4 ways Rishi Sunak’s mini-Budget will help you get a job

0

RISHI Sunak today announced a raft of measures to help Brits get a job and boost the economy after the coronavirus lockdown.

The Chancellor revealed his “Plan for Jobs” in the Commons today in what has been dubbed a mini-Budget, ahead of the Autumn Statement.

⚠️ Read our coronavirus live blog for the latest news & updates

It comes after dire warnings that millions of employees could be out of work as a result of the coronavirus crisis.

The emergency package also saw the tax-free stamp duty threshold raised from £125,000 to £500,000 until March next year, and £5,000 energy saving vouchers for homeowners to make their properties more efficient.

Mr Sunak hopes that it will help avoid mass unemployment when the furlough scheme comes to an end in October.

Whether you’re a new starter, graduate, just left education or looking to begin a new career, we take you through how today’s announcements will help you get a job.

Employers will get a bonus if they re-employed furloughed workers for at least six months, to keep Brits in jobs.

To get the bonus, bosses must pay each worker at least £520 per month on average, and continuously employ them through to January 31.

Employers will get £1,000 for each qualifying furloughed worker that they bring back.

The government was previously warned how unemployment will hit five million unless urgent steps are taken to help businesses survive.

Mr Sunak confirmed that the furlough scheme will not be extended beyond October but was clear today that the bonus will apply to all nine million furloughed workers.

The incentive is designed to encourage employers to take staff off the scheme, instead of continuing to lean on it or lay-off jobs.

Businesses will get the bonus as a one-off payment, although the Chancellor hasn’t said when it will be paid or how employers go about applying for it.

The Chancellor said that under 25s are two and a half times more likely to work in a sector that was brought to a standstill by the pandemic, such as the tourism and leisure industry.

Because of the disruption, they are at a far greater risk of unemployment.

It follows dire forecasts from experts predicting more than a million youngsters will be out of work this year.

To tackle this, the government has ploughed £2billion into the “Kickstart Scheme” to encourage businesses to create jobs for this age group.

Under the scheme, the government will pay towards six months of wage costs for new employees aged 16 to 24.

It will cover 100 per cent of the minimum wage for a maximum of 25 hours a week — with firms able to top up wages.

For example, young people between 21 and 24 years old on minimum wage currently earn £8.20 an hour, working out as £205 for 25 hours.

The scheme is set to open in August, costing the state an average of £6,500 for each job.

Mr Sunak hopes it will trigger a mass hiring spree by firms.

Apprenticeships have been given a huge boost today too, with more money being invested into on-job training.

The initiative to help boost young worker’s chances to getting a job after being hit hard by the coronavirus crisis will give firms £2000 for creating new apprenticeship roles.

The Chancellor said today in his mini-budget speech: “So for the next six months, we’re going to pay employers to create new apprenticeships.

“We’ll pay businesses to hire young apprentices, with a new payment of £2,000.”

The scheme will also pay for businesses to take on apprentices over the age of 55 with a bonus of £1,500.

It’s in addition to plans to get more firms to take on trainees for six weeks to six months by offering them £1,000 for every trainee.

The Chancellor said there would be extra support to sector-based work academies, who provide training and work placements.

The scheme will get young people into work and stay in work, Mr Sunak said 91 per cent of apprentices stay in work or do further training afterwards.

The massive cut to VAT and the new Eat Out to Help Out scheme will also help save jobs.

The tax Brits pay when buying food and non-alcoholic drinks at restaurants, pubs, bars and cafes has been dropped from 20 per cent to 5 per cent.

And families are being encouraged to dine out in August, with the government picking up 50 per cent of the bill, up to £10 per head.

The moves will help protect jobs in the tourism and leisure industries – primarily young and low earners.

Around 130,000 businesses are eligible for the scheme dubbed “Eat Out to Help Out” and is designed to support 1.8 million jobs which are disproportionately young, female and part-time workers.

Share.

About Author

Leave A Reply