UK extends program supporting businesses amid COVID-19 lockdown until end of June

The authorities in the UK have decided to prolong the government's program of supporting businesses affected by the coronavirus pandemic until the end of June, the government said on Friday.

The scheme, which was launched in early March for three months, allows firms to sent employees on vacations during the pandemic with the government paying cash grants of up to 80 percent of their wages but no more than 2,500 pounds ($3,125).

"The government's unprecedented furlough scheme that is keeping millions of people in jobs will be extended for a further month, the Chancellor confirmed today. Following on from yesterday's announcement to keep the social distancing measures in place, [Chancellor of the Exchequer] Rishi Sunak said the Coronavirus Job Retention Scheme (CJRS) would now be open until the end of June ? providing businesses with the certainty they need," the government said in a statement.

The statement was made after the government announced on Thursday the extension of lockdown measures to curb the spread of the coronavirus for another three weeks.

The decision to continue providing financial support for another month was welcomed by the country's most influential trade union - Unite the Union - which was lobbying hard for an extension amid deepening concerns among businesses, according to its press release.

"The government took a great step forward when it brought in the JRS.  Yes, there have been gaps and teething troubles but the fact that employers were told that the state would stand behind their employment costs if they stand behind their workers has helped stave off mass unemployment," Unite General Secretary Len McCluskey said, as quoted in the press release, adding that trade unions "hugely relieved to hear the announcement today."

Earlier this week, the UK Finance, the national banking and finance sector's association, said that the United Kingdom's small- and medium-sized enterprises had already received 1.1 billion pounds in coronavirus bailout loans.