I think everybody agrees on the impact of going from around £30000 to £5000 per year per head for a large section of the population.Something needs to be put in place. According to the ONS in April 2019 (the most recent figure available) the average employee was earning £30,415. What is the impact on the economy going to be if we suddenly dump millions of people onto a maximum of £4,919 a year under universal credit when furlough ends?
Seems the average mortgage payment is about £670 a month, people wouldn't even be able to cover that. Is there no impact on the economy if huge numbers of people can't pay their mortgages and lose their homes? Where are they all going to live? Finding somewhere to rent is hard enough when you have a job, unemployed and unable to pass a credit check I can imagine it being near impossible.
A lot of talk of economic impact but we need to look after individuals as well as big businesses.
It's more about how the monies used to support people are distributed. Too many were left out of the furlough so it had a really differential impact. Not the fault of people on furlough of course, but has become clearer over time that an alternative way to provide income support to those who cannot do their jobs at this time should be support.
Personally I'd be in favour of a Basic Income, or an extension to furlough for those jobs that cannot physically be done from home and the creation of new jobs with government backing. Easier said than done of course, and I wouldn't know which sectors will have jobs in the future, but it seems a preferable alternative to leaving so many behind.