UNEMPLOYMENT in Inverclyde jumped by over forty per cent at the height of the coronavirus lockdown - with fears it will increase further when furlough scheme finishes.

Inverclyde Council and Greenock job centre are now bracing themselves for a further surge in those forced out of work and seeking help.

In May this year 3,190 people were claiming welfare benefits and searching for a job.

The figure for the corresponding month in 2019 was 2,204, meaning the rate has gone up by 44 per cent.

Figures have also revealed that one in four people are now paying a reduced council tax rate because they are unemployed or on low incomes.

The jobless rate in the district now stands at 6.5 per cent.

This is double the Scottish average.

In a report prepared for councillors, the chief financial officer of Inverclyde Council has set out the scale of the difficulties and uncertain times ahead.

Alan Puckrin, pictured, said: "The rate of unemployment was 6.5 per cent. "Rising unemployment is certain, with the government and think tanks forecasting varying increases.

"Greenock Jobcentre Plus remained open for the most vulnerable throughout Covid-19 restrictions and although a digital by default system will continue, plans are in place to increase customer capacity.

"Jobcentre Plus continues to support new universal credit applicants and is ready to respond should the termination of the government job retention scheme result in a surge of new claims from those currently furloughed."

The Department for Work and Pensions' latest Universal Credit caseload shows 8,685 people in Inverclyde claim the payment.

This is an increase of 2,293 since February, a rise of 36 per cent.

The number of people who receive help with their council tax through the reduction scheme leapt from 3,491 in February to 4,015 in August, an increase of 15 per cent.

The council had been urging the UK Government to extend the furlough scheme to support businesses in the area.

Chancellor Rishi Sunak has decided not to do that, but he yesterday unveiled a new package of measures designed to help employers and their staff.

The new Job Support Scheme, starting in November, replaces the coronavirus job retention scheme and means the government will pay part of workers' wages who have lost hours.

The worker must do at least one-third of normal hours, and the government and employer will pay one-third each of the lost hours.