By Jack Maidment, Deputy Political Editor For Mailonline
Published: 08:59 BST, 9 October 2020 | Updated: 08:59 BST, 9 October 2020
Rishi Sunak will today announce a new local furlough scheme which is expected to pay two thirds of the wages of employees who are unable to work because of lockdowns.
The Treasury has confirmed the Chancellor will be making an announcement later on how he intends to 'provide a safety net' for businesses which 'may have to close in the coming weeks'.
The promise of fresh support for jobs comes as the Government prepares to unveil its new three tier strategy for local lockdowns next week.
Parts of the country which are put in the highest tier are due to be told that pubs, restaurants and cafes will have to close to slow the spread of coronavirus.
The prospect of widespread closures across the hospitality industry in hotspot areas has prompted warnings of massive job losses and fuelled calls for the Chancellor to bring forward fresh support.
Chancellor Rishi Sunak will today unveil a local furlough scheme to help businesses hit hard by local lockdowns
The Government's original furlough scheme is due to end later this month and it will be replaced by a less generous Jobs Support Scheme.
Furlough saw the Government pay 80 per cent of a worker's wages up to a monthly cap of £2,500.