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Fall in net migration rattles business and employers (31 May 2017)

Date: 31/05/2017
Duncan Lewis, Business Immigration Solicitors, Fall in net migration rattles business and employers

The Head of Employment and Skills Policy at the Institute of Directors, Seamus Nevin, has said that the fall in net migration is a “big worry” for employers, give that the fall is the result of some people leaving the UK, as well as fewer migrants coming to work in Britain.

Figures released by the Office for National Statistics (ONS) to the year ending December 2016 show that net migration – the difference between people arriving in and leaving the UK – has fallen by 84,000 compared with figures for December 2015.

The fall was welcomed by Home Secretary Amber Rudd – the Conservatives have pledged to reduce net migration to “tens of thousands”.

However, the fall in net migration is the first estimate following the UK’s vote to leave the EU in June 2016 – and may now cause concern among business sectors dependent on EU migrants and skilled non EEA-migrants to fill jobs.

Seamus Nevin said:

“This is a big worry for employers, who risk losing key members of staff in positions that cannot easily be replaced from the homegrown pool available.”

The hospitality sector has in recent weeks expressed fears that, once the UK leaves the EU, shortages in skills may affect the sector deeply, given that jobs in hospitality and catering are often filled by EU migrants.

Other sectors that may be affected include agriculture, construction – and the NHS and social care.

Some employers are calling for transitional arrangements post-Brexit, to enable employers to train British nationals to the required standard in certain sectors – with the possibility of introducing a so-called “barista visa”, to enable young EU citizens to come to the UK to work for a limited period post-Brexit.

However, following publication of the ONS data, the Home Secretary said:

“It's good that the overall figure has come down now by nearly a quarter in a year – we're determined to make sure that we do continue to reduce the overall net migration number.”

The figures show that, to December 2016, immigration to the UK stood at 588,000 and emigration was 339,000.

The fall in net migration is being attributed to 43,000 fewer people coming to the UK and an increase by 40,000 of people emigrating from the UK. The figures show that the increase in emigration was mainly due to EU citizens leaving – an increase by 31,000 on figures for 2015.

Among EU8 citizens, 25,000 fewer came to the UK in 2016 – and 16,000 EU citizens left.

A total of 35,000 fewer people came to the UK seeking work in 2016, although employment remained the primary factor for people coming to Britain to settle, for both EU and non-EEA citizens. Out of 275,000 migrants who came to the UK for work reasons in 2016, a total of 180,000 already had a job in place.

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