Boris offers HUGE wage bailout in biggest economy intervention since WWII over coronavirus

Posted on Mar 20 2020 - 6:44pm by admin

Plans to offer unprecedented financial support to millions of British workers hit by the coronavirus pandemic will be unveiled by the chancellor today. The government is currently discussing the option of subsidising wages by freezing income tax payments and giving National Insurance tax breaks.

Rishi Sunak has also been in discussions about paying workers a weekly subsidy in what would be the biggest intervention by the British state in the economy since the Second World War.

The Chancellor will set out the measures at a press conference with Boris Johnson this afternoon.

The Prime Minister has urged businesses to “stand by your employees because we will stand by you”.

Mr Johnson has said it was likely to take 12 weeks to “turn the tide” of coronavirus.

Boris Johnson

a (Image: a)

However, the Prime Minister suggested life may still not have got back to normal by the summer.

He added: “I want to say something about the timescale.

“I think we can turn the tide within the next 12 weeks, and I’m absolutely confident that we can send coronavirus packing in this country – but only if we all take the steps that we have outlined.”

The government could also scrap utility bills and council tax for millions of Britons.

JUST IN: Coronavirus UK: Boris Johnson makes URGENT plea to former NHS workers

Boris Johnson is hoping to contain the disease in 12 weeks

Boris Johnson is hoping to contain the disease in 12 weeks (Image: GETTY)

A former adviser to George Osborne has indicated the government will need to splash out as much as £450billion to help the UK across all major sectors.

The Government’s own fiscal watchdog has also warned huge sums will have to be borrowed to keep UK plc afloat.

Providing evidence to MPs in Westminster, they previously warned the UK’s economy could shrink by as much as five percent and called for a “wartime” level of response.

Mr Sunak is expected to unveil a plan to provide substantial help to a number of under-pressure sectors, including pubs, theatres, clubs and cinemas in order to cope with the coronavirus outbreak.

The government could also scrap utility bills

The government could also scrap utility bills (Image: GETTY)

Several leading airlines are also warning they will need a multi-billion bailout to stop international travel grinding to a complete halt.

Office for Responsibility (OBR) boss Robert Chote said: “This is not the time to be squeamish about one-off additions to public sector debt.

“It’s more like a wartime situation – that this is money well spent.”

OBR committee member Charles Bean, who also is a former Deputy Governor at the Bank of England, urged the Government to cover the full impact of the economic hit.

Several leading airlines are also warning they will need a multi-billion bailout

Several leading airlines are also warning they will need a multi-billion bailout (Image: GETTY)

He said: “You could say to businesses, what was your revenue last over the last year, we will fill any shortfall last year.

Fellow committee member Andy King also suggested the prospect of “paying people’s utility bills, paying their council tax bills”.

Meanwhile, Boris Johnson has also called upon former NHS workers to help with the health crisis.

Boris Johnson has made an urgent plea to former NHS workers to return to their duties in a national recruitment drive.

 Boris Johnson has also called upon former NHS workers to help

Boris Johnson has also called upon former NHS workers to help (Image: GETTY)

More than 65,000 former nurses and doctors will be told “Your NHS Needs You” as a national recruitment drive is launched in an effort to defeat the coronavirus outbreak.

In an unprecedented call-to-arms, NHS England will survey those who have recently left the health service on what type of role they could take on either through NHS 111 or face-to-face.

Staff will be asked to “opt in” to a register to fill a range of clinical and non-clinical roles across the NHS based on their skills and time away from practice.

Those who join the “NHS army” will be given a full induction and online training to help them begin their fight against the pandemic.

There are currently over 3,000 cases of the coronavirus in the UK with numbers rising day-by-day.

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