Covid-19: Economy Update Debate

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Department: HM Treasury

Covid-19: Economy Update

Stephen Farry Excerpts
Thursday 22nd October 2020

(3 years, 6 months ago)

Commons Chamber
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Rishi Sunak Portrait Rishi Sunak
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I am grateful to my hon. Friend for raising this. He has raised with me the impact on businesses in his area of a potential move into tier 2, and I hope he will be reassured by the announcements today. Travel and events are interlinked. As he and I know, we must work to find a way to allow more travel to happen. The Transport Secretary has spoken to colleagues about that. He is actively engaged in working with industry and health professionals to see what more we can do to facilitate greater ease of travel, and therefore open up travel corridors and help our events industry.

Stephen Farry Portrait Stephen Farry (North Down) (Alliance) [V]
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It is important that the public health and economic support measures move in harmony. Northern Ireland had to go into tighter restrictions on 16 October, ahead of other parts of the UK. The 20% employer contribution in the outgoing job retention scheme is a major challenge for employers to keep jobs. Given that the Chancellor has shown some flexibility today, will he reconsider the timescale of the new scheme and backdate the 5% employer contribution to 16 October?

Rishi Sunak Portrait Rishi Sunak
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Given that the grants are backdated, if that results in extra Barnett consequentials, of course that extra funding will flow to Northern Ireland, as it will to other devolved nations. With regard to the job support scheme, as I said, there will be no interruption of coverage between one scheme and the other. As the hon. Gentleman points out, the employer contribution will be significantly reduced on 1 November.