EU net migration to the UK has fallen to its lowest level since 2012 in the year to June 2018, according to figures from the Office of National Statistics.  The figures have caused concerns for the UK recruitment industry.

ONS data found that 74,000 more EU citizens came to the UK than left, however this was the lowest estimate for EU net migration since 2012 and the lowest immigration level since 2014.

Recruitment & Employment Confederation director of policy Tom Hadley, commented, “(Yesterday’s) ONS figures confirm the decrease in the number of EU nationals coming to the UK looking for work, at a time when employers across a whole range of sectors are finding it increasingly hard to find the staff and skills they need.”

“REC data shows that candidate availability is declining month on month, and that 75% of employers have little or no capacity to take on more work without needing to hire more staff,” Hadley said. “These organisations will need more staff to grow and deliver better services. The shortage is acute across both the private and public sector – particularly in social care and the NHS where ensuring safe staffing levels is an absolute must.”

Hadley also pointed to a report published yesterday from the REC which showed that the public sector faces up to 7 more years of skills shortages based on current demand.

“Ongoing uncertainty will do nothing to reverse the trend,” Hadley said. “UK employers need a comprehensive mobility and migration deal with the EU post-Brexit to ensure that private and public sector organisations can continue to secure the permanent, temporary and seasonal workers they need to be successful. Severely reducing the number of EU workers coming to the UK will make British firms less competitive and put increasing pressure on our public services.”

Matthew Fell, Confederation of British Industry Chief UK Policy Director, also commented, “These latest statistics highlight the continuing trend of falling net EU migration amid growing shortages across all skills levels in the UK. 92% of businesses cited Brexit as impacting their ability to recruit and train staff in 2018. This means hospitals, schools and housebuilders are already struggling to get the staff they need. Banning workers from overseas earning less than £30,000 will only make this worse.”

“Against the backdrop of Brexit economic assessments, implementing a restrictive approach to immigration would result in a double whammy for the UK economy,” Fell said. “Any new system must be based on evidence rather than politically driven targets. Most importantly, firms of all sizes and sectors will need ample time to adjust to what will be a seismic change.”

The British Chambers of Commerce also commented, “Despite valiant efforts to recruit at home, employers need people to fill vacancies where there are local shortages. As the UK leaves the European Union our government should be shouting from the rooftops about its desire to attract skilled staff at all levels from the continent and beyond, to contribute to one of the world’s most dynamic economies.”

“With just four months to go until the UK leaves the EU, it is astonishing that there is no published government policy or technical guidance for employers on the status of EU nationals, and whether firms can hire them, in a ‘no-deal’ scenario,” the BCC said. “It is also well past time that the government publishes its Immigration White Paper to provide longer-term clarity.”

Despite the falling EU net migration, Non-EU net migration was the highest since 2004, with 248,000 more non-EU citizens arriving than leaving the UK and at a similar level to that seen in 2011. Increases in immigration for both work and study have been seen in the most recent year, particularly for Asian citizens.