Employees who work for UK firms forced to shut by law because of coronavirus restrictions are to get two-thirds of their wages paid for by the government.

The scheme, announced by Rishi Sunak, begins on 1 November for six months and a Treasury source said it could cost hundreds of millions of pounds a month.

A restrictions update, which could see pubs and restaurants shut in the worst-affected areas, is expected on Monday.

Leaders in areas now under restrictions said the scheme did not go far enough.

In a statement, the mayors of Greater Manchester, North Tyne, Sheffield and Liverpool said: “We are pleased that the government has listened and recognised that any new system of restrictions must come with a substantial package of financial support.”

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