The Government will announce later a cap on the number of skilled workers from outside the European Economic Area allowed into the UK, the BBC reports today.
A cap of up to 43,700 was recommended by migration advisors last week.
But the government’s cap will not include employees transferred by their companies from another country if their salary is more than £40,000.
Home Secretary Theresa May is due to give the full details of the cap in a statement to MPs.
During the election campaign, Tory leader David Cameron pledged to cap immigration levels, while his then Lib Dem rival Nick Clegg – now his deputy – said that policy ignored the fact that most immigration came from the EU.
BBC political editor Nick Robinson said tense talks between the Tories and Lib Dems had resulted in a compromise.
Last year 50,000 visas were issued for tier one (highly skilled) and tier two (skilled) workers from outside the European Economic Area (the EU plus Iceland, Norway and Liechtenstein). Of those, 22,000 came on intra-company transfers.
Nick Robinson said a consultation on cutting the number of non-degree level students coming to the UK – due to be published soon – had not yet got cross-coalition agreement.
In the New Year, ministers will produce proposals to reduce the number of family members who can join immigrants already living in the UK.
A Home Office spokesman denied reports the cap on skilled migrants from outside Europe would be 43,000, excluding intra-company transfers.
He said it was possible the number allowed into the country would end up at 43,000, but the limit would have to be lower than that to take account of the intra-company transfers.
Sir Andrew Green, of the Migration Watch think tank, told BBC Radio 4’s Today programme: “It’s a small reduction, but don’t forget the 50,000 is much lower than it has been in recent years… It’s a reduction from a low figure, we regard that as a sensible outcome with a modest total.”
He said the cap focused on “those people who employers actually need” and would reduce the number of people who “come on spec, hanging around looking for a job” and the minimum £40,000 salary would make a “big difference”.
But he told the BBC it was not clear, until Mrs May makes her statement in the Commons, exactly what was being proposed.
However Sir Andrew said: “This is the first time in British history that any government has set a broad policy objective for net migration and we have to do that. We must reduce immigration – our population is heading for 70 million in 20 years, 68% of that, more than two thirds, is down to immigration.”
David Frost, director general, of the British Chambers of Commerce, said it was important that changes to migration policy did not harm British business: “Clearly the government has a mandate to bring down net immigration but at a time when we are trying to squeeze every bit of growth out of the economy, changes to migration policy must not harm UK competitiveness.”
He said global businesses “must have the ability to bring their skilled employees across the globe into the UK”.
Last week the government’s migration advisory committee recommended that the number of migrant workers coming to the UK from outside the EU should be cut by between 13% and 25% next year.
Committee chairman Professor David Metcalf said the number of visas for skilled workers issued under what are called tier one and tier two needed to be between 37,400 and 43,700 for 2011/12.
This would represent a cut of up to 12,600 from 2009, he said, although this did not allow for the government’s planned exemption for intra-company transfers.
However, the committee said that even this would contribute only 20% to the government’s target of reducing UK immigration from hundreds of thousands to “tens of thousands”. The other 80% cut would have to come from student and family migration.
Home affairs select committee chairman, the Labour MP Keith Vaz, said he did not believe the cap on skilled migrants would work.
“There are going to be so many exemptions, from the education sector to elite scientists to football players to business, that there are going to be so many holes… that it actually won’t be a cap at all,” he said. Source: BBC.
The small reduction in the numbers of non-EU skilled workers to be allowed into the UK means the government will need to make drastic cuts in other areas of immigration, such as family members joining migrants (e.g. dependant visas) and student visas, in order to reach its target of bringing down immigration to the ‘tens of thousands’ level.
Yesterday Prime Minister David Cameron made his priorities clear when he said that immigration to Britain is “unacceptably high” and must be cut, but this can be achieved whilst ensuring ‘businesses can still import talent’.
The expected £40,000 salary ‘exemption’ will do little to help the care industry which relies heavily on overseas staff. Nurses, Care Assistants and even most Care Managers do not earn anywhere near £40,000 per annum.
Ironically, if salaries were at those levels the jobs would not appear on the official shortage occupations list, which is the very reason the industry is forced to recruit from abroad.
An employer can only obtain a Tier 2 work permit for a vacancy which the government accepts cannot be filled from within the EU pool of labour.
The industry also draws from the flexible labour pool provided by students working part time.
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