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Boris Johnson is facing growing pressure to allow fully vaccinated people who have been identified as close contacts of coronavirus cases to be exempt from isolation.

London Mayor Sadiq Khan has joined business leaders in calling for more workers to be allowed to skip quarantine if they are alerted by the NHS COVID-19 app to prevent a staffing crisis during the so-called “pingdemic”.

In a letter to the prime minister, the mayor and industry bodies including UKHospitality, the London Chamber of Commerce and Industry and London’s branch of the Federation of Small Businesses, said there is “an urgent need to outline a more considered approach” on the rules regarding self-isolation.

Mayor of London Sadiq Khan travels to City Hall by Tube
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Mayor of London Sadiq Khan has urged the PM to outline ‘a more considered approach’ to self-isolation

They warned that the app is exacerbating staff shortages for pubs, bars and restaurants.

The government has announced that a phased approach to testing will soon see some “critical workers” being exempt from quarantine as long as they use daily lateral flow tests and the results are negative.

But the mayor and business leaders said daily PCR tests should be used instead.

“The summer months are crucial for many businesses’ recovery and their ability to recover must not be put in jeopardy,” they noted.

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“We are therefore calling on you to ensure that the necessary testing is in place to enable people who have been double vaccinated for longer than two weeks and pinged by the NHS COVID app, to immediately return to work, following a negative PCR test, rather than having to self-isolate.”

The PM is also facing calls from senior members of his own backbenches for a change to the system.

Conservative MP and chairman of the health and social care select committee Jeremy Hunt warned the government that it faces “losing social consent” for the self-isolation scheme if nothing is done.

Boris Johnson
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Boris Johnson is isolating in Chequers after being alerted as a close contact of Sajid Javid who tested positive for the virus

And fellow Conservative Greg Clark, a former business secretary who now chairs the Commons science and technology committee, suggested that an exemption from self-isolation for all those fully-vaccinated should be brought in immediately.

It comes as pub and restaurant bosses warned of a “summer of venue closures” unless hospitality workers are exempt from quarantine rules as cases continue to increase.

More than 600,000 people were alerted by the app in the week to 14 July.

And the latest information from the Office for National Statistics showed around one in 75 people in England currently have the virus.

Business Secretary Kwasi Kwarteng admitted the government is “very concerned” about the numbers of people being pinged by the NHS app.

From 16 August, all of those double vaccinated will be exempt from self-isolation if identified as a close contact, the government has said.

Jeremy Hunt has called for action on the standard of masks worn in shops and on public transport. Pic: UK Parliament/Jessica Taylor
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Jeremy Hunt says the government faces ‘losing social consent’ over the isolation system if it fails to act

Environment Secretary George Eustice told Sky News this date “at the moment is not coming forward”.

The PM himself is currently isolating at Chequers, having been identified as a close contact of newly-appointed Health Secretary Sajid Javid who tested positive for coronavirus.

Chancellor Rishi Sunak was identified as another of Mr Javid’s contacts – and Labour leader Sir Keir Starmer was also forced into isolation on Wednesday after one of his children tested positive for the virus.

On Thursday evening, the government published a list of 16 sectors where double-jabbed workers will be eligible to avoid isolation if they undergo daily lateral flow testing and their results are negative.

These included energy, civil nuclear, digital infrastructure, food production and supply, waste, water, veterinary medicines, essential chemicals, essential transport, medicines, medical devices, clinical consumable supplies, emergency services, border control, essential defence outputs, and local government.

Around 10,000 workers in the food sector are also expected to be included in the scheme.

And on Friday, the Department for Environment, Food and Rural Affairs expanded on this further, outlining the positions the exemptions would apply to “subject to all other mitigation options being exhausted”.

Food workers have been off work after being 'pinged'
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Around 10,000 food sector workers are among those who could be exempt from isolation

The roles include manufacturing maintenance engineers, specialist reach truck drivers, official vets, environmental health officers, landfill operators, water engineers, laboratory staff essential to the batch release of medicines, and environment agency staff operating critical flood defence assets.

Those who work in the roles above will be able to leave their COVID-19 isolation to travel to work and do their jobs after a negative daily test but must remain at home otherwise and go straight into quarantine if they receive a positive result.

It will only apply to workers who are fully vaccinated – and 14 days after their second coronavirus jab.

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Prediction markets bet on Coinbase-linked Hassett as top Fed pick

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Prediction markets bet on Coinbase-linked Hassett as top Fed pick

Prediction markets Polymarket and Kalshi view Kevin Hassett, US President Donald Trump’s National Economic Council director, as the favorite to replace Jerome Powell as the next Federal Reserve chair.

The odds of Hassett filling the seat have spiked to 66% on Polymarket and 74% on Kalshi at the time of writing. Hassett is widely viewed as crypto‑friendly thanks to his past role on Coinbase’s advisory council, a disclosed seven‑figure stake in the exchange and his leadership of the White House digital asset working group.​

Founder and CEO of Wyoming-based Custodia Bank, and a prominent advocate for crypto-friendly regulations, Caitlin Long, commented on X:

“If this comes true & Hassett does become Fed chairman, anti-#crypto people at the Fed who still hold positions of power will finally be out (well, most of them anyway). BIG changes will be coming to the Fed.”

Source: Polymarket Money

Related: Crypto-friendly Trump adviser Hassett top pick for Fed chair: Report

Kevin Hassett’s crypto credentials

Hassett is a long-time Republican policy economist who returned to Washington as Trump’s top economic adviser and has now emerged as the market-implied frontrunner to lead the Fed.

His financial disclosure reveals at least a seven‑figure Coinbase stake and compensation for serving on the exchange’s Academic and Regulatory Advisory Council, placing him unusually close to the crypto industry for a potential Fed chair.​

Still, crypto has been burned before by reading too much into “crypto‑literate” resumes. Gary Gensler arrived at the Securities and Exchange Commission with MIT blockchain courses under his belt, but went on to preside over a wave of high‑profile enforcement actions, some of which critics branded as “Operation Chokepoint 2.0.”

A Hassett-led Fed might be more open to experimentation and less reflexively hostile to bank‑crypto activity. Still, the institution’s mandate on financial stability means markets should not assume a one‑way bet on deregulation.​

Related: Caitlin Long’s crypto bank loses appeal over Fed master account

Supervision pushback inside the Fed

The Hassett odds have jumped just as the Fed’s own approach to bank supervision has received pushback from veterans like Fed Governor Michael Barr, who earned his reputation as one of Operation Chokepoint 2.0’s key architects.

According to Caitlin Long, while he Barr “was Vice Chairman of Supervision & Regulation he did Warren’s bidding,” and he “has made it clear he will oppose changes made by Trump & his appointees.”

On Nov. 18, the Fed released new Supervisory Operating Principles that shift examiners toward a “risk‑first” framework, directing staff to focus on material safety‑and‑soundness risks rather than procedural or documentation issues.

In a speech the same day, Barr warned that narrowing oversight, weakening ratings frameworks and making it harder to issue enforcement actions or matters requiring attention could leave supervisors slower to act on emerging risks, arguing that gutting those tools may repeat pre‑crisis mistakes.​

Days later, in Consumer Affairs Letter 25‑1, the Fed clarified that the new Supervisory Operating Principles do not apply to its Consumer Affairs supervision program (an area under Barr’s committee as a governor).

If prediction markets are right and a crypto‑friendly Hassett inherits this landscape, his Fed would not be writing on a blank slate but stepping into an institution already mid‑pivot on how hard (and where) it leans on banks.