Finance

Hampshire: Skilled-worker immigration cap to affect Hampshire employers

Published by
TBM Team

June’s allocation of restricted Tier 2 visas, which allows entry of skilled migrant workers into the UK, has been reached this month and could potentially affect Hampshire businesses that rely on this workforce.  This is a warning from Simon Kenny, law firm Moore Blatch's head of immigration.

The Tier 2 application process, which works on a points-based system, has an annual cap of 20,700. On a monthly basis there are approximately 1,700 Certificates of Sponsorship available and where more applications are received than points available, those with the highest points will qualify for entry.

Priority is given to roles that are on the shortage occupation list (scoring 75 points); roles requiring a PhD which are in a research field (scoring 50 points); and then roles where a resident labour market test has been carried out (30 points). As well as this, points are also scored based on the salary the role attracts, with higher salaries attracting more points.

In June, the minimum qualifying mark was 50 points to obtain a Certificate of Sponsorship. This meant that if those applying did not fit into the priority category, applicants would need a salary of £46,000 and above to enter the UK and work.

Kenny commented: “This is likely to affect businesses in Hampshire, including many healthcare and NHS organisations that rely on skilled workers with salaries lower than £46,000.  It will also impact professions such as engineers, teachers, lawyers, IT workers, architects, nurses and healthcare professionals, all of whom had permission to work refused in June.”

It is predicted that the cap in July will also be reached.  For businesses in London that are able to offer higher salaries there is likely to be less effect, but outside of London, there could be a shortage of many skilled workers which will effect services to people, particularly in the healthcare sector, smaller businesses, companies that employ relatively low-paid workers and those that hire international graduates.

“Many businesses will be concerned about the knock-on effects on growth and the economy and if this is allowed to continue, there could be long term risks to British business, with some opting for overseas operations.

“The Government came under considerable pressure during the Election campaign to ensure that future immigration targets they committed to were met.  While this is being followed, there does seem to be an inherent bias in the points-based system – which could see businesses outside of London missing out on key workers for business growth – and must be reviewed as a matter of urgency,” concluded Kenny.

Simon Kenny of Moore Blatch

TBM Team

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