Open and controlled. A new approach to immigration after Brexit

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Publication Date 10/08/2018
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The Confederation of British Industry published a report Open and controlled. A new approach to immigration after Brexit on the 10 August 2018.

Putting migration on the table in future trade talks and ensuring EU workers were not subject to burdensome non-EU visa rules were two key recommendations in the report on how migration can work UK post-Brexit.

The report provided provides evidence from 129,000 firms across 18 industry sectors*. Companies wanted to see a new approach that remained open enough to grow the UK economy, with the right controls to build public trust and confidence.

Most credible economic studies showed that immigration delivered net economic benefits for the UK. Foreign workers put in more than they took out. Their taxes – which paid for schools, hospitals and roads - outweighed the benefits they received. And, as the Office for Budget Responsibility noted, higher net migration reduced pressure on government debt.

This significant consultation with businesses of all sizes showed the inter-connectedness of different sectors, highlighting just how important migration was to all parts of the UK economy, at all skills levels.

Josh Hardie, CBI Deputy Director-General, said:

'Freedom of movement will be ending. The building blocks of a successful new migration system for the UK begin with an honest and open debate that has been absent from politics. The stakes couldn’t be higher. Get it wrong, and the UK risks having too few people to run the NHS, pick fruit or deliver products to stores around the country. This would hurt us all - from the money in our pockets to our access to public services.

'The needs are more complex than only ensuring that the UK can attract the ‘brightest and best’. Housebuilding needs architects for design, labourers to dig foundations and electricians to help finish the job. In the food and drink sector, the supply chain starts with agriculture, then logistics and ends with retail'.

* Sectors consulted for the report were: Agriculture and horticulture - Construction - Creative industries and entertainment - Education - Energy, mining and utilities - Financial services - Food and drink - Healthcare - Hospitality and tourism - Logistics, haulage and warehousing - Life sciences - Manufacturing - Professional services - Public transport - Recruitment and self-employed - Retail - Technology - Telecommunications and media.

Background information

In July 2017, the Home Secretary commissioned the Migration Advisory Committee (MAC) to assess the impact on the UK labour market of the UK’s exit from the EU and how the UK’s immigration system should be aligned with a modern industrial strategy. This was to provide the evidence base for UK migration after the implementation period in 2021.

In March 2018 the MAC had issued a report EEA workers in the UK labour market: interim update. This report set out a summary of the views expressed by employers and of the regional issues raised during a consultation process in the autumn of 2017.

Commentators noted that UK businesses were concerned about their ability to recruit workers from the EU after Britain left the EU. UK employers also saw EU workers as 'more reliable' and eager than their British counterparts.

The MAC's final report was due in the summer of 2018, but as of August 2018 the report had still not been published (it was now said to be published in September 2018).

The United Kingdom: House of Commons: Home Affairs Committee published a report Policy options for future migration from the European Economic Area: Interim report in July 2018.

The Committee warned all those involved in the post-Brexit migration policy debate not to exploit or escalate tensions over immigration in the run up to the withdrawal agreement. The Committee criticised the Governments failure to set out detail on post-Brexit migration policy or to build consensus on immigration reform despite having over two years since the referendum in which to do so.

Continued delays to the publication of the White Paper on Immigration and the Immigration Bill had meant there was little indication of what immigration policy would be. Despite the fact that the issue was subject to heated and divisive debate during the referendum campaigns in 2016 the Government had not attempted to build consensus on immigration reform or consult the public over future migration policy in the two years since. The Committee believed this was a regrettable missed opportunity.

EU migration was an important part of UK history. The need for a good economic deal, the fact that the EU was our closest neighbour and trading partner, UK skills needed and shared economic, social and cultural bonds all meant that EU migration would remain important in future. The committee cautioned the Government against implying that the only EEA migration post-Brexit would be in the limited categories referred to in the Withdrawal White Paper, as that was not conducive to an honest or open debate. Nor should the Government make meeting the net migration target an objective of EEA migration policy as it was not working and should be replaced.

In the absence of detail from the Government, the Committee explored a range of post-Brexit immigration policy options which were set out in the report for Parliament and the public to inform the debate, including on the trade-offs between migration and trade. The Committee said it would wait for the Migration Advisory Committee's report in the autumn of 2018 before making further recommendations, and called on the Government to consult on options.

Source Link http://www.cbi.org.uk/insight-and-analysis/open-and-controlled/
Related Links
ESO: In Focus: Brexit - The United Kingdom and the European Union http://www.europeansources.info/record/brexit-the-united-kingdom-and-the-european-union/
BBC News, 10.08.18: Immigration: Scrap targets after Brexit, CBI urges https://www.bbc.co.uk/news/business-45136390
The Guardian, 10.08.18: CBI urges government to drop 'blunt target' on immigration numbers https://www.theguardian.com/politics/2018/aug/10/cbi-urges-government-to-drop-brexit-blunt-target-on-immigration-numbers
The Guardian, 09.08.18: [Editorial]: The Guardian view on the Brexit debate: time to make real choices https://www.theguardian.com/commentisfree/2018/aug/09/the-guardian-view-on-the-brexit-debate-time-to-make-real-choices
The Telegraph, 10.08.18: Kick out EU migrants after Brexit if they fail to find work, says CBI https://www.telegraph.co.uk/politics/2018/08/09/kick-eu-migrants-brexit-fail-find-work-says-cbi/

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