Rishi Sunak issues worrying redundancy warning as shops reopen in Sheffield
Thousands of shops across England are reopening their doors to customers for the first time in almost three months in the latest easing of the coronavirus lockdown rules.
Zoos and safari parks are also welcoming back visitors, places of worship can open for private prayer while some secondary school pupils will begin returning to their classrooms.
At the same time passengers on public transport will be required to wear face coverings.
With official figures showing the economy shrank by a fifth in April, ministers are desperate to get businesses going again to stave off another wave of job losses.
Prime Minister Boris Johnson said he did not know whether to expect ‘a flood or a trickle’ when the shops reopened but that he hoped people would return in ‘sensible’ numbers.
Chancellor Rishi Sunak - who is reported to be considering a VAT cut to stimulate spending - acknowledged further redundancies were inevitable as the Government's furlough scheme begins to unwind.
“There is going to be hardship ahead. People are going to lose their jobs,” he said.
Ministers are under intense pressure from Conservative MPs to go further by the easing the two-metre social-distancing so the hard pressed hospitality sector can also reopen.
Mr Johnson confirmed at the weekend that he had ordered a ‘comprehensive’ Downing Street review of the regulation.
The Prime Minister said the falling numbers of Covid-19 cases meant there was a greater ‘margin for manoeuvre’ as the chances of coming into contact with someone with the disease diminished.
The review is reported to be scheduled to be completed by July 4, the date the hospitality sector is expected to start welcoming back customers.
Labour has now joined Tory MPs in urging ministers to set out a clear plan for the hospitality sector to return.
Shadow business minister Lucy Powell said: “We urge the government to publish an action plan which maximises economic viability, whilst minimising the risk to the health of customers and staff.
“If they fail to act, our communities will lose much-loved pubs, bars and restaurants, and we'll see a wave of closures and unemployment which will damage villages, towns and cities across the country.”