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Reform backs Labour call for NAO Job Retention Bonus probe

Bridget Phillipson MP, Shadow Chief Secretary to the Treasury, has today called for the National Audit Office (NAO) to launch an inquiry into the Job Retention Bonus scheme and whether it is good value for money. 

Responding, Reform’s Director of Research, Eleonora Harwich, said:

“We back this call from the Labour Party. 

“There is a real risk that much of the £9bn earmarked for the Job Retention Bonus will end up as ‘deadweight’ spending. Businesses who were always planning to return furloughed employees stand to benefit from some extra cash, regardless of their financial situation. Given the devastating impact of coronavirus on the public finances, this is something that we cannot afford to happen. 

“The Government’s Coronavirus Job Retention Scheme has been a success. There is a risk that this may blemish it. We urge the Chancellor to reconsider this policy.” 

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