In a couple of weeks, the furlough scheme is coming to an end and economists are predicting that what began as a safety net for millions of people, will still result in mass redundancies. But there are reports that construction businesses are expanding due to demand which is great news for those changing careers and getting a trade.
Rewind back to the beginning of lockdown, a time when furlough seemed, to millions of people, like a blessed relief. It kept thousands of people afloat, supported businesses through a tough time, and made sure that the brutality of the pandemic wasn’t made worse by a crushing economic crash.
But now, six months on, the end of the furlough scheme is rapidly approaching. Predictions are coming through surrounding the impact of the next six months. And it isn’t looking good.
It's clear that the situation we’re in as a country is going to be very problematic for many. So we have compiled 5 important points about the current predicament, highlighted so that you have the information you need to make a decision about your future:
- 1.8 million people are predicted to lose their jobs when furlough ends. Estimates now predict a massive surge in unemployment that could reach 12%.
- 20% of people who received furlough are facing unemployment. According to the Office for Budget Responsibility, 8.9 million people benefited from the furlough scheme.
- The Office for National Statistics reports that between 7-20th of September, only 11% of workers were signed up to the furlough scheme. This is down from 36% in April.
- The Bank of England reported that it is likely that businesses have been exiting the furlough scheme quicker than we think. They suggest that only 7% of workers are still receiving furlough in September.
- The Times reports that, due to ‘weaker demand and uncertainty about the outlook’ ahead, businesses are ‘slashing jobs and investment’. Many workers will not be able to protect themselves from the economic downturn.
However, there is a shining light coming from the construction and trades sector
Powered Now has reported the fastest rise in construction output since 2015. This great news was based on information coming from the UK Construction PMI (Purchasing Managers Index).
The report also noted that UK construction companies had rapidly expanded their business activities during the summer as new business had increased in spite of the wider economic issues. Powered Now also made comment on Yahoo Finance regarding the welcomed upturn:
‘....the building sector is back! This is great news. It means that this important sector is doing its part in the recovery from Covid-19. The whole industry is still in catch up mode and projects delayed by the lockdown are taking priority. This has helped to spike demand and we expect it to continue…’
So the trades may well be the place to be for a new stable career! Maybe it's time to consider a new direction: Invest in yourself, invest in a new career, and invest in a trade.
Learn your trade. Get qualified. Make it happen.