Chamber reacts to unemployment rise

Business leaders in Coventry and Warwickshire believe the latest unemployment figures highlight the need for continued support for firms beyond lockdown.

Unemployment in the UK jumped to 2.1 million in the month to April as the effects of Coronavirus began to be felt in the economy.

Louise Bennett, chief executive of the Coventry and Warwickshire Chamber of Commerce, said: “A rise in unemployment is always a cause for concern but these figures come as no real surprise when you consider the impacts that the Covid-19 outbreak has had.

“It’s fair to say the number would have been much higher had it not been for the furlough scheme which we know has been a huge support to businesses across Coventry and Warwickshire.

“And, even with that, we can expect unemployment to continue to rise when the next figures are released.

“It’s vitally important as the economy begins to restart, and as more and more businesses get back to work, that support remains in place and that the full impact on companies is recognised.

“Businesses which have survived this period will have to rebuild when they come out the other side and that is going to take time.

“Help for companies will need continue and in the short, medium and long term, the Government must create a low tax and supportive environment for firms to eventually grow again.”