Coronavirus Job Retention Scheme — House of Commons, 2020-09-17
Topic: Macroeconomics
Sarah Jane Olney (Liberal Democrats, Centre to centre-left): Like many Members on both sides of the House who have spoken, I come to praise the furlough scheme and to beg the Government not to bury it. There is no doubt that it has saved many families from poverty over the past six months. A recent estimate shows that something like 9.6 million people have been on the furlough scheme, and there are probably 6 million still on it. The point made by many people here today is: why stop it now? That is a position that I absolutely support We are facing a really uncertain future, and this country will depend upon an effective test, trace and isolate process being in place if we are to live with this virus in the medium term. That, more than anything else, is what is needed to keep our economy up and running. Much has been said in the Chamber over the past week about testing and tracing, but I also want to highlight the point about isolating. If we want people to isolate effectively to keep infection rates down, we must provide them with the financial support to do so This is about more than the furlough scheme; it is also about the Government’s approach to the whole economy and how they will ride the economic dislocation that we will all face in the months to come. We are calling on the Government not just to extend the furlough scheme until next year but to make it available to anyone who needs it, because the weakness of targeting certain sectors is that people will be left out. As the hon. Member for Sheffield, Hallam (Olivia Blake) mentioned, over the past six months that has affected about 3 million people who earn their income in many different ways A lot of support seems to be targeted at people who pay mortgages and earn salaries, but we all know that there are many more ways to earn a living and that many people have been missed out. We need a strategy for the whole economy to help us with the approaching economic dislocation. We need investment in green jobs. We need those people who are going to lose their jobs in the near future to retrain urgently to work on retrofitting houses with better heating, on renewable power and on electric vehicle infrastructure. I echo what the hon. Member for Sevenoaks (Laura Trott) said about ensuring that the needs of women and minority groups are considered as we think about this just transition to a greener future I want to highlight the Public Accounts Committee’s findings on the furlough scheme in its inquiry last week. It found that between 5% and 10% of the scheme had been lost to fraud, so I urge the Government to look at that and to ensure that we have financial sustainability for the scheme for as long as it is needed. We need better controls to ensure that the money is being spent where it is needed. Echoing what my hon. Friend the Member for Edinburgh West (Christine Jardine) said in the earlier debate, I also urge the Government to cancel the job retention bonus scheme. Those businesses that have already got people back into work do not need the extra money. That money needs to go to those who are still facing an uncertain future.