearly recognising that saving lives is our number one priority.”

Millions across the UK have had their wages cut since Covid hit Britain.

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