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Recruitment industry calls UK plans to cut migration, tighten visa rules 'disproportionate'

05 December 2023

The UK Home Secretary announced new measures to cut migration levels and curb abuse of the immigration system, delivering the biggest-ever reduction in net migration.

Home Secretary James Cleverly said the package would mean around 300,000 people who came to the UK last year would now be unable to come.

"The package of measures will end the high numbers of dependants coming to the UK, increase the minimum salaries that overseas workers and British or settled people sponsoring family members must earn, and tackle exploitation across the immigration system," the announcement stated.

Furthermore, the government will tighten the Health and Care visa by preventing overseas care workers from bringing their dependents to the UK. In addition, care providers in England will now only be able to sponsor migrant workers if they are undertaking activities regulated by the Care Quality Commission. 

From next spring, the government will increase the earning threshold for overseas workers by nearly 50%, from £26,200 to £38,700. The government will also increase the minimum income required for UK citizens and those settled in the UK who want their family members to join them.

To crackdown on cut-price labour from overseas, the government will end the 20% going rate salary discount for shortage occupations and replace the Shortage Occupation List with a new Immigration Salary List, which will retain a general threshold discount. The Migration Advisory Committee will review the new list against the increased salary thresholds to reduce the number of occupations on the list.

The Migration Advisory Committee will also be asked to review the Graduate visa route to 'ensure it works in the best interests of the UK and to ensure steps are being taken to prevent abuse.'

Cleverly said, "In addition to measures to reduce migration, the government will make sure that migrants coming to the UK make a fair financial contribution so that public services, including the NHS, are not taken advantage of by increasing the annual Immigration Health Surcharge from £624 to £1,035."

"Workers and their dependants account for some of the highest proportion of visas being issued, with Skilled Worker and Health and Care worker visas accounting for 63% of work grants, and the proportion of work-related visas being granted to dependants rising to 43% in the year ending September 2023," Cleverly said.

"The addition of carers in the UK's immigration system was a temporary measure to fill labour shortages by responding to an urgent need into the adult social care sector following the coronavirus pandemic," Cleverly added.

According to Cleverly, the measures will ensure "we continue to protect our NHS and social care systems while addressing significant concerns that have emerged since the introduction of the visa about high levels of non-compliance, worker exploitation and abuse within the adult social care sector, particularly for overseas workers employed within care occupations."

The BBC reports that in a statement to MPs, the home secretary said migration to the UK "needs to come down" and there had been "abuse" of health and care visas for years. "Enough is enough," Mr Cleverly said. "Immigration policy must be fair, legal, and sustainable."

The migration plan comes after official figures last month showed net migration had soared to a record 745,000 in 2022.

In an article in The Sun, Prime Minister Rishi Sunak wrote, "If you can't contribute to the UK, you are not coming to the UK. Our plan will deliver the biggest-ever cut in net migration and curb abuse."

Recruitment industry reacts

Chief Executive of the Recruitment and Employment Confederation, Neil Carberry said, "The government talks about wanting growth and increased productivity. Successful modern economies are international – but these changes will send the wrong signal around the world. They are wholly disproportionate, given that immigration for work in the private sector is such a small part of total immigration."

 "From world-leading universities to globally competitive firms, attracting people to the UK for work and study is a benefit to growth and prosperity here," Carberry continued. "And it helps to solve shortages, as the government must know, given that health and social care are the heaviest users of our expensive work visa system. But while firms have to pay the price, the government chooses to exempt itself from the new threshold. One rule for business, another for the public sector in health and care will not go down well with those in industry."

"It is time for politicians to be more open about these trade-offs. Given the recent trend in wages, some uprating of the salary threshold would have been sensible – but such a large rise is likely to negatively effect smaller firms and those in regions farther from London. While many roles we have shortages in are driven by labour availability, the UK also has significant skills shortages. This news also underpins again the government's serial failure to address the skills system despite half a decade of business feedback about the failed Apprenticeship Levy and the underfunding of Further Education."

The Association of Professional Staffing Companies (APSCo) also responded to the Home Secretary's announcement. Tania Bowers, Global Public Policy Director at APSCo, said, "The home secretary's calls for a high skilled, high productivity, high wage economy is exactly why APSCo has long campaigned for shorter term business visas to plug UK skills gaps. The skills shortage list produced by the Migration Advisory Committee is not fit for purpose. More accurate data is needed to better understand what technical skills Britain needs and in which regions and sectors they should be deployed."

"From a clinical healthcare perspective, it is fair to say that health and social visa numbers are too high but making dramatic changes to the current rules will negatively impact service delivery," Bowers added. "APSCo would like to see a collaborative approach between government departments, such as the Department for Business and Trade, with the Home Office to ensure that any immigration policies enhance domestic labour market participation, leading to increased productivity and overall economic growth."