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What will the new Government be doing to tackle high net migration figures?

By Amer Zaman

on October 28, 2024

Read Time: 8 Minutes

One of the biggest running themes of UK politics since 2021 has been the historically high levels of net migration the country has experienced, and the practical and political challenges inherent in dealing with this issue. In the online news section at Cranbrook Legal, we reported as far back as 2022 about net migration reaching its highest level since the end of World War II.

As we referenced back then, the spike can be partly attributed to factors that would generally be regarded as historically “exceptional”. These include such developments as the COVID-19 pandemic, and the UK taking in migrants from Afghanistan, Ukraine, and Hong Kong.

The previous Conservative Government oversaw historically high net migration

Over the last few years of the Conservative administrations under Boris Johnson, Liz Truss, and Rishi Sunak, the recorded numbers of migrants to the UK remained high.

According to the latest statistical bulletin on long-term international migration issued by the Office for National Statistics (ONS) in May, long-term net migration was provisionally estimated to be 685,000 during the year ending December 2023. This was a slight drop from the updated estimate of 764,000 for the year ending December 2022.

So, bearing in mind that these numbers were seen under a Conservative Government, is there much likelihood – following the Labour Party’s triumph in July’s general election – of 2023’s drop being the start of a sustained decrease? Furthermore, given that Labour has echoed the Conservatives’ message of net migration in the UK being too high, what is the new Government actually doing to bring about a fall in numbers?

Below, our award-winning experts in UK immigration law at Cranbrook Legal have looked at the declarations so far made by new Prime Minister Sir Keir Starmer’s administration on this subject – and the likely implications for UK employers in particular.

What is the Government doing about immigration to the UK?

Shortly after Yvette Cooper’s appointment as Home Secretary in July, the MP for Pontefract, Castleford and Knottingley gave a statement to Parliament, setting out the approach the Labour Government intended to take to legal migration.

This new approach includes recognition of the value that legal migration brings to the country, but also acknowledgement of the importance of proper control and management of the immigration system.

Labour has identified employers’ heavy dependence on the hiring of staff from overseas as a factor in the historically high net migration seen over the last five years.

The Starmer Government has therefore outlined the following steps that it plans to take:

  • Linking migration and visa controls to skills and labour market policies

The new Government has sought to connect migration and visa policy to skills and labour market policy. It has said that the Migration Advisory Committee (MAC) will work with Skills England, the Industrial Strategy Council, and the Labour Market Advisory Board, in support of a “coherent” approach to the development of skills, migration, and labour market policy.

Furthermore, Education Secretary Bridget Phillipson has announced the launch of Skills England to help tackle skills gaps, as part of the Government’s efforts to get more people back into work.

  • Strengthening the Migration Advisory Committee’s role

It is expected that the Home Office under the new Labour Government will beef up the MAC’s role, as it seeks to address what it perceives as over-reliance on international recruitment among employers in certain sectors.

The Government’s measures to bolster the MAC will include the deployment of additional Home Office staff to its secretariat, to allow for more strategic work.

  • Commissioning the MAC to review the IT and engineering sectors’ over-reliance on migration

Engineering and IT are among the top 10 sectors in the UK that have the highest percentage of their workforce consisting of new foreign-worker visa holders.

It is perhaps unsurprising, then, that at the time of typing, the Home Secretary has already commissioned the MAC to take a closer look at these sectors. The aim is to assess the root causes of these industries having “consistently relied on the international workforce, rather than sourcing the workers and skills they need here in the UK.”

  • Continuing to implement the previous Government’s “five-point plan” to drive down net migration

One of the immigration policy milestones during the previous Rishi Sunak-led Government was the announcement of what then-Home Secretary James Cleverly described as a “five-point plan” to reduce migration to the UK. The measures unveiled at the time affected worker visa holders and dependants.

Ms Cooper has said that the new Government supports these changes and will continue with their implementation. These steps have included a big hike in the minimum salary threshold for Skilled Worker visas, as well as restrictions on who is permitted to bring dependants to the UK.

  • Continuing to implement measures to reduce abuse within the Student visa and Graduate visa categories

The new Home Secretary has emphasised the valuable economic and academic contributions that overseas students make to the UK. However, to combat the risk of abuse and exploitation, the Labour Government said it would continue implementing the recommendations the MAC had put forward after reviewing the Graduate visa route.

Strengthened sponsor licence rules are on the way, with implications for UK employers

In a news release in late September, the Home Office gave further reason for organisations in the UK that hire foreign talent to be vigilant: a proposed strengthening of the rules around visa sponsorship of migrant workers.

The department said this would allow for “strong action” to be taken against employers that violated employment laws, “restricting their ability to hire workers from abroad.”

According to the Home Office, this change will come alongside work the department said was “already underway to clamp down on existing sponsor licence holders and to stop visa abuse”. It cited as examples of such work a “ramping up” of UK Visas and Immigration (UKVI) investigation visits, and the suspension and revocation of licences “where employers abuse the immigration system and exploit migrant workers.”

With regard to the MAC’s expanded role that the Labour Government had already referenced, the Home Office stated in its late September update that the body would be tasked with monitoring and proactively drawing attention to key sectors where skills shortages have led to surges of recruitment from abroad. As part of this work, the MAC will provide a yearly assessment to ministers, who will use this information to inform policymaking. In the Home Office’s words, the annual assessment undertaken by the MAC “will help industries respond swiftly to skills gaps and take necessary steps to reduce their dependency on migrant workers”. In accordance with this, the impacted sectors will be expected to “invest in training, workforce plans, and higher quality jobs for workers here at home.”

Why is UK net migration so high?

Recent years have seen unusually high levels of net migration from a historical perspective. However, it is important to bear in mind that over the last few decades, levels of migration to the UK have been broadly similar to those experienced by other high-income countries.

Nonetheless, with long-term net migration provisionally estimated to be 685,000 in 2023 – still greatly higher than the approximately 250,000 per year seen pre-pandemic – it is worth considering some of the specific reasons for the spike.

  • World events have contributed significantly to UK immigration levels over the last few years. The Russian invasion of Ukraine, China’s imposition of a strict new security law in Hong Kong, and the Taliban’s seizure of power in Afghanistan led to the UK opening humanitarian immigration routes for people from these parts of the world.
  • Liberalisations of UK immigration policy. The UK has made various moves in recent years to encourage migration from certain groups. In addition to introducing the aforementioned routes for people from Ukraine, Hong Kong, and Afghanistan, the Government liberalised rules for work visas, and encouraged greater numbers of international students to come to the UK.
  • Universities recruiting students from overseas to help fill gaps in their finances. The sharp rises in net migration since Brexit can also be partly attributed to instances of immigration policy interacting with non-immigration-related matters. UK universities, for example, have faced ever-intensifying financial pressures amid rising operational costs and a freeze to tuition fees for domestic students in England, Wales, and Scotland. In response to this, universities have begun more actively recruiting students from overseas to help relieve their financial strain.
  • Non-EU nationals coming to the UK for work or study, and in some cases, bringing their partners and children with them. This accounted for much of the increase in net migration to the UK between 2019 and 2023. The health and care industry has been a particularly strong driver of work-related migration over the last few years. However, family was actually the most common reason for coming to the UK among the foreign-born population in 2022 (37%), ahead of work (29%) and study (14%).

So, what consequences are Labour’s changes likely to bring for employers?

The new Government has set out its commitment to continue lowering net migration to the UK, while pursuing an evidence-based approach to migration policy. Closely connected to this will be efforts to help develop UK-based skills and talent, so that employers are not forced to compensate for deficiencies in the UK labour market by seeking new staff from abroad instead.

UK employers should be alert to the possibility that future sponsorship may depend on businesses and industries demonstrating their commitment to improving skills among the local workforce and training providers in this country. However, it remains to be seen what exact measures may be pursued by the new Government to help achieve this aim. In the meantime, whether you are an individual or an employer seeking to engage with the UK immigration system – such as to recruit staff or to apply for a UK visa – please don’t hesitate to contact our skilled experts in immigration law for further help and advice. You can call us on 0208 215 0053, or complete and submit our online contact form to book a free consultation.

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