A failure to extend the Job Retention Scheme risks putting the UK out of step with competitors and hamstringing its recovery from the pandemic, manufacturers warn.
The call, made by Make UK, the manufacturer’s organisation, on the back of its latest ‘Manufacturing Monitor’ tracking survey.
The survey shows strong support for the measure from industry with over 62% of companies either agreeing or strongly agreeing with the proposal. Just under 14% of companies surveyed disagreed with the proposal.
Moreover, almost a quarter of companies (22.8%) of companies said they disagreed with the Government’s decision to end the Scheme and that it should be extended to critical sectors, while 17% said it should be extended to any business.
A further quarter (25.9%) said it should be continued should there be further lockdowns or a second wave while almost a further fifth (17.9%) said the scheme should end but another support scheme should be put in its place.
The organisation added that an extension to the scheme may help avoid a second wave of redundancies which the survey shows are in the pipeline.
Over two fifths of companies (42.4%) of companies asked said that they have already made redundancies while almost a further third (30.2%) said they intend to in the next six months with just over another third of companies (35.6%) saying they may do.