June 28, 2010
A temporary limit on the number of non-EU migrants allowed to live and work in the UK has been announced by the government following consultations with British businesses.
Home secretary Theresa May has limited the number of non-EU workers by 5% to 24,100 between now and April 2011, as the government aims to bring net migration levels - the number of immigrants minus the number emigrating from British shores - down to those seen in the 1990s.
According to the Home Secretary, the temporary cap will prevent a rush of applications before a permanent cap is set next April.
"Immigration into the UK has been good for us but uncontrolled immigration is not, so we need to bring in these controls," she told BBC Radio 4’s Today Programme.
However, businesses have warned that the cap could stop them from filling vacancies at times of high demand and could affect the performance of their workforce, while others say it could have a detrimental effect on higher education, which is reliant on income from foreign students.
“There were huge skills shortages before the recession, and if the private sector is to grow rapidly out of recession, it will need skilled workers to do so. An artificial cap on immigration will affect business growth and delivery of core services, such as social care,“ warned Kevin Green, Chief Executive of the Recruitment and Employment Confederation (REC).
A consultation will be launched early next month to further discuss business worries over the impending cap. The Home Secretary has promised to reflect the concerns of business in drawing up the final scheme, due next year.
"The business groups will make the point, which I fully support, that if you have a growing economy, you have to draw people in from all around the world," claimed Business Secretary Vince Cable, who previously warned about the negative effects a cap could bring whilst in pre-election opposition the Conservative policy.
"The new regime has to accommodate those concerns. It has to be implemented in a flexible way."
