Should we extend the furlough scheme?

Some economists, including at the Institute for Public Policy Research and the National Institute for Economic and Social Research have argued that keeping the furlough scheme open until 2021 would be good value for money. According to the research by the National Institute for Economic and Social Research, it would only cost £10 billion but would save a million jobs and help growth.

On the continent, Germany has agreed to extend a scheme that tops up pay for workers, and France is set to extend its “temporary unemployment” scheme to avert bankruptcies and lay-offs.

In this video, IEA Media Manager Emily Carver speaks with IEA Editorial and Research Fellow Professor Len Shackleton and Matthew Kilcoyne from the Adam Smith Institute.