The Secretary of State for the Home Department (Sajid Javid)

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I beg to move, That the Bill be now read a Second time.

Concern over uncontrolled immigration was at the heart of the debate in the run-up to the European Union referendum. The result left no doubt: people in the UK want control over our borders. They want a fair system that works for the entire UK, that attracts the brightest and the best from around the globe, and that allows access to the UK based on what someone has to offer, not where they come from. Leaving the EU means just that. For the first time in more than 40 years, we can deliver this by putting control over who comes to the UK firmly in our hands. Ending free movement is the first step, and that is what the Bill delivers.

This is not about closing our doors—far from it. That is something I would never allow. We will continue to be an open, outward-looking and welcoming nation, because immigration has been invaluable to Britain. Immigrants to this country, such as my own parents, have been essential to the success of our society, culture and economy. They have powered—indeed, they have often created—many of our businesses. They have helped to deliver vital public services. Their experience has brought new perspectives and expertise, stimulating growth and making us the tolerant, outward-looking nation we are today. Far from slamming the door on immigration, the end of free movement will be a clear path to a fairer immigration system, helping us to welcome the most talented workers from any country while cutting net migration to sustainable levels.

Sajid Javid

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For many people who voted leave in that referendum, immigration was one of the big, key issues. Many of them would have wanted, first, to see immigration coming down to more sustainable levels. It was certainly my experience that many of them wanted us to end freedom of movement and reform the process so that we could have more control over our borders.

Sajid Javid

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There are two issues there. First, on protections for British nationals working in other parts of the EU, we very much hope that other EU countries respond in the way we are doing—we are guaranteeing EU citizens’ rights whether there is a deal or no deal. The hon. Gentleman also referred to the importance of immigration to our public services, including the health service, which I just referenced a moment ago. That will very much be retained under the new immigration system.

Sajid Javid

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I very much agree with how my hon. Friend describes the issue. This is about putting the UK in control of who comes to the UK, so we can be certain that that will benefit our economy and society.

Sajid Javid

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I assume that my right hon. Friend is referring to detention centres. He will know that detention policy is not covered by the Bill, but he asks an important question and I want to make sure that I answer it. Our policy makes it absolutely clear that detention should be a last resort in respect of immigration control. Some 95% of individuals who are subject to removal are managed in the community—I know that my right hon. Friend would approve of that—and if anyone is detained, it is absolutely a requirement that we must be certain that there is a reasonable prospect that they can be removed in a reasonable time. Despite those protections, I have also tried to make sure that we are doing all that we can, which is why I welcome the work that has been done independently through the Shaw reports. We are trying at all times to see what more we can do further to improve the policy.

Sajid Javid

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I welcome the raising of this important issue, because it is important that we constantly look into how we can improve our detention policy to make sure that at all times it is seen as fair and compassionate. I welcome the fact that my right hon. Friend has raised this issue, his concern about which seems to be shared by other Members. If it would be helpful, I would be happy to discuss the issue further with my right hon. Friend and other right hon. and hon. Members who are concerned about it. It is important that we continue to look into the policy and see what more we can do to improve it.

Sajid Javid

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The hon. Lady refers to the policy on family reunion or bringing spouses to this country. The rules, which include a minimum income requirement, are the will of the House. They are what the House has previously decided in legislation, and I think it is fair to have rules on bringing spouses from abroad into this country and on family reunion. That is right, but it is also right that we constantly review the rules to make sure that they continue to be fair at all times.

Sajid Javid

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My right hon. Friend makes an important point. I think that the 5,000 number to which he refers is with respect to foreign national offenders only. When it comes to removing people from this country, or deporting them because they are here illegally, the number is, I think, a lot higher, but his point is important, and we need to make sure that we properly enforce the rules that we have in place.

Sajid Javid

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I agreed with every word that my right hon. Friend just shared with the House. She reminds us that there are different parts of and different routes within our immigration system, and that we should always try not to conflate them. I very much welcome her intervention.

It is also important that we get the tone of the debate right, which is why my message to the 3.5 million EU citizens already living here has also been very clear. I say, “You are an incredibly valued and an important part of our society; we want you to stay. Deal or no deal, that view will not change. Our commitment to you is very real. We have listened to your concerns and we are, for example, removing the fee for the EU settlement scheme.” There must be no barriers to those who want to stay, and I urge other EU countries to follow suit and to waive any fees for UK citizens.

Sajid Javid

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Yes, absolutely. Anyone who has paid the fee under the scheme will be reimbursed in full.

Sajid Javid

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I will make some progress and then give way later.

Given the concerns that were raised in the referendum, we must control immigration to make it fairer and more sustainable. We wanted to ensure that our proposals were based on the very best evidence, which was why we commissioned the independent Migration Advisory Committee to review the impact of European migration on the UK’s economy and society. It was clear that, with free movement, we could not guarantee that we would maximise the benefits of immigration, so it recommended a system that was focused on skilled workers. We heard that, and our White Paper, which was published before Christmas, proposed a skills-based system welcoming talent from around the world, with no automatic preference for the EU.

Sajid Javid

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Mr Deputy Speaker, I think that that was the hon. Gentleman’s speech, so you can take him off your list.

The hon. Gentleman makes a fair point. Let me emphasise that the evidence that the MAC has considered is reflected in its recommendations. He will know that, in our response in the White Paper, while we have very much based things on the evidence presented, there are still things that require further engagement before we design and settle on exactly what the future system looks like.

We also asked the MAC to review the position of international students. It recommended that there should continue to be no limits on the number of international students we welcome to study in our country, and that will of course remain our approach. As my hon. Friend the Minister for Universities, Science, Research and Innovation has strongly campaigned for, we will continue to be an open and welcoming country for international students. Our word-class universities will continue to be able to attract global talent, and we will make it easier for the brightest and best graduates to stay and work here.

Sajid Javid

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There are no targets in our White Paper, which sets out our approach to the future immigration system. That said, we are still very clear, as I have already set out, that we must continue to work to bring net migration down to more sustainable levels.

Sajid Javid

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I am happy to clarify that there is absolutely no cap on student numbers. There is no limit on the number of students we wish to welcome into our country.

Sajid Javid

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I am sorry, but I do not accept the hon. Lady’s point. The current number of international students in this country—I believe that the figure is more than 450,000—is the highest we have ever had, so the facts do not bear out the hon. Lady’s comments.

This Bill is fundamental to our future immigration system. First, it will end freedom of movement. All related EU legislation that is retained in UK law under the withdrawal Act will be repealed. This will make European economic area and Swiss nationals, and their families, subject to UK immigration rules. Like people from other countries around the world, they will need permission to enter and remain in the UK. In place of that, we will introduce a new system that will level the playing field by ending preferential treatment for EU citizens. It will mean that everyone will have the same opportunity to come to the UK, regardless of where they are from.

Sajid Javid

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I can give my hon. Friend some assurance. I know that she has welcomed the pilot for seasonal agricultural workers that we have already announced. Once we have had the pilot, we will look at how we can incorporate such a scheme in the future immigration system.

Sajid Javid

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I am very happy to answer that question. First, our new system will allow us to help people to enter the UK based on their skills and not their nationality, so it is going to be their skills that will count. My right hon. and learned Friend also questioned how, in that case, by still welcoming the people with the skills, and the students, that we need, we will reduce net migration to more sustainable levels. The answer is in the approach that has been set out in the White Paper based on the evidence from the Migration Advisory Committee. The MAC clearly says in its evidence that if we have a policy that is focused on skills and not nationality, and focus more on high skills than low skills, that is consistent both with meeting the needs of the economy and reducing net migration down to more sustainable levels.

Sajid Javid

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I can give my hon. Friend an assurance that the final threshold for the high skills determination has not been set yet. As we set out in the White Paper, we recognise that the recommendation from the Migration Advisory Committee is £30,000, but we will be engaging thoroughly over a number of months to determine what the actual threshold should be so that we can be comfortable that it works for the economy.

Sajid Javid

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I will give way once more, to the hon. Member for Stretford and Urmston (Kate Green), and then make some progress.

Sajid Javid

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The hon. Lady will know that there is already such acceptance in the current immigration system for non-EEA migrants. For example, within the current system there is a shortage occupation list—a system that we will keep in place going forward—which recognises that in some cases where there is a shortage, we need to change the salary threshold. There will be flexibilities built into the system going forward, and a lot of that is explained in the White Paper.

Sajid Javid

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I will make some progress and give way later.

Secondly, this Bill will protect the rights of Irish citizens. We are very proud of our deep and historic ties with Ireland. When free movement ends, Irish citizens will continue to be able to come to the UK to live and work as they do now. British and Irish citizens have enjoyed a special status and specific rights in each other’s countries for almost 100 years. The Bill will preserve rights that Irish citizens currently have in the UK—the same rights that British citizens enjoy in Ireland. This includes the right to work, to study, to access healthcare and social security benefits, and to vote. The only exception is where an Irish citizen is subject to deportation exclusion orders, as now, or to an international travel ban. Our close ties with Ireland will remain. Our historical bond is unbreakable. The Government have always been firm in their commitment to preserve the long-standing common travel area arrangements. This Bill reaffirms our intention to preserve our special relationship and to continue to stand side by side with Ireland after we leave the EU.

Thirdly, the Bill gives us the basis to build a legal framework for the future immigration system. It includes a power to make amendments to primary and secondary legislation that become necessary after the end of free movement. This will enable us to ensure that UK legislation remains coherent once we leave the EU. It means that we can align our treatment of EU and non-EU migrants depending on the final design of the UK’s future skills-based immigration system, and that we can accommodate any trade deals that we agree with the EU and with other countries.

Sajid Javid

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No one is profiteering from charges that come through the immigration system. In fact, those charges currently do not even cover the full cost. The rest of the cost is covered by general taxes.

Sajid Javid

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The hon. Gentleman will know that immigration is a reserved matter, but it is very important that we engage with all nations, regions and communities. As we develop the new immigration system set out in the White Paper, I will ensure that that engagement happens and that we set up a system that represents the needs of the entire UK.

Fourthly, in addition to immigration measures, the Bill will allow us to adapt our benefits system as we leave the EU. It will enable the UK to change the retained social security arrangements for EEA and Swiss nationals. British people living abroad will also benefit. The social security powers in the Bill will allow amendments to the retained EU social security co-ordination regime. That will help us to deliver effective support for UK nationals abroad, including pensioners living in the EU. The rights of EU nationals already resident in the UK will be protected, but the powers will allow us to rapidly respond to the outcome of negotiations and to provide reassurance to those who are affected. Any future changes using those powers will be subject to normal parliamentary procedures.

This Bill is just the beginning of our future border and immigration system. We plan to phase in that system, to give individuals and businesses time to adapt. Of course, if we leave the EU without a deal, there will be no implementation period, but we will continue to deliver on the referendum result and end free movement. The automatic right to come to the UK will stop once the Bill is commenced. We will not hesitate to take back control of our borders.

As set out in our no-deal policy paper, which I will publish later today, we will also introduce transitional arrangements to minimise any disruption. Copies of the policy paper will be placed in the Library of the House. This will ensure that we take a practical approach and that the UK stays open for business. Under the arrangements, EEA and Swiss nationals will be able to come here for up to three months without a visa. They will continue to use e-gates, as they do now, and they will not face additional checks at the border. They will be allowed to work temporarily but will need to apply for leave and pay an application fee if they want to stay longer.

We plan to grant them three years’ leave, subject to identity, security and criminality checks. That will give us the time needed to run our EU settlement scheme for EEA and Swiss nationals who are already living here and ensure that there is no sudden shock to UK businesses as the future system is put in place. But the leave will be strictly temporary. It cannot be extended, and those who wish to stay will need to meet our future immigration requirements.

The transitional period will last until 31 December 2020, when our EU settlement scheme closes, and from that point on, businesses will be expected to check that EEA citizens have an immigration status before allowing them to start work. Let me be clear: this policy does not apply to those here before exit day, whose rights to live and work here in the UK will be protected by the EU settlement scheme. We want them to stay, and we value them hugely.

Sajid Javid

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The hon. Gentleman will be aware that the Government have set out an economic analysis of the deal and exit from the EU, including in a no-deal scenario. I point him to that.

Sajid Javid

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I think the hon. Lady and I will have to agree to have different points of view. I respect her view, but I think one of the clear messages from the referendum result was that many people felt we needed an immigration system that is designed in Britain and built in Britain and which is designed specifically to meet the long-term needs of our economy and our society, and that is what we have set out in the White Paper. The independent work by the Migration Advisory Committee—the analysis it has done by looking at the immigration systems of other successful industrialised economies—shows that it is not necessary to have freedom of movement or something similar to freedom of movement in order to have a successful country and society.

Sajid Javid

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As I mentioned following the question from the hon. Member for Inverness, Nairn, Badenoch and Strathspey (Drew Hendry), it is important that we have an immigration system that represents the needs of every part of the UK, of course including Northern Ireland. In developing the White Paper, we have already talked to people from Northern Ireland—businesses, elected representatives and others—and we will continue to do so as we finalise the policy set out in the White Paper. Over the coming year, we will have a year-long engagement that will include every nation, every region and every community in the UK.

We are planning on the basis that, deal or no deal, from 2021 the future immigration system will be in place. It is right that we deliver on our promise to the people of the UK and that we legislate to end free movement, but if the future system is to be truly fit for purpose we must also learn the lessons from Windrush. We must put people first and make it easier for them to navigate the system. This work is under way, and we have already commissioned the Law Commission to review the existing immigration rules. I welcome its work to find ways to make them more accessible, and I look forward to receiving its recommendations later this year. They will help to inform the next stage of our future system, developing new immigration rules to set out that approach.

The proposals outlined in the White Paper have already prompted some debate. I have said that they are the starting point for a national conversation on what the future system should be. We will be discussing the detail with businesses, organisations and community representatives across the UK during this year, and I look forward to those conversations progressing. We are listening and we are taking our time to ensure that we get it right, but there can be only one end result. We must deliver what the British people asked for: exiting the EU and seizing this once-in-a-generation opportunity to redefine our immigration system. This Bill is a key part of that process. It ends freedom of movement and it gives us full control, building a fair and sustainable system that people can count on. It is a system fit for the welcoming and diverse nation we all love, and a system designed in the UK for the UK. I commend the Bill to the House.

Sajid Javid

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rose—

Sajid Javid

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The right hon. Lady will know that the historical review of what has been known as Windrush shows that almost half those affected were under a Labour Government. This Government have apologised for their role. Does she want to take this opportunity to apologise on behalf of the previous Labour Government for their mistakes?

The Minister for Immigration (Caroline Nokes)

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We have had a good and thorough debate this evening, and many wide-ranging issues have been raised, some of them even included in the Bill. I remember a couple of weeks ago nodding in agreement when the right hon. Member for Hackney North and Stoke Newington (Ms Abbott) spoke of the importance of tone and language when discussing immigration. She was right then, and she was right today, and I thank all Members who have spoken thoughtfully and carefully on this topic in this debate.

The views expressed in this debate demonstrate the interest in the future borders and immigration system and the importance of getting it right. We have also heard from across the House of the great contribution that immigration has made to our society, culture and economy, and the Government value that contribution very much. My right hon. Friend the Home Secretary was generous in giving way in his opening speech, and indeed the debate has drifted some distance from the contents of the Bill, but I want to reflect on the contributions of as many Members as possible.

The end of free movement will allow us to build a system that recognises and maximises all the benefits of immigration, and we will continue to welcome talent from every corner of the globe under the future system.

Caroline Nokes

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I will come to some of the hon. Gentleman’s comments in due course.

At this time, we must be an outward-looking, global nation, and as my right hon. Friend the Home Secretary indicated, over the next 12 months, we will speak to a range of businesses and organisations across the country. The right hon. Member for Hackney North and Stoke Newington raised the specific issue of Irish citizenship and deportation. Of course, the UK has always had the power to deport or exclude Irish citizens, but in the light of the historical, community and political ties between the UK and Ireland, along with the existence of the common travel area, the approach since 2007 has been to consider Irish citizens for deportation only where a court has recommended deportation in sentencing or where the Secretary of State has concluded that owing to the exceptional circumstances of a case the public interest requires deportation. This approach is to be maintained.

Coming to Back-Bench contributions, it seems fair to kick off with my hon. Friend the Member for Chatham and Aylesford (Tracey Crouch), who mentioned football at length. Of course we welcome the contribution made by sports people to the UK. Our current visa arrangements are designed for elite sports people and coaches who are internationally established at the highest level, and whose employment will make a significant contribution to the development of sport. To support the sector, the Home Office works with recognised sports governing bodies to agree on an objective set of criteria against which elite sports people will be assessed. My hon. Friend made clear the importance of the premier league, not only to our society but to our economy, and I am absolutely committed to working alongside the Football Association and the premier league to ensure that that continues.

The hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East (Stuart C. McDonald) spoke about detention, and specifically about indefinite detention. That issue was also raised by the right hon. and learned Member for Camberwell and Peckham (Ms Harman). The hon. Gentleman will be aware that 95% of those who are here without immigration leave are in the community, and I am sure that he will welcome the current Yarl’s Wood community pilot scheme. We are working with 12 women who would otherwise be in Yarl’s Wood to ensure that they are being supported. There is, of course, an automatic bail referral requirement for people who have been detained for four months, and we are now piloting a referral after two months. That will provide the judicial oversight for which so many have called.

The right hon. and learned Member for Camberwell and Peckham spoke passionately about detention. It is seldom that I say this, but I greatly enjoyed the opportunity to appear before her Select Committee, the Joint Committee on Human Rights, a couple of months ago. We had an interesting and challenging discussion about detention, and I hope I convinced her and her Committee that we are thinking very hard about the issue. It is right that we work to make the correct decisions, but detention remains part of our immigration policy. It is important for us to work on the immigration bail pilots and, of course, on detention in the community.

My right hon. Friend the Member for South Holland and The Deepings (Sir John Hayes) spoke about the conventional view that we should have one immigration policy for the whole United Kingdom, and I absolutely agreed with what he said.

Caroline Nokes

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I am sorry, but I am not going to give way. I am conscious that I am very time-limited.

My right hon. Friend the Member for Broxtowe (Anna Soubry) made a point very early in the debate about fairness and language, and about the importance of not conflating asylum with immigration routes. She was, of course, absolutely right. I sometimes find it hugely frustrating when people conflate the terms “asylum seeker” and “refugee” and “economic migrant”. I have said before that we must be careful with our language, and the Home Secretary responded to my right hon. Friend’s intervention with an important observation about language and tone.

I am well aware that there are strong and passionate views about immigration on both sides of the House. I am grateful to my hon. Friend the Member for St Austell and Newquay (Steve Double) for saying, quite rightly, that we needed to have a mature and constructive debate, but he was also right to draw attention to issues in certain sectors of the economy. With that in mind, we are having a year of engagement on the White Paper, talking to representatives of different industries. My hon. Friend referred to agricultural workers in particular, but also mentioned the hospitality and tourism industry, which is so important to his constituency.

My hon. Friend the Member for Saffron Walden (Mrs Badenoch) spoke about migration from a non-EU perspective, and said that it was a global issue. She is absolutely right, and in the discussions that I have had with EU representatives—and, indeed, in my discussions last week with French representatives in Calais—they were keen to emphasise that migration could not be seen in isolation. We must look at the root challenges, and work together. When we leave the EU, we will continue to work with our friends and neighbours on the other side of the channel.

The hon. Member for Westmorland and Lonsdale (Tim Farron) said that we were making immigration policy with the slash of a pen, but he was far from correct. I would argue that he was whipping up scare stories when he tried to convey the message that the Government had said that EU citizens were not welcome. That directly contradicted the messages given in the House time and again by my right hon. Friend the Prime Minister, by my right hon. Friend the Home Secretary, and indeed by me. We want our EU neighbours, friends and colleagues to stay, and we have not only made the settled status scheme as straightforward as possible, but—as the right hon. Gentleman will now know—have made it free.

The right hon. Gentleman also spoke about asylum seekers having the right to work, and went so far as to suggest that my right hon. Friend the Chancellor of the Exchequer was more interested in the subject than I was. I would like to reassure him that just this morning I had a meeting with Stephen Hale from Refugee Action on this subject, and indeed on 24 October last year my right hon. Friend the Member for Meriden (Dame Caroline Spelman) held a debate on this subject in Westminster Hall, to which he did not contribute.

It is important that we look at the NHS, and several Members, including the hon. Member for Birmingham, Edgbaston (Preet Kaur Gill), spoke about NHS workers—nurses and care workers—and it is important that we continue to work with the Department of Health and Social Care to make sure there are sufficient routes into the NHS for those who contribute so much. I am very conscious that there are now 4,000 more EU workers working in our NHS than in 2016, and the hon. Lady will remember that last summer we lifted doctors and nurses out of the tier 2 cap threshold.

The hon. Member for Bristol West (Thangam Debbonaire) spoke about Refugee Action. She will know that I have a great deal of time and respect for her and the issues she has raised, and I hope very much to continue learning from her and the hon. Member for Stretford and Urmston (Kate Green); they often come as a tag team to give me a very hard time, but they do so with such charm and determination that I am sure we will continue to engage effectively with them. In the same way, through our engagement process we will continue to listen to businesses large and small, sectors like the universities, the National Farmers Union, the Royal College of Nursing and the CBI, which we have been doing to date, because of course the conversation on immigration has not simply started over the course of the last few weeks, but has been going for well over a year.

The hon. Member for Na h-Eileanan an Iar (Angus Brendan MacNeil)—he knew I would get to him eventually—has spoken at length about voodoo politics. I have tried to take a positive out of something that everyone has said, and, given the headache I took tablets for earlier, I am sure he had his pins stuck into a voodoo doll of me. To add a little bit of levity, however, he would like to hold up Switzerland as an example of how individual cantons can run their own immigration policies, and indeed they can, but I gently draw his attention to the case of Nancy Holten, a vegan anti-cowbell campaigner who twice had her application for a Swiss passport refused by a referendum—we all know how keen we are on those in this place—and I am far from convinced that that is an effective immigration policy.

I am running out of time, but I would like to mention the contribution of my hon. Friend the Member for Brentwood and Ongar (Alex Burghart), who spoke so movingly about his father-in-law the late Sir Reginald Eyre. As for the words of a Whip ringing in our ears, “There’s a vote; don’t you dare”, well, apparently Her Majesty’s Opposition have decided that there is a whip and they do dare.

The hon. Member for Birmingham, Yardley (Jess Phillips) has on many occasions had fairly brutal conversations with me and has raised some very important cases, which I will continue to work with her on; she does not shy away from tackling the difficult. She raised the issue of Henry VIII powers and the immigration rules. Of course, historically since the Immigration Act 1971 the immigration rules have been used to firm up immigration policy by Governments of all parties, and we will undoubtedly continue to do so, but if anybody thinks these do not get scrutinised, I would point them to the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East (Stuart C. McDonald), who always gives me a very hard time whenever immigration rules make it to a debate in Delegated Legislation Committee.

I fear that I have reached the end of my comments. I welcome the remarks about Rabbie Burns—a little bit of Scottish poetry always goes down well—and I reinforce the message that this has to be an immigration policy for the whole United Kingdom. We have set out powers that will enable us to make amendments to primary and secondary legislation, but that is crucial in ensuring that we align the treatment of EU and non-EU nationals and that UK law can operate effectively.

Let me conclude by thanking the hon. Member for Hornsey and Wood Green (Catherine West) for raising the tone of the debate. She spoke carefully and thoughtfully, and that makes a huge difference. We want an immigration system that works for the whole UK and we will be continuing the engagement. We will also phase in that system, recognising the importance of giving individuals, business and, indeed, Government, the time to adapt. I commend the Bill to the House.

Question put, That the Bill be now read a Second time.

The Minister for Immigration (Caroline Nokes)

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Q I have a number of questions. Professor Manning, thank you for your hard work on the various reports, and indeed your ongoing work on students and on the shortage occupation list. In your report you veered away from sectoral schemes. Would you expand on which sectors of the economy you think might be most impacted by the end of free movement? Why do you suggest that sectoral schemes are perhaps not the solution?

Professor Manning: The proposals are mostly going to affect those sectors that have relied heavily on lower-skilled EEA workers: food processing, hospitality, warehousing and transport. It is not care assistants, for example, who account for a lower fraction of EEA migrants than the national average. It is not the NHS, which has a lower fraction of EEA migrants than then national average. There is also agriculture. Our view is that if you have a special scheme for a sector, you are giving that sector privileged access to labour; you are preferring that sector over some other sector. Generally, we think there should be a level playing field of competition, particularly in lower-skilled sectors. It is reasonable to think that people working in hospitality might also work in retail and so on, and those sectors should be competing for workers.

The one exception is that we did recommend a seasonal agricultural scheme, because seasonal agricultural workers are 100% migrant at the moment. No other sector gets close to that. We do not think it is realistic to fulfil seasonal work with a resident settled population. That is the one exception, but generally we do not see a strong argument for giving preference to one sector over another, particularly when that sector may use that privileged access simply to keep terms and conditions worse than they would otherwise have to be in the wider labour market.

Caroline Nokes

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Q I am conscious that the Migration Advisory Committee has, over many years, given close thought to the whole issue of migration, particularly when it comes to free movement and the analysis of the impact that has, and will have. What role do you see for the Migration Advisory Committee going forward?

Professor Manning: There was a page or two in the White Paper about expanding the role of the Migration Advisory Committee. We particularly welcome two aspects of that. First, we have more independence, in a way, to set our own agenda at times, and not just take commissions from Government. Secondly, a big issue is the availability of data. We strongly feel that at the moment—this is very long standing—there is insufficient evaluation of policy. When a policy is announced there is really not that much follow-through, looking at what exactly the impact of the policy was. Did it actually achieve what it set out to?

Caroline Nokes

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Q I have a final question for you, Professor Manning, on shortage occupation lists. We have heard about shortages in the care industry and other parts of the economy. Do you see the SOLs, and potentially regional shortage occupation lists, as one mechanism by which you can resolve those challenges after the end of free movement?

Professor Manning: Potentially. At the moment we are doing some work on the shortage occupation lists, although that is within the current system, so it is eligible only to graduate-level occupations. It is really important that it is used in a discerning way. It is not a solution to generalised shortages of labour; it is for targeted solutions to particular bottlenecks in the economy. When a sector reports a shortage, it is always really important to ask why it has a shortage, and why migration is the only solution to the problem. For some of the sectors that we have been talking about, the answer is really due to a failure to offer jobs that are sufficiently attractive in the domestic labour market. In such cases, we are not clear that migration would not actually worsen rather than alleviate the problem.

Caroline Nokes

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Q Thank you. Professor Ryan, thank you for your really extensive written evidence, and for the thought that went into it—it is very impressive and helpful. I want to talk to you a bit about the settled status scheme, and whether from a legal perspective you think that the rights of EU citizens would be best enshrined in this Bill or in a specific vehicle, namely the withdrawal Bill, which will encompass all the elements of the withdrawal agreement should we get that agreed by Parliament.

Professor Ryan: I think I have made the point that, if there is not a deal, there is a difficulty with relying on subsequent legislation that may never come. There may be a case for making provision just for that scenario in this Bill. If there is a withdrawal agreement that is then implemented through legislation, one has to recognise that the settlement scheme is, in many ways, more generous than the withdrawal agreement. It has taken out the requirement for qualifying conditions to be met by EU citizens, and the approach to evidencing residence is pretty open.

The question arises: would the second Bill actually protect everyone who is in the settlement scheme? I would hope that, in the end, anyone who gets recognised through that scheme can rely on those rights, and that, even if they are not covered by the withdrawal agreement, anyone who gets recognised through that scheme, without fraud and misrepresentation, has statutory protection for their position going forward.

There is a separate issue about people who do not apply. I have already said that I do not really understand why we have to have a hard deadline. One could imagine—in either Bill, I suppose—legislation ensuring the right to come back at a later date to apply, for those who are entitled to do so.

Caroline Nokes

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Q The settlement scheme is already up and running in public testing mode now. The legislation is in both secondary legislation and immigration rules. I concur with you that it is important to have it in primary legislation. Do you see any legal difficulty with the status quo prevailing, where the scheme is open, and we have it enshrined in secondary legislation, albeit not primary? Does it matter if there is a timing gap?

Professor Ryan: I am sorry, but I did not quite follow the question.

Caroline Nokes

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The settled scheme is up and running. We are awarding EU citizens their status, and we have achieved that by secondary legislation; we laid various statutory instruments that enabled us to open the settlement scheme. Whether as part of the withdrawal Bill or potentially as part of this Bill, do you see any challenge whatsoever with a gap between the end of free movement and the rights of individuals through the settlement scheme being enshrined in primary legislation?

Professor Ryan: Do you mean a gap with regard to timing?

Caroline Nokes

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Yes.

Caroline Nokes

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Q We have three minutes to go, and I will try to give you time to answer, Lord Green. We have heard from employers’ groups, among others, that what they want from a future immigration system is simplicity, and of course free movement has the advantage of being very simple. Do you think that simplicity is important, or would you prefer to see a much more complicated scheme, perhaps such as what you have just begun to outline, with differential costs of visas depending on which year of stay people are in?

Lord Green: I think simplicity is important, but effectiveness is more important. If you have a system that is wide open to these middle skills, you will lose control of the numbers. What you have to do, given that you cannot follow everyone around the country to remove them after x years, is to put a financial burden or incentive on employers to train the replacements that we need.

Caroline Nokes

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Q A number of members of the Committee asked about flexibility and meeting the future needs of the economy. How important do you consider it to be that we should have a future immigration system that allows a level of flexibility?

Lord Green: The main flexibility is the free market system, where wages go up and attract people into the places where they are needed. Where you do not have that financial incentive, it does not happen. We should allow the market system to work. Indeed, as Professor Manning said, if your first reaction to a shortage is to produce immigrants, you will never deal with the shortage and you will never improve the working conditions of those who are already in that industry.

Caroline Nokes

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Q Taking the £30,000 threshold as suggested by MAC, do you see a case in which, potentially, that could go up year on year?

Lord Green: Did you say £30,000?

Caroline Nokes

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Yes.

Lord Green: Possibly. I don’t know. It depends on what happens. But I think that the £30,000 is a sensible level, and it does mean that you are then dealing with highly skilled people. I would not want to lower it, and there may be a case for raising it as time goes on.

Caroline Nokes

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Q Do you think that salary level is always necessarily a proxy for skill?

Lord Green: Not always, but it is not a bad proxy. It is probably the best you have.

Caroline Nokes

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Q I am sure that Hansard will correct me if I misheard you, but I think you said very early on in your evidence that short-term visas inevitably lead to exploitation. Do you think that the same holds true for seasonal agricultural worker schemes, or perhaps the tier 5 youth mobility schemes?

Chai Patel: I think so, yes. Any kind of scheme relating to someone’s rights in respect of continuing work, changing employment or changing the sector in which they are employed will result in exploitation, because they have fewer rights to move between employers than British nationals.

Caroline Nokes

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Q Is it your contention that we should not have an agricultural worker scheme, and should perhaps seek to do away with tier 5?

Chai Patel: I would have to think about that. Perhaps we can respond in written evidence later. I am afraid I have not thought that through.

The Minister for Immigration (Caroline Nokes)

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Q Professor Kinnair, I have a question on shortage occupation lists and the removal of doctors and nurses from the tier 2 cap. Notwithstanding the £30,000 threshold, do you see the shortage occupation list and a lower salary threshold as a potential solution to that?

Professor Dame Donna Kinnair: I think it possibly would be a solution to that; I think you are right. But we have “Agenda for Change” for a reason: so that we have a national approach to salaries. Why would we then treat people coming in from overseas differently? We know that our salaries are not high enough to live on in this country. Why would we be starting to think that it is okay to lower it to £20,000, £18,000 or some arbitrary sum that people cannot live on in this country?

Caroline Nokes

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Q I have a question for Vivienne. We know that last year the number of applications from international students rose by 9%. I want to clarify your comment that EU students have a lot of choice. We will agree on that. They can go all over the continent for their university education. The phrase you used was, “We seem to make it difficult for them to come”. But we have free movement, so is that us—the Government—making it difficult for them, or is it the universities?

Vivienne Stern: With free movement there is a distinction between EU nationals and non-EU nationals. The 9% increase is in visa applications.

Caroline Nokes

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Q It is, but we know that the numbers are up. You specifically referred to EU students and said that we make it “difficult for them to come”. How?

Vivienne Stern: My comment about making it “difficult” relates to non-EU students. It refers to the visa system.

Caroline Nokes

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Q So you were not talking about it in the context of EU students having a lot of choice?

Vivienne Stern: What I am suggesting is that should EEA nationals find themselves in a system such as the one that currently applies to non-EU nationals, we would be making it less attractive compared with the many other high-quality destinations they could choose within Europe, where there would not be such a visa hurdle.

Caroline Nokes

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Q Can I just clarify that Universities UK has long lobbied for more generous post-study work visas. Those proposals are included in the White Paper. What calculations have you made on how many more students you expect to see on top of the 9% increase in visa applications we saw last year?

Vivienne Stern: The White Paper proposals are really welcome. It is great that the Government have acknowledged that we need to create more generous post-study work opportunities, and not only for Masters and PhD students—as recommended by the MAC—but for undergraduates. It does not quite achieve what we suggested needed to be achieved. I may betray my age by saying that this is a Cuprinol test question. When you are a student and thinking, “Do I go to the US, or maybe Australia or the UK”, we believe you ought to look at the visa regimes—

Caroline Nokes

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Q I think you have both mentioned the Law Commission review and its publication of the consultation paper on how the immigration rules could be simplified. You will not get any argument from me about the idea that the rules could be simpler. I wondered whether you had both responded to that consultation, and whether—in as short a period as possible—you could set out any specific simplifications that you have asked for?

Jodie Blackstock: We did not respond to it, but we have spoken to the Law Commission in general about the need for simplification of procedural rules for people across the justice system. Our report “Understanding Courts”, which we produced a couple of weeks ago, calls for simplification so that litigants in person—or anyone seeking to use our justice system—can understand the system. The fact that immigration rules can be amended so swiftly and there is no requirement for primary scrutiny of those changes is problematic, but at the same time we accept that the rules deal with an incredibly complex set of arrangements, so some careful thought will be required about how to simplify those rules.

Gracie Bradley: Liberty did not respond to that consultation.

Caroline Nokes

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Q Simplification could be something along the lines of ending free movement and bringing EU citizens in line with the rest of the world. Do you think that is a welcome simplification?

Jodie Blackstock: As I said in response to a previous question, Justice would not take a view on whether it was appropriate simply to remove the free movement process entirely and have the scheme that applies to third countries. Our concern is to ensure that people who are caught in the gap between those two schemes have their rights protected, if they currently exercise such rights, and that they are able to access the replacement scheme, whatever it may be, in a way that is clear and fair, and is subject to appropriate appeal.

Gracie Bradley: In general, it is not in Liberty’s remit to comment on people’s ability to come in and out of the country. Our remit does not really touch on that, and we do not have a view on the end of freedom of movement per se, so I cannot really comment on that.

Caroline Nokes

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Q I have a final question on data and data sharing. I am going to gently correct something Ms Blackstock said about the settled status scheme: it is now in its public testing phase, so it is open for anyone to apply—it is not limited cohorts any more. We know from phases 1 and 2 that in excess of 80% of the people who have been through the process and been granted settled status have achieved that without having to provide any additional information on top of their records with Her Majesty’s Revenue and Customs or the Department for Work and Pensions. Is there a case to make that in some instances when Government share data across Departments, it can be a force for good?

Gracie Bradley: Yes. I really want to reiterate that Liberty is not opposed to data sharing per se, because that would be a somewhat luddite position. Where data sharing makes people afraid to access the central services that are necessary for the exercise of their fundamental rights, we would say that that is a problem, and that there should be a firewall between those essential services and Home Office immigration enforcement. However, the services that I have in mind are, of course, things such as education, healthcare and the ability to report crimes to the police. I am not really thinking about DWP or HMRC stuff, because I would not say that that is necessarily to do with essential services that relate to people’s exercise of their fundamental rights. We are not against all data sharing, but we are very concerned about some data sharing, where it stops people from accessing their fundamental rights.

Caroline Nokes

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Q Thank you very much, Sir David. At various points earlier today, we heard suggestions that short-term visas and short-term contracts were inevitably exploitative. Does the CBI have a view on that?

Matthew Fell: I do not believe that short-term visas and short-term contracts are linked to exploitation. I think it is more a recognition of the way the world works today. Many businesses are done on a contracting basis, as well as a longer-term basis, so I do not recognise the link between the two.

Caroline Nokes

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Q Would the CBI therefore support a seasonal agricultural workers scheme, for example, and do you see any other sectors that might benefit from something similar?

Matthew Fell: Our starting approach on that has been to say, “Could we look to design a system that works for all parts of the country and for all business sectors?” Working towards that is our ideal goal. That would be our preference before reaching for carve-outs for different industry sectors.

If that aim cannot be achieved—we know that seasonal agricultural workers are very important for the sector—and if that is the best solution that we can arrive at, clearly it has a part to play alongside a reformed and simplified system. However, our preference is to get the overall system right in the first instance in a way that works for everyone.

Caroline Nokes

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Q I am conscious that we invited the Scottish CBI to come and give evidence, but it deferred to you and said it was happy that you would be able to represent its views. Was there anything specific that you would like to say about either regionality more generally or Scotland in particular?

Matthew Fell: I have made remarks about recognising different wage levels in different parts of the country and so on. I refer people to my colleague who gave evidence in Holyrood earlier today. There will be quite a bit on the record from that evidence session if you would like to tap into the Scottish-specific dimensions to it.

Caroline Nokes

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Q Fabulous. I am sure we will. I was interested in your comments on a local labour market test. You will be conscious that in the White Paper are proposals to remove the requirement for a resident labour market test. Do you not support that?

Matthew Fell: Overall, I think we do support the removal of the resident labour market test. I was just illustrating that, if there is a desire to provide a sense of greater control of migration, you can use different mechanisms to provide that control that we think would provide the right balance between openness and the public assurances that are sought on control. It was an example of another mechanism to achieve it, but we do support the removal.

Caroline Nokes

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Q Earlier today, we heard concerns about those employed in the agricultural sector, both from the Joint Council for the Welfare of Immigrants and the TUC. Would you say that agriculture is a more exploitative industry than others?

Meri Åhlberg: Part of the problem in agriculture is that people tend to be quite isolated in their working environment, because they are often employed on farms that are far from cities and they might not have transport options. That is definitely one of the contributing factors. There are also a lot of other factors. That was recognised in the past when there was the Agricultural Wages Board. In the ’80s, when most of the wages boards were eliminated, the Agricultural Wages Board was kept, because it was recognised that there were specific vulnerabilities in agriculture, for instance the fact that crops can fail or there might be bad weather and workers needed to be protected against not being paid in those cases. So yes, I think there is.

Caroline Nokes

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Q Do you think workers’ protections are best secured through immigration policy or through a range of other Government Departments and tools? How could we better work with the Department for Business, Energy and Industrial Strategy, the Department for Work and Pensions and the Department for Environment, Food and Rural Affairs, for example, to secure that?

Caroline Robinson: Workers’ protections are best secured through the promotion and protection of labour rights. Immigration policy can serve to undermine the rights of workers—for example, the absence of routes to access justice for undocumented workers, the limitations on undocumented workers coming forward to report abuses and exploitative practices against them for fear of immigration repercussions such as those I have just mentioned, and the offence of illegal working—and there can be an undermining influence from things such as short-term visa schemes. If protections are not put in place, there is a real risk of exploitation.

As I have mentioned, we advocate for the role of labour inspectorates and labour market enforcement in promoting, protecting and upholding labour rights, along with a number of other measures. For example, Meri mentioned access to a complaints line being crucial so that workers can report abuse against them, but we also need strong, proactive labour market enforcement. We have advocated for a 60% focus on proactive operations for labour market enforcement bodies, and a 40% focus on reactive operations. We are very grateful to the Government for recognising that in their response to the director of labour market enforcement’s annual strategy last year.

Caroline Nokes

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Q We have taken on board FLEX’s position that there should not be a seasonal agricultural worker scheme. You will have heard about the pressures from organisations such as the National Farmers Union, and the comment this morning from Alan Manning, who I think pointed to parts of the agricultural sector being 100% reliant on labour that has come in from overseas. How can we best make a SAWS scheme that works to protect the rights of those individuals who are coming in through the scheme, and perhaps protects them from the burden of costs? You have been clear about the costs that might be imposed on workers, but the message I got from the NFU last Friday was that they are concerned about the burden of costs being shifted very heavily, not on to the labour providers but on to the farms themselves. Those farms might be in the position of paying up-front costs of £1,000 per worker, just to make sure that they come in and are part of the scheme.

Meri Åhlberg: As Caroline said earlier, we recognise that if these schemes are being brought in, they need to be made to work as well as possible for workers, and there are definitely protections that can be put in place. One of the key ones is that workers have to be able to change employers freely, under reasonable terms. Wages and standards should be set together in a tripartite way, together with trade unions, Government and employers, so that considerations that are particular to agricultural workers are taken into account.

There is already good work in the agricultural sector, such as the Gangmasters and Labour Abuse Authority licencing labour providers. Anyone who wants to bring workers into the UK, no matter whether they are in the UK or overseas, has to have a licence and to follow specific terms and conditions. Those conditions include, for instance, the fact that they are not allowed to charge recruitment fees. We need to make sure that the GLAA can properly licence overseas recruitment agencies, and that they have the resources and capacity to do so. Currently, for example, if the seasonal workers pilot is being opened to all countries outside the EU, that becomes a monumental task. Making sure that the GLAA is able to do that task, and has the resources and capacity to do so, is crucial.

Caroline Robinson: We also have to recognise the real risks to those workers. That is why I was talking about a complaints mechanism: establishing something like a 24-hour multilingual hotline for those workers, so that we can make sure that we get to those workers who are most vulnerable and in need of assistance, would really help.

Caroline Nokes

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Q Do you think that is a protection that would be best put in place by the Home Office as part of immigration policy, or by some other organisation?

Caroline Robinson: The complaints mechanism, or the—

Caroline Nokes

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The complaints mechanism, because this Bill is specifically about turning off free movement and the role that immigration policy has to play. Do you think the Home Office is best placed to do that?

Caroline Robinson: You are right that possibly the Home Office is not best placed to do that. It holds a twin role with BEIS hosting the director of labour market enforcement, so it has some engagement in labour market enforcement and oversight. You are right, there could be a BEIS role.

The Minister for Immigration (Caroline Nokes)

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It is a pleasure to serve under your chairmanship, Mr Stringer, and that of your co-Chair, Sir David Amess, who took us so ably through the evidence sessions the week before last.

At the outset, I would like to emphasise the importance of the Bill in delivering the future border and immigration system. It was clear from the EU referendum, from the many views shared on Second Reading and from the Committee’s evidence sessions that people want a fair immigration system that works for the whole United Kingdom—a system that attracts talent from around the globe and allows individuals to access the UK based on what they have to offer, not where they come from.

We heard many important views about the current and future border and immigration systems from witnesses who gave evidence before the Committee two weeks ago, as well as from organisations that provided written evidence. I am grateful to everyone who took the time to provide their opinions. The views that were put forward demonstrated a strong interest in a wide range of immigration issues, as well as in the specific design of the future system. The evidence highlighted the importance of learning lessons from the past and ensuring we get things right.

A clear message emerged about the need to create a fair and simple system, and those are key priorities for me in the design of the future system. As I have said previously, I recognise that the immigration rules need to be made simpler. That is why we have asked the Law Commission to review how the rules could be simplified. I look forward to considering its findings when they are published.

Leaving the European Union means that, for the first time in more than 40 years, we can deliver control of immigration by ending free movement. In its place, we will introduce a new system, which will level the playing field by ending preferential treatment for EU citizens. It will mean that everyone has the same opportunity to come to the UK, regardless of where they are from.

Caroline Nokes

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The Bill certainly does set out that people will be treated in the same way, because it is a Bill simply to end free movement. The White Paper, which was published on 18 December, gives us the opportunity to discuss the future system and how people from across the globe may be treated. It gives us the opportunity to discuss whether trade deals might include treatment within our immigration system. It is important that we have a system that reflects people’s skills and what we need in our economy. This Bill, through which we are seeking to end free movement, is an opportunity to start to provide that level playing field.

Caroline Nokes

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This is an opportunity for Members to express their views about the future immigration system. Far from giving the game away, the White Paper is an opportunity, and we have said that there will be a year of engagement on it during which we will consider all views. We already have a system in which nationals from some countries require visas for visits and others do not, and we will be seeking to establish relationships. All such matters will be for future negotiation and discussion. It is absolutely right that, as a first step in the process, we listen to what we were told in the 2016 referendum and end free movement.

I want us to continue to be an open, outward-looking and welcoming country. I reiterate what I and my right hon. Friend the Home Secretary have said many times: we value immigration and the contribution that people have made to our society, our culture and our economy. There are many people, including hon. Members on this Committee, who are rightly interested in the design of the future system. That is why we are engaging on the proposals set out in the White Paper, “The UK’s future skills-based immigration system”. That will include sessions that are open to all MPs to discuss specific points of interest on the proposals. In the past few weeks, I have held engagement sessions with Members on students and workers, and in the coming days there will be another one on asylum.

The purpose of the Bill is clear: we are ending free movement and providing the legal framework for the future border and immigration system. Clause 1 introduces the first schedule, which contains a list of measures to be repealed in relation to the end of free movement and related issues. The clause fulfils a purely mechanistic function to introduce the schedule. It is the bare bones of the Bill. I look forward to debating it further with hon. Members, who may address certain aspects of it in amendments that undoubtedly will be tabled to other parts of the Bill. To get matters under way, I commend clause 1 to the Committee.

Caroline Nokes

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A good number of useful and interesting points were raised by hon. Members. I just want to start by correcting one point made by the hon. Member for Manchester, Gorton who said it was a fact that free movement would end when we leave the single market. Free movement, as hon. Members know, was frozen into UK law last year, which is why we need the Bill so that we can end free movement, which will not happen automatically when we leave the EU.

Hon. Members are right to point out that there may be a gap. There could be a gap either way. It is perfectly feasible that the Bill will not gain Royal Assent until after we leave the European Union and it is certainly possible to envisage the circumstances in which the Bill might gain Royal Assent before we leave the EU. It is an important Bill and, although I have been accused of putting the cart before the horse, that is not the case. It is not premature; it is something that we must do.

Several hon. Members raised the rights of the 3.5 million EU citizens living in the UK and were absolutely right to do so. They will also know that we hope very much to address that in the withdrawal agreement Bill in the event of a deal. I am probably one of the few in the room to have voted consistently for the deal every time it has come before the House [Interruption.] Okay, they are all raising their hands now. I certainly have done. It is really important that we secure a deal and, in so doing, have the withdrawal agreement. I will have the joy of also serving on that Bill Committee and will take through the citizens’ rights principles that we are determined to secure.

I do not intend to bore hon. Members on this subject but it is one of my favourites. They will know that we opened the EU settled status scheme last year in its first trial phase. We are now into the third open beta testing phase. I am not in any way complacent about that. These large projects are opened in private beta testing first in order to iron out the bugs, problems and issues that may crop up. It is fair to say that there have been issues, but we have been able to learn from the process and react relatively quickly to iron them out. I am pleased that so far 100,000 people have gone through the process and more are applying every single day.

That does not mean that I am not alive to the challenges that are part of that. Obviously, 3.5 million is an enormous number and 100,000, although a good start when not even in the open phase of the scheme, is encouraging but I know there is a great deal more to do. I am sure hon. Members will be reassured by the fact that we will open the communications programmes very shortly.

Caroline Nokes

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The hon. Gentleman raises an important point. If we have learned one thing from Windrush—and I sincerely hope we have learned many—it is that a declaratory system that does not give people the evidence they need to be able to affirm their right to be in the UK, to work and own property, does not work. That is why we have a scheme that I am confident will give people the evidence they need so that we can avoid a position whereby EU citizens who are here and settled are in the same situation in the future. I am conscious—Members may have heard me say this in Select Committees—that there will be children of EU citizens living in this country today who are well under the age of 16; some will be one or two years old. The hon. Member for Wirral South mentioned an ageing population and longevity, but while we in this room might be lucky to get to our late 80s, there are children who will live to 100 or 110. It is therefore important we have something that is enduring and enables them to evidence their right to be here for a century or more.

Caroline Nokes

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I disagree. If we look back to the Immigration Act 1971—I have become quite familiar with that Act over the past year in this job—it put the right of the people of the Windrush generation to be here in statute, but it did not provide them with the evidence they needed to demonstrate that. It is important we learn that lesson and make sure we do not repeat the mistake for our EU citizens.

Caroline Nokes

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Through the EU settled status scheme, we have provided people with the mechanism via which to demonstrate that. I have confidence in the mechanism. I recognise the challenges, some of which we heard in the evidence session two weeks ago. I am determined we get that right and make it a system that people will engage in, take part in and be able to evidence their status.

Caroline Nokes

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The hon. Gentleman will be aware that the Home Office is seeking to move to digital by default in many of our processes. I recognise that this is the way forward. I spent a very happy six months at the Cabinet Office as the Minister for the Government Digital Service, recognising that the delivery of services digitally is the way forward. With the digital right-to-work checks and the roll-out of the digital right-to-rent checks, we already have a system that makes sure the individual employer or landlord can see only the evidence to which they are entitled, rather than having a biometric card that lays out all a person’s details. It can be tailored so the potential employer gets to see only the evidence of the right to work. I believe that the system works well and when I showed it to the landlords’ representative panel, they engaged with and were enthused by it. It has also worked well for employers. Digital status that is backed up and can be evidence going forward, simply and easily, is much better than a document that potentially contains the risk of fraud and that might need renewing every 10 years, in the same way we have to renew our passports.

This is the Bill that will end free movement. That is not the role of the withdrawal agreement Bill, which is where we will enshrine citizens’ rights.

Caroline Nokes

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The hon. Gentleman is right to point out that reciprocity is key—it is crucial. Although we have it within our power to legislate to protect the rights of the 3.5 million here, we do not have the right to legislate in France, Germany or Spain. I am absolutely conscious of the very real concerns. We heard some of them in the evidence sessions, but I have also met repeatedly with representatives of those who live in EU member states, who are concerned.

Caroline Nokes

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Opposition Members never, I think, let me get away with anything without proper scrutiny. The hon. Lady knows that I want to see the withdrawal agreement Bill passed. That is an important step. I am most enthusiastic and keen—nay, desperate—for us to get a deal; it is crucial that we do so, but I still firmly hold that the withdrawal agreement Bill, rather than this Bill, which is a straightforward Bill to end free movement, is the place to enshrine those rights. This Bill’s powers on free movement will of course be required both in the event of a deal and in a no-deal scenario, but they will be used differently if we have a deal, in which case the withdrawal agreement Bill will provide protections for the resident population.

The power in clause 4, which we shall probably come to later today, is similar to that found in other immigration legislation, and can be used only in consequence of or in connection with part 1 of this Bill, which is about ending free movement. I therefore do not believe there is a risk that it could be used to change immigration legislation for non-EEA nationals in ways unconnected to part 1 of the Bill.

Let me say in response to the hon. Member for Stretford and Urmston that we have been clear that, after our exit, there will be no change to the way that EU citizens prove their right to work. They will continue to use a passport or an ID card until the future system is in place.

I have been clear that we will engage widely on the future system, which will come in after 2021. It will be a skills-based immigration system, which enables us to move forward, absolutely accommodating the needs of our economy, I hope—I have been candid about this since my first day in the Home Office—in a much simpler way. We are confronted with 1,000 pages of immigration rules, so there is certainly the opportunity to simplify enormously. I do not pretend that I have it within my power to “do a Pickles” with the immigration rules by doing the equivalent of his tearing up 1,000 pages of planning guidance and reducing it to the national planning policy framework, but we have to move forward with a system that is far simpler and easier to understand than what we currently have.

Caroline Nokes

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There is a terrible phrase, which I really dislike using: “statutory excuse”. If an employer has seen evidence—an EU passport or ID card—that indicates that somebody has the right to work in the same way as they do now, that provides them with the protection that the hon. Lady seeks.

Caroline Nokes

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I think I responded to that point a few moments ago. We do not consider there to be a risk that the power could be used to change immigration legislation for non-EU nationals in ways that are unconnected to part 1 of the Bill. Part 1 is specifically about ending free movement.

Question put, That the clause stand part of the Bill.

Caroline Nokes

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I thank hon. Members for raising important issues linked to Irish citizens. It is important to recognise that British and Irish citizens have enjoyed a particular status and specific rights in each other’s countries since the 1920s as part of the common travel area arrangements.

Clause 2 will protect the status of Irish citizens. When free movement ends, it will allow them to continue to come to the UK without requiring permission and without any restrictions on how long they can stay. British citizens enjoy reciprocal rights in Ireland. The clause will provide legal certainty and clarity for Irish citizens by inserting new section 3ZA into the Immigration Act 1971 to ensure that they can enter and remain in the UK without requiring permission, regardless of where they have travelled from. That is already the position for those who enter the UK from within the common travel area, but Irish citizens who travel to the UK from outside the CTA currently enter under European economic area regulations. The clause will remove that distinction by giving Irish citizens a clear status.

I turn to the amendments tabled by the hon. Members for Cumbernauld, Kilsyth and Kirkintilloch East, and for Paisley and Renfrewshire North. Amendment 29 would establish in legislation that the immigration rules cannot treat family members of Irish citizens differently from family members of British citizens. The common travel area arrangements have never included rights for the family members of British and Irish citizens. That is an approach that we intend to maintain, but the unique status of Irish citizens means that they are considered settled from the day on which they arrive in the United Kingdom. Irish citizens in the UK can therefore sponsor family members, in the same way as British citizens can. That is the position for those of all nationalities within the UK who are settled.

I also note that Irish citizens, in line with other EU nationals, can be joined in the UK by family members under the terms of the EU settlement scheme, but the amendment would prevent that. To be clear, Irish citizens are not required to apply for status under the EU settlement scheme to benefit from the family member rights, but they may apply if they wish. Under the settlement scheme in a deal scenario, close family members who are not already resident in the UK will be able to join an EU citizen—that includes Irish citizens—under the same conditions as now, where the relationship pre-existed the end of the implementation period. I therefore ask the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East to consider withdrawing his amendment for the reasons that I have outlined.

Amendment 28 would introduce additional provisions regarding the deportation and exclusion of Irish citizens and their family members. I will use this opportunity to reiterate our approach to deporting Irish citizens in light of the historical community and political ties between the UK and Ireland, along with the existence of the common travel area. Irish citizens are considered for deportation only if a court has recommended deportation following conviction or if the Secretary of State concludes that, because of the exceptional circumstances of a case, the public interest requires deportation. We carefully assess all deportation decisions on a case-by-case basis, taking into account all the facts of the case.

In response to questions asked on Second Reading, I confirmed that the Government are fully committed to maintaining this approach. In that regard, Committee members will have noted that we are making provision to ensure that once we leave the EU, Irish citizens will be exempt from the automatic deportation provisions for criminality in the UK Borders Act 2007. That exemption is contained in the Immigration, Nationality and Asylum (EU Exit) Regulations 2019, which were laid before the House on 11 February. Therefore, proposed new subsections (6) and (8) are not needed.

As I have outlined, the UK’s approach is to deport Irish citizens only in exceptional circumstances or where the court has recommended it, which means that a family member of an Irish citizen would not be considered for deportation unless a deportation order was made in respect of that citizen in line with our approach. I also emphasise that the common travel area rights have always provided solely for British and Irish citizens. They have never specifically extended to the family members of British or Irish citizens, and we intend to maintain that approach.

With proposed new subsection (8) in mind, I must make it absolutely clear that the UK is fully committed to upholding the Belfast agreement and respects the right of the people of Northern Ireland to identify as Irish, British or both, and to hold both British and Irish citizenship as they choose. I recognise the centrality of those citizenship and identity provisions to the Belfast agreement. As I have said, deportation decisions are taken on a case-by-case basis, and we consider the seriousness of the criminality and whether it is in the public interest to require deportation.

Recognising the citizenship provisions in the Belfast agreement, we would consider any case extremely carefully and not seek to deport a person from Northern Ireland who is solely an Irish citizen. However, I recognise the hon. Gentleman’s interest in this matter and will continue to keep it under consideration. I therefore respectfully ask him to consider withdrawing his amendment for the reasons outlined.

Caroline Nokes

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As I said in response to the amendments tabled by the hon. Members for Cumbernauld, Kilsyth and Kirkintilloch East and for Paisley and Renfrewshire North, the clause will protect the status of Irish citizens in the UK when free movement ends. Without the clause, as Professor Ryan explained in evidence to the Committee, when freedom of movement ends, Irish citizens will need to seek permission to enter the UK when they arrive from outside the common travel area. I am sure all members of the Committee agree that that would be wholly unacceptable.

In addition to the evidence from Professor Ryan, I also welcome the written evidence from the Committee on the Administration of Justice, which notes that the clause is

“designed to remedy the gap for Irish citizens being able to enter and reside in the UK from outside the CTA”.

Dr de Mars, Mr Murray, Professor O’Donoghue and Dr Warwick highlight that the clause will help to clarify and simplify travel rights under the common travel area.

The Government are clear that, as now, Irish citizens should not be subject to immigration control unless they are subject to a deportation or exclusion order, or to an international travel ban. Those exceptions are set out in the Bill, and they reflect current and long-standing practice. I confirm that our approach is to deport Irish citizens only if there are exceptional circumstances, or if a court has recommended deportation in a criminal case.

Caroline Nokes

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The hon. Gentleman will be aware that he just lost a division on that matter, but I am sure we will return to it on Report. He may consider his drafting to be better than that of my Home Office officials, but I must take a contrary view. I confirmed the Government’s approach in response to questions raised on Second Reading, and, as members of the Committee will have noted, once we leave the EU, Irish citizens will be exempt from the automatic deportation provisions for criminality in the UK Borders Act 2007.

The clause amends section 9 of the Immigration Act 1971 so that restrictions placed on those who enter the UK from the CTA by order under that section will not apply to Irish citizens. It also amends schedule 4 to that Act, which deals with the integration of UK law and the immigration law of the islands—Jersey, Guernsey and the Isle of Man. The schedule provides broadly that leave granted or refused in the islands has the same effect as leave granted or refused in the UK. The clause disapplies those provisions in relation to Irish citizens who do not require such leave under the Bill. They also make it lawful for an Irish citizen—unless they are subject to a deportation or exclusion order—to enter the UK from the islands, regardless of their status in them.

The clause aims to support the wider reciprocal rights enjoyed by British and Irish citizens in the other state. Citizens will continue to work, study, access healthcare and social security benefits, and vote in certain elections when they are in the other state. I reiterate that once free movement ends, Irish citizens in the UK will be able to bring family members to the UK on the same basis as British citizens, because they are considered to be settled from day one of their arrival in the UK.

Caroline Nokes

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My hon. Friend is right to emphasise that point, and that is absolutely the case in Northern Ireland. We take the provisions of the Belfast agreement very seriously indeed.

This clause supports the citizenship provisions in the Belfast agreement that enable the people of Northern Ireland to identify and hold citizenship as British, Irish or both. The Bill makes no changes to the common travel area or to how people enter the UK from within it. Section 1(3) of the Immigration Act 1971 ensures there are no routine immigration controls on those routes. Given the unique and historic nature of our relationship with Ireland, and our long-standing common travel area arrangements, I am sure that Members will agree on the importance of the clause as we bring free movement to an end.

Question put and agreed to.

Clause 2 accordingly ordered to stand part of the Bill.

Clause 3

Meaning of “the Immigration Acts” etc

Question proposed, That the clause stand part of the Bill.

Caroline Nokes

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Clause 3 is minor and technical in nature, but it is important for the implementation of the Bill and to ensure that we have a fully functioning statute book. Subsection (1) ensures that the Bill, when enacted, will be covered by any reference to “the Immigration Acts”, which are the Acts of Parliament that govern the UK’s immigration system. They enable, for example, grants of leave to enter and remain, and the deportation of individuals.

References to the Immigration Acts can be found across the statute book. For example, section 55 of the Borders, Citizenship and Immigration Act 2009 requires that functions conferred by virtue of the Immigration Acts are discharged having regard to the need to safeguard and promote the welfare of children in the UK. Clause 3 will ensure that functions conferred by regulations under the Bill must be discharged according to that duty in relation to the best interests of children. Such a provision is standard for an immigration Bill, and clauses that have the same purpose and effect are included in previous Immigration Acts. For example, section 73 of the Immigration Act 2014 and section 92 of the Immigration Act 2016 both provide that those Acts are included in the definition of Immigration Acts.

Subsection (2) clarifies that the Bill is not retained EU law. That means that it is not part of the body of law that will have been saved in UK law by the European Union (Withdrawal) Act 2018. It is important to make it clear that the Bill cannot be treated as retained EU law. For example, it cannot be amended by the deficiencies power under section 8 of the European Union (Withdrawal) Act or any other powers to deal with retained EU law.

Question put and agreed to.

Clause 3 accordingly ordered to stand part of the Bill.

Clause 4

Consequential etc provision

Caroline Nokes

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Notwithstanding the brief contribution from my hon. Friend the Member for Chatham and Aylesford, the hon. Member for Stretford and Urmston invites me to delve into the detail, which is what I plan to do. It is right that the Committee pays close attention to the delegated powers in the Bill, which are key to delivering the changes linked to the end of free movement. I am grateful to the Delegated Powers and Regulatory Reform Committee for its report and recommendations on the Bill, which I am carefully considering.

The power in the clause is similar to that found in many other immigration Acts. It is needed for the effective implementation of the Bill and the ending of free movement. A great deal has been said about the power granting Ministers a blank cheque—a slightly 20th century analogy, but one that I have used as well; perhaps I should talk about chip and PIN or contactless—so I want to explain exactly and in some detail how the power can and cannot be used.

I reassure the Committee that, with clause 4, the Government seek to ensure that we can manage the transition of EEA nationals, Swiss nationals and their family members from free movement to our domestic immigration system. For the sake of brevity, I will refer to that group collectively as EEA nationals.

First, the power will enable us to protect the status of EEA nationals and their family members who are resident in the UK before exit day and ensure that their residence rights are not affected by the UK’s departure from the EU. It will enable us to save the operation of otherwise repealed legislation, such as section 7 of the Immigration Act 1988, which relates to the requirement to have leave to enter and remain in the UK, and the Immigration (European Economic Area) Regulations 2016, which implement the free movement directive. It will preserve the position of EEA nationals in the UK before exit day, or in any agreed implementation period, so they do not require leave to enter or remain until the deadline for obtaining leave under the EU settlement scheme passes in June 2021, or December 2020 in the sad event of no deal.

Secondly, in the unlikely event that we leave the EU without a deal, the power will enable us to make provision for EEA nationals who arrive after exit day but before the future border and immigration system is rolled out in January 2021. During the transition period the clause will enable us, for example, to ensure that EEA nationals need only provide their passport or other national identity document as evidence of their right to work or rent, as is currently the case. We need the power to ensure that, prior to implementation of the future system in 2021, EEA nationals can be treated as they are currently, in terms of checking for eligibility for benefits and public services and the right to work and rent property.

The clause is needed to enable us to meet the UK’s obligation under the draft withdrawal agreement, if that is agreed. In the event of no deal, the clause will enable us to implement the Government’s policy in the paper on citizens’ rights in the event of a no-deal Brexit, which was published by the Department for Exiting the European Union on 6 December.

Thirdly, the power will enable us to align the immigration treatment of EEA and non-EEA nationals in the future, so that we can create a level playing field in terms of who can come to the UK. For example, the power will enable us to align the positions of EU nationals and non-EU nationals in relation to the deportation regime, where currently a different threshold applies to the deportation of criminals who are EU nationals.

As I have said previously, we are engaging extensively on the design of the future system, and our proposals were set out in the White Paper. The details of the future system will be set out in the immigration rules once they have been agreed, but without the power in the clause we cannot deliver the future system, and that is why it is crucial to the overall implementation of the Bill.

Fourthly, the power is important to ensure that our laws work coherently once we have left the EU. There are references across the statute book to EEA nationals, their free movement rights and their status under free movement law. The power needs to be wide enough to ensure that all such references can be adequately addressed as a consequence of ending free movement. By way of example, section 126 of the Nationality, Immigration and Asylum Act 2002 lists the documents that must be provided in support of various types of immigration application. One example relates to applications under the Immigration (European Economic Area) Regulations 2016. An amendment is needed to remove that reference, because in the future there will no longer be applications under the EEA regulations, as they are repealed by the Bill.

Amendments 1 to 5 were tabled by the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East. As he explained, amendment 4 would limit the Secretary of State’s power to make regulations to instances where it was “necessary” rather than “appropriate”. I reassure the Committee that the clause is not a blank cheque. The regulations could be used only to make provision in consequence of or in connection with part 1 of the Bill. That means that they could be made only in connection with the end of free movement or the status of Irish citizens. They must be appropriate within that context, so the scope of the power is already limited, even without it being limited to what is necessary.

Not only is the test for what is necessary harder to meet; it is also harder to say whether it is met. To explain why I regard “necessary” as too high a bar, I refer to the courts, which have said that the nearest paraphrase is “really needed”. Such a test would be too restrictive: one person’s necessary amendment is another’s “nice to have”. Immigration is a litigious area and we do not want a provision that will lead to uncertainty and challenge about whether an amendment is appropriate or necessary. The Committee may recall that that point was discussed at some length during the passage of the European Union (Withdrawal) Act 2018 and that Parliament agreed that “appropriate” was the correct formulation when dealing with amendments in relation to EU exit. It is the right test here also.

Amendment 1 would limit the changes made under the regulations to those that are “in consequence of” the ending of free movement, rather than “in connection with” or “in consequence of”. I note that the amendment was recommended by the Delegated Powers and Regulatory Reform Committee. As I have explained, references to EEA nationals occur in numerous places across the entire statute book and in numerous different ways, not always by reference to free movement rights. The inclusion of “in connection with” is more appropriate to describe the provision that needs to be made for some of those cases. It is also better suited than the phrase “in consequence of” for the making of transitional provision for those who arrive in the UK after the commencement of the Bill.

The Lords Committee made the specific point that transitional and savings provisions for pre-exit day EEA nationals should be made on the face of the Bill. Hon. Members are interested in that and some witnesses discussed it in evidence sittings. We have committed to protecting the rights of EU citizens who are resident in the UK. That has been our priority, and we have delivered it through our negotiations with the EU to secure protections of citizens’ rights, which are included in the draft withdrawal agreement. If that is agreed by Parliament, there will be legislation to implement it in UK law. The withdrawal agreement Bill will be the vehicle by which such protections are delivered. We have also opened the EU settlement scheme to allow EU nationals who are already living in the UK to obtain settled status or pre-settled status in the UK. That will provide them with a clear status once free movement ends and will ensure their rights are protected in UK law.

In addition, we have given unilateral assurances that EU nationals and their family members resident in the UK can stay if the UK leaves the EU without a deal, as set out in the no deal policy paper I previously mentioned. In the event of no deal, we will use the power in clause 4 to make provision to protect the status of EU nationals resident in the UK. One could speculate about whether such protections are necessary or merely appropriate, or whether they are in consequence of the end of free movement or only connected to the end of free movement, but I know that Members of the Committee agree with me that it is important to be able to protect EU nationals, and I want to ensure that the clause is broad enough to enable us to do so.

I am grateful to the hon. Member for Manchester, Gorton for raising an important issue in amendment 11, which would replace part of the power in subsection (4) of clause 4. The power allows us to make provisions applying to persons not exercising free movement rights. The amendment appears to narrow, or perhaps clarify, the power by including reference to the grant of leave to enter.

It may be helpful if I first explain our intended use of the provision. I am aware that there is a perception that clause 4(4) would allow the Secretary of State to make sweeping changes to the immigration system in respect of non-EEA nationals, but I assure the Committee that that is not the case. Subsection (4) does not provide a standalone power; it is part and parcel of the power in subsection (1) which we have previously debated. That means that it can be used only in consequence of or in connection with part 1 of the Bill, which is about the repeal of free movement and the status of Irish nationals. There is no risk that the power could be used to change the immigration legislation for non-EEA nationals in ways unconnected with part 1 of the Bill.

Subsection (4) is needed because not every person who is an EEA national in the UK is exercising free movement rights. EU law sets out the conditions for the exercise of such rights: for example, a person who is not working, seeking work, self-employed or studying can exercise free movement rights only if they have adequate resources and comprehensive sickness insurance. Putting aside any rights as a family member, a German househusband or wife who does not have comprehensive sickness insurance is not exercising free movement rights. We have taken the decision to be generous in our treatment of EU nationals already in the UK and we have opened the EU settlement scheme to them all, regardless of whether they are exercising treaty rights or not. However, we need to ensure that we have the power to amend other legislation to facilitate that—for example, checks on rights to work or access to benefits and public services that might otherwise apply to them. The amendment could prevent us from making those changes, potentially meaning that that group could fall through the gaps.

I reiterate that the power is not the means by which the future border and immigration system will be delivered. That will be done through the immigration rules made under the Immigration Act 1971. I am sure that the hon. Gentleman does not intend that group to be denied protection. I hope I have provided sufficient reassurance on the need for and use of the subsection. I respectfully ask him to not to press amendment 11.

Amendment 2, which stands in the name of the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East, would narrow the scope of the power by omitting subsection (5). The House of Lords Committee recommended that the Government justify the need for subsection (5) and I am grateful for the opportunity to do so.

The purpose of subsection (5) is to enable changes to be made to legislation that imposes fees and charges. For example, under the EU-Turkey association agreement, Turkish nationals are currently exempt from the immigration health surcharge. The directly effective rights under the association agreement, which will form part of domestic law from exit day by virtue of section 4 of the European Union (Withdrawal) Act 2018, are disapplied by paragraph 9 of schedule 1 to the Bill. That would mean that Turkish nationals would become liable to pay the immigration health surcharge, but we think it appropriate to maintain that exemption for those already resident in the UK.

Another example of how we might rely on subsection (5) is in relation to persons granted limited leave to remain under the EU settlement scheme. As the law stands, they would be considered not ordinarily resident in the UK when their free movement rights end, and they would be liable for charges when accessing NHS treatment. We want to make it crystal clear that those EU nationals already in the UK should not be charged for NHS treatment. Without this provision, we could make such amendments to exempt people from charges that might otherwise apply. I hope that I have provided sufficient explanation of why subsection (5) is needed. I request that the amendments not be pressed.

The Minister for Immigration (Caroline Nokes)

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New clauses 13 and 43 focus on requiring the Government to report on the impacts of ending free movement and our future immigration rules, respectively, on European economic area and Swiss nationals. As I have said, I appreciate that some Committee members do not believe we should end free movement. I pay particular tribute to the hon. Member for Wirral South, who spoke passionately on the matter.

I emphasise again that the Government fully recognise the great contribution that migrant workers make to the UK. We remain committed to ensuring that the future immigration system caters for all sectors, and that it benefits the UK economy and our prosperity. We want the existing workforce to stay and we want to continue to attract other international workers to the UK. That is why the White Paper contains a route for skilled workers —it will, for the first time, encompass medium-skilled workers as well as the highly skilled—and a temporary worker route, which will enable people of all skill levels to come to the UK for up to 12 months. Neither of those routes will be subject to a cap on the number of visas granted.

The Government take seriously the economic impact on the UK economy of the proposals that we set out in the immigration White Paper in December and other measures in the Bill to end free movement. These proposals are designed to benefit the UK and to ensure that it continues to be a competitive place, including for medical research and innovation.

I share the hon. Lady’s concern that policies are properly evaluated and their full impact considered. That is why the immigration White Paper contained a full economic appraisal, running to more than 50 pages. It is a serious piece of work, which I encourage all hon. Members to study carefully. However, although it is considered and well thought-through, that appraisal is, by its nature, predictive. The proof of any immigration policy is its actual effect, which can be established only once the policy is in operation. We need to understand how policies work in practice, how businesses and employers react and how individual prospective migrants behave. We also need to understand the prevailing economic conditions in the UK and the countries from which migrants might come.

The hon. Lady spoke of the quality of the debate in the referendum of 2016. I well remember some comments that were made at that time about the views of experts. Perhaps unsurprisingly, I give quite a lot of credence to the views of experts, and accordingly I have a lot of sympathy with the sentiment behind the new clauses. I am pleased to tell the Committee that the Government already have plans in place to ensure there is an annual review of the kind that is envisaged.

Hon. Members will see that there is a section in chapter 3 of the immigration White Paper on the future role of the Migration Advisory Committee. It says that the Government will commission MAC to produce an annual report on key aspects of the UK’s immigration system. That strikes me as a comprehensive offer, and I think it would be best for any annual review to be undertaken by MAC, which has a good reputation for its independence and, of course, its expertise.

Accordingly, given our existing commitment to a proper, thorough and independent review of the operation of the future immigration system, I hope that hon. Members who have tabled these new clauses will see that they are not required and feel able to withdraw them.

Caroline Nokes

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I thank the hon. Members for Manchester, Gorton and for Sheffield Central for tabling new clauses 15 to 18. I am also grateful to the hon. Members for Cumbernauld, Kilsyth and Kirkintilloch East and for Paisley and Renfrewshire North for new clauses 33, 35, 47 to 49.

Before turning to the new clauses, I will say a few words about the proposal put forward by my hon. Friend the Member for South Leicestershire (Alberto Costa), to which the hon. Member for Sheffield Central referred and to which the House agreed unanimously last week. We and the EU have been clear that providing certainty for citizens is a priority. That is why we have written to the EU about ring-fencing the citizens’ rights part of the withdrawal agreement. As my right hon. Friend the Home Secretary said to the Home Affairs Committee last week, we should not underestimate the challenges involved in reaching such a joint UK-EU commitment. But we share a common goal in seeking to protect citizens’ rights. In the meantime, we will continue to seek commitments from the EU and its member states to protect the rights of UK nationals in the EU in the event of no deal.

The hon. Member for Sheffield Central raised a number of points specifically on the settled status scheme and the ease of applications. I must, once and for all, put to bed the allegation that people will not be able to use their iPhones to apply. Individuals will be able to use any desktop, laptop or mobile device to make an application. It is only during this current phase of testing that people need to use the EU Exit: ID Document Check app to verify their identity, which is currently—I use that word advisedly—available only on Android devices. When the scheme is fully live at the end of March, the use of the app will be entirely optional.

The app is just one of several ways in which people will be able to verify their identity, including by post or face to face at an application centre. Additional routes that will be available to have identity documents checked include 50 locations where applicants will be able to have their passports scanned and verified. We are also rolling out additional digital support, which I saw in operation at the Barbican library some months ago, and a dedicated telephone advice and support service is also available. It is important to the Government that we make it as easy as possible for people to apply, and the Home Secretary continues to work very closely with Apple on the upgrades to its systems—not ours—required in order to have a chip-check device available on iOS.

There was a question about pre-settled status, which we grant to people with fewer than five years’ residence. This is a well-established rule that derives from the EU’s free movement directive: after five years, a person gets permanent residence. The draft withdrawal agreement specifically refers to these rules. The Opposition’s proposal would mean that a person here for a day, and with no intention to make their life in the UK, would immediately get indefinite leave to remain.

I turn to the new clauses tabled by hon. Members. The new clauses would give automatic immigration status to EEA and Swiss nationals—to whom I will continue to refer as “EEA nationals” for brevity—and their family members resident in the UK. As I have explained before to the Committee, this is called a declaratory system: individuals would automatically acquire status without needing to apply, but could subsequently register for a document if they chose to, in a similar way to how current free movement rights operate.

I welcome the fact that hon. Members share my aim to secure the rights of EEA nationals who are resident in the UK, which we all agree is of the utmost importance. The Government devoted a great deal of thought to how best to manage the end of free movement residence rights as we leave the EU. As I have explained before, a declaratory system is not the answer. As I explained to the Committee last week, in a deal scenario the EEA regulations that implement the free movement directive will remain in force until the end of the implementation period on 31 December 2020 and will be saved for the six-month grace period thereafter.

In a no-deal scenario, clause 4 of the Bill will save the EEA regulations from the date when they are repealed by schedule 1, and these will apply for people who are resident before exit day. This will maintain their current position until the deadline for applying under the settlement scheme expires in December 2020, and will ensure there is no change in their status as a result of Brexit until then. EEA nationals and their family members will be able to secure their immigration status in UK law after EU exit through the settlement scheme, which provides a quick and easy way for EEA nationals and their family members to apply for and be granted status. As the hon. Member for Sheffield Central pointed out, this will now be free of charge.

The overwhelming majority of EEA nationals will need only to prove their identity, demonstrate residence in the UK and declare any criminal convictions. We will work with applicants to ensure that they are granted the status to which they are entitled. The scheme has, of course, been designed to comply with the Government’s obligations under the European convention on human rights. I take such obligations incredibly seriously, and they are applied by default to everything the Government do. Although new clause 18 is well-intentioned, it is unnecessary.

Some hon. Members might think that a so-called declaratory system would be better for EEA nationals, as it would provide them with an immigration status without their needing to apply. Although I understand why hon. Members wish to make the new system as streamlined as possible, I disagree with the proposals for a declaratory system. As I have said previously, requiring EEA nationals to apply for and receive a formal grant of status via the settlement scheme is key to ensuring that life continues smoothly for them in the future. Resident EEA nationals will be able to use their settled or pre-settled status to distinguish themselves from EEA nationals arriving in the UK in the future. In addition, a declaratory system for the resident population would provide much less incentive to apply for status and thereby receive the documentation that will enable them to prove that status.

Caroline Nokes

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We covered this point previously in the evidence sessions and also last week. The Government are absolutely determined to have a proportionate approach to those who miss the deadline and to assist those who have challenges through vulnerability, to make sure that they do indeed go through the settled status scheme.

It is important to us to reflect that people will want to be able to evidence their status here. However, at some point in the future we have to be able to draw a distinction between those who arrived before we left the EU and within the implementation period and those who arrived afterwards. Having a large proportion of this cohort legally entitled to a status but with no formal evidence to prove it would lead to confusion among employers and service providers and make it difficult for individuals to prove their right to benefits and services to which they are entitled.

In the longer term, it could also make it more difficult for them to prove that they have a legal right to reside in the UK. I am sure that Committee members will agree that that is not the outcome we want.

Caroline Nokes

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The hon. Gentleman will be aware that it is the Government’s intention for there not to be hundreds of thousands of people without status and to ensure that people are assisted through the scheme where necessary. I was alarmed earlier today to hear information about a councillor from the hon. Gentleman’s own party who was encouraging others not to apply. I am sure we would all agree that that is the worst piece of advice that any elected representative could give.

I have taken incredibly seriously the lessons learned from Windrush, where individuals became entangled in measures intended to tackle illegal migration precisely because they did not hold the documentation that they needed. It is absolutely crucial that people understand their immigration status and the basis on which they have a right to remain in the UK. We have been developing plans for the EU settlement scheme. As we have been developing those plans, we have received queries about various groups of EU citizens who believe that they were here lawfully, but who are not meeting the requirements of the free movement directive.

Last week, I used the oft-quoted example of the househusband who did not have comprehensive sickness insurance, or carers who could not demonstrate the role that they were undertaking. We are catering for cases such as those through the scheme, but it illustrates the peril of declaratory systems, which lull people into a false sense of security. The EU agreed that a constitutive system was a sensible option for the UK to take and other member states are following this option for UK nationals. The Government’s approach already achieves the purpose of the amendments. I ask hon. Members to withdraw new clause 15 and not to move the others, for the reasons outlined.

I turn to the other new clauses, which relate to the EU settlement scheme. I thank hon. Members for new clause 33, which seeks to remove any deadline for applications under that scheme. However, removing the deadline is not appropriate for a number of reasons. EEA nationals will benefit from applying to the scheme before the deadline, so that they can prove their rights in the UK. After the deadline, the future immigration system will be in place; future arrivals will have different rights from those of the resident population. Without a deadline, there would be little incentive for the resident population to apply. Reducing the incentive to apply might lead to an increased number of EEA nationals failing to apply for and receive a grant of status. Those individuals would consequently face difficulty in proving their right to benefits and services to which they are entitled.

Caroline Nokes

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I do not think I am seeking to argue both ways. I fear that with no deadline people will not see the need to apply, yet then might—in a moment of crisis or emergency—come up against the need to be able to immediately prove their status without having the ability to do so.

Caroline Nokes

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The hon. Gentleman says that it is “simply” a matter of getting the evidence to prove status, but as we saw—I am loth to go there—with the Windrush crisis, there were people who had absolutely every right to be in this country but could not evidence it. We are determined not to repeat that with this scheme: the incentive is to encourage people to apply, to provide them with a deadline, and to make sure that as many as possible can evidence their status so that they are not doing so in an emergency situation. As I have said several times, we will take a pragmatic approach to those who have a good reason for missing the deadline by allowing them to apply late. That is a requirement of the withdrawal agreement, and we will follow the same approach in a no-deal scenario.

New clause 35 would require the Home Office to provide EEA nationals with a physical document evidencing their status under the EU settlement scheme. The digital status given to EEA nationals will be a secure and permanent record held by the Home Office that is accessible to the holder at any time, but which cannot be lost or stolen. Users will be able to choose to allow third parties, such as employers, to have time-limited access to relevant information to demonstrate their status. By giving individuals direct access to their own data and the ability to share this at their discretion with service providers, we are giving them greater transparency and control over which data is shared. People will be able to better understand their rights and keep information updated.

We have already trialled this service with non-EU-national migrants to view and share their right-to-work information with employers, and the service has been well received by those involved. With an online service, we can also ensure that employers and others required to check a person’s status see only the information relevant to their need. Using a physical document as evidence of status—as has been the practice to date—does none of this. It can also cause significant problems when documents are lost, stolen, damaged, expired or in the process of being renewed. Physical documents are also more open to forgery and fraud: something we must seek to avoid.

Additionally, there are individuals whose documents are controlled by others, such as in cases of domestic violence, modern slavery and human trafficking. Moving to an online status is a step forward in tackling those who seek to control others. A digital status is also much easier to use for the visually impaired and dyslexic users who may have difficulty reading a physical document.

Caroline Nokes

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As the hon. Gentleman will be aware, the Government are moving to a position of everything being digital by default. We think that the correct way forward. I have enjoyed my exchanges with the3million. The hon. Member for Sheffield Central suggested that I had not adequately engaged with them. I have met them on several occasions and listened to their views, but we do differ on the determination that we have to use the digital status. We believe that any 21st-century Government would want to do that.

Caroline Nokes

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I thank the hon. Gentleman for that suggestion. Just because I disagree, that does not mean that I have not listened. We have made a commitment to digital by default, which I think is the right way forward. I made a point earlier about the challenge of different types of document, and the difficulties that might be presented if some people could produce one sort of document and others were reliant on digital only. I happen to think—perhaps I spent a long six months as the Minister responsible for the Government Digital Service—that this is the right way forward. The Government have always been very clear that this is our direction of travel.

I understand that it represents a cultural change for many, and I am very conscious that many EU member states not only require an identity document to be held at all times, but enforce compulsory identification on request, for instance from police officers. That is very different from the way in which the UK behaves. We do not have those requirements, nor are they part of our culture. Our methods of proving identity and rights do not have to mirror what other countries do.

Caroline Nokes

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From the demonstrations that I have had of the digital right-to-work check, and the work that I have done with the Landlords Consultative Panel surrounding the digital right to rent checks, we have seen a very simple and straightforward procedure where the individual can send a time-limited link to a prospective employer that does not require them to do a great deal of research to find digital status; it is there at the click of a mouse button. However, I am listening to the views put to me by the Committee, and will reflect on them over the next few weeks.

As I said, the new digital capability forms part of moving the UK’s immigration system to digital by default, and is a simpler, safer and more convenient system. The proposed new clause would be a step backwards in simplifying the current system. I therefore request that the hon. Member for Manchester, Gorton withdraw the new clause.

Caroline Nokes

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I thank the hon. Member for Stretford and Urmston for tabling the new clause on behalf of the right hon. Member for East Ham. The new clause relates to the use of certificates to evidence knowledge of English. It raises an important issue, and I would like to explain the Government’s response to widespread abuse of English language testing facilities, which came to light in 2014.

The scale of the fraud—there is no doubt it was a fraud—is illustrated by the fact that so far more than 20 people have received criminal convictions for their role in facilitating the deception, and sentences totalling more than 60 years have been handed down. Further criminal trials are ongoing. There was also a strong link to wider abuse of the student visa route. The majority of individuals linked to the fraud were sponsored by private colleges rather than universities, many of whom the Home Office had significant concerns about well before “Panorama” uncovered the specific fraud. Indeed, 400 colleges who had sponsored students linked to the fraud had already had their licences revoked prior to 2014.

The Educational Testing Service had its licence to provide tests within the UK suspended in early February 2014 and was removed from the immigration rules on 1 July 2014. Approximately 20% of the tests taken in the UK were provided via ETS prior to its suspension.

During 2014, ETS systematically analysed all the TOEIC tests administered in the UK dating back to 2011 and classified them as either questionable or invalid. ETS categorised results as questionable where it had significant concerns about the test centres and sessions where they had been obtained.

We have always recognised that it was possible that a small number of students who took legitimate tests could have received a questionable result. That is why we ensured that those people were given the chance to resit a test or attend an interview before any action was taken against them. ETS categorised results as invalid only where the same voice was matched to two or more tests taken in different names, indicating that deception was likely to have been used.

Caroline Nokes

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I reject the description of a global company making a mess of it. This was systematic fraud and deception—I indicated earlier the number of criminal convictions. This was not a mess; it was fraud. It is really important to remember that.

Caroline Nokes

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That is absolutely why that company was suspended from the immigration rules in July of that year, which is perhaps evidence of why occasionally it is useful to use the immigration rules as a very swift device to resolve problems. I would point out that the report on the ETS system, which was undertaken by Professor Peter French, concluded that the number of false matches was likely to be very small and it was more likely that people were given the benefit of the doubt than that they were falsely flagged as having cheated.

Caroline Nokes

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As I indicated earlier, those who received a questionable result were given the opportunity to take an additional test or to attend an interview before any action was taken against them. I know that Members have expressed concern about the reliability of the matching. It is important to note that an independent expert report from Professor French, a professor of speech science, which reviewed the system, indicated that the number of false matches was likely to be very small. It is also worth noting that the courts, even when finding in favour of individuals, said that the evidence for invalid cases was enough to justify reasonable suspicion of fraud and for the Home Office to take action. It is then for individuals to address this evidence, as a number have, through appeal or judicial review.

The first part of the hon. Lady’s amendment requires the Secretary of State to disregard the results of any English language test for any EEA or Swiss national applying for settled status, pre-settled status, to work or study or for any other visa system established under the provisions of the Bill. We have set out very clearly our intention to create a single, skills-based immigration system. English language ability will remain a key strand of the immigration requirements for many of those coming to work, study and settle in the UK. Although EEA nationals often have excellent English language skills, currently we exempt only nationals of majority English-speaking countries and those who have certain qualifications obtained in English, having shown their English language skills through a secure English language test.

Requiring EU citizens to obtain evidence of their English language would put them on a par with a citizen of any other non-majority English-speaking country under the current system. However, evidence of English language is not a requirement for settled or pre-settled applications, and no EEA or Swiss national applying under the settlement scheme will have to demonstrate their English language ability.

The Government believe it is a reasonable expectation that those coming to work or study in the UK are able to speak a satisfactory level of English. Therefore, evidence of English language will continue to be a requirement for other visa routes, such as study and skilled work routes.

Caroline Nokes

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I think I can give that reassurance. When it comes to settled status or pre-settled status, there are only three requirements. We ask people to provide evidence of their identity, of their residence in the UK for five years for settled status and less for pre-settled status—enabling them to upgrade to settled status later—and of any criminal convictions.

The second part of the amendment provides for a review of the consequences of the licence issued to ETS to administer the English language test in the UK. As the hon. Lady will be aware, there has been significant scrutiny of this issue over the last five years in Parliament, the courts and the media. A specific inquiry was conducted by the Home Affairs Committee in 2016, during which the Home Office answered more than 100 detailed questions. Given the scrutiny that has already taken place, I do not believe it is necessary to require the Home Office to conduct a further review, and I also do not believe that this Bill, which sets out a framework for the future immigration system, is the correct vehicle to require reviews of previous Home Office actions that have little bearing on EEA or Swiss nationals.

I am aware that, following a meeting with the Home Secretary, the right hon. Member for East Ham passed on details of a further number of specific cases to the Home Office. I assure the hon. Lady that we will respond shortly on these cases and the wider issues that have been raised and continue to be raised. I appreciate that there is frustration at recent delays in response to individual representations, but that is because my right hon. Friend the Home Secretary and I both take seriously the issues that the right hon. Member for East Ham has raised.

I hope that the hon. Lady is satisfied from the evidence presented that the Bill is not the right vehicle to address any concerns she may have with the historic abuse of the English language test administered by ETS, and I respectfully ask her to withdraw her new clause.

Caroline Nokes

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I am grateful to the hon. Members for their new clauses 24 to 29 and 31. Given the similar effects of some of these new clauses, I will consider new clauses 24 to 28 and 31 together before speaking to new clause 29 separately.

These clauses cover a broad range of issues, including the gathering and using of data and matters relating to the automated residency checks under the EU settlement scheme. As I have said previously, securing the rights of citizens has always been our priority and we have delivered on this commitment. The draft withdrawal agreement published on 14 November 2018 guarantees the rights of EU citizens and their family members living in the UK, and those of UK nationals living in the EU.

The basis of the withdrawal agreement aligns closely to that of existing free movement rules with respect to when a person becomes a permanent resident and, in the case of the EU settlement scheme, acquires settled status. Significantly, the withdrawal agreement states that this assessment should be based not only on length of residence but on the fact that a person is exercising EU treaty rights for the whole qualifying period. We have, however, gone further than this and are being more generous to all EU citizens in the UK and to those who arrived during the implementation period. We do not test whether a person is exercising treaty rights—for example whether they are in work, studying or have comprehensive sickness insurance. Eligibility is based on residence alone, subject to criminality and security checks.

As part of the application process we will, where an applicant provides a national insurance number, conduct an automated check of residence based on tax and certain benefit records from HMRC and the DWP. We know that most EU citizens will have had some interaction with these departments and that this could demonstrate an applicant’s residence, either for the whole five-year period to qualify for settlement, or in part. While it is optional for an applicant to use the automated checks to prove their period of residency, in the test phases most have done so.

To date, 80% of the decisions made have been on the basis of this data alone. Where data exists, the automated checks replace the need for the applicant to submit any other form of evidence. The automated checks happen in real time as the application is completed, and the applicant is informed whether there is enough data to qualify for either settled or pre-settled status. Feedback from the three trial phases to date shows that people overwhelmingly like the simplicity of having their residence proved for them by these checks. The applicant is immediately informed if they need to provide additional documents and prompted to provide such documentation before completing their application.

In such instances, we will accept a range of documents as evidence, and they can be submitted digitally as part of the online application process. Where the applicant accepts the result of the automated check, no further evidence is required, and they will, subject to identity, security and criminality checks, be granted either settled or pre-settled status. The rules for assessing continuous residence are already set out in the immigration rules. The automated checks simply apply those principles to the data provided by HMRC and the DWP. New clauses 26 and 28, although well intentioned, are therefore unnecessary.

I understand the sentiment behind new clauses 24, 25 and 27, on publishing details of the automated residency checks in the scheme, as well as our memorandum of understanding with HMRC and the DWP. We will of course be completely transparent on how those checks work, as it is to everyone’s benefit for us to do so. I confirm that we will publish the MOU before the scheme is fully launched. We will also publish further materials, including more guidance on why automated checks may not return the expected data. The EU settlement scheme is still in the test phase, and it is important that we continue to amend our processes and design as we progress through the phased roll-out. I hope that offers reassurance to hon. Members.

On new clause 31, it may be helpful if I explain the different stages of the application process. When an applicant receives a wholly or partially unsuccessful result from the automated residency check, they are still in the middle of the application process and they have completed only some of the online form. They have therefore not yet submitted an application. Informing an applicant of why data has not matched is likely to increase the risk of fraud and identity abuse. The new clause would change the focus of the scheme from granting status to investigating the data quality of employers or of the DWP and HMRC. We consider that a distraction that would cause unnecessary delays for applicants.

I am sure all hon. Members on this Committee share my desire to keep the application process simple and quick in providing results. For the reasons I have given, the new clause is not consistent with those aims. In most cases, it would be far simpler and more straightforward for applicants to submit other evidence to prove residence, rather than seeking to resolve why data has not matched. Of course, the applicant can take up that issue with HMRC or the DWP if they wish. It is already the case that applicants, like anyone else, can ask Government Departments what data is held about them and get incorrect information rectified, as per article 16 of the general data protection regulation.

Our guidance includes a suggested list of documents that could be provided as additional evidence. Examples include bank statements, a letter from a general practitioner, and certificates from school, college, university or an accredited educational or training organisation. I assure hon. Members that we will continue to work to improve the match rates of the automated checks. The test phase gives us the opportunity to test the EU settlement scheme and to make improvements to the process.

New clause 29 seeks to prevent information from those who apply to the EU settlement scheme from being passed to immigration enforcement. Let me confirm that we fully comply with all statutory responsibilities when processing data. The ways in which this information may be processed are set out in the Home Office’s “Borders, immigration and citizenship: privacy information notice”, which is available on gov.uk. Decisions on whether information should be shared with immigration enforcement are made on a case-by-case basis. It is important that the Home Office uses data in ways that are compatible with the purpose for which it is collected—for example, to assist future citizenship and passport applications and, if needs be, to combat immigration offences.

To conclude, I thank hon. Members for raising these important issues, but I hope the assurances I have provided will lead them not to press their new clauses.

Caroline Nokes

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I thank the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East for new clause 30. However, it is unnecessary. The UK Borders Act 2007 allows the independent chief inspector to inspect the efficiency and effectiveness of services provided by any person acting in relation to the discharge of immigration, nationality, asylum and customs functions. The EU settlement scheme is primarily an immigration function. Therefore, the independent chief inspector of borders and immigration already has the powers to inspect Government Departments involved in the EU settlement scheme application process, and that includes activities undertaken by the Department for Work and Pensions and Her Majesty’s Revenue and Customs in support of the EU settlement scheme application process. I therefore request the hon. Gentleman to withdraw the new clause.

Caroline Nokes

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I am grateful to the hon. Members for Cumbernauld, Kilsyth and Kirkintilloch East, for Paisley and Renfrewshire North and for Manchester, Gorton for having tabled new clauses 32, 38, 39 and 45.

It may be helpful to provide some background on this issue. Fees for border, immigration and citizenship products and services have been charged for a number of years, and they play a vital role in our country’s ability to run a sustainable system that minimises the burden on taxpayers. Each year, income from fees charged contributes enormously towards the running of our border, immigration and citizenship system. The charging framework for visa and immigration services delivered £1.35 billion in income in the last financial year. It is therefore true to say that fees paid by users play an absolutely critical role in this country’s ability to run an effective and sustainable system, and as I am sure members of the public rightly expect, to minimise the burden on UK taxpayers.

I also want to explain from the outset that we already have a legislative framework in place that governs fees. Fees are set and approved by Parliament through fees statutory instruments made under powers in the Immigration Act 2014. As hon. Members will be aware, the Prime Minister publicly confirmed that

“when we roll out the scheme in full on 30 March, the Government will waive the application fee so that there is no financial barrier for any EU nationals who wish to stay”—[Official Report, 21 January 2019; Vol. 653, c. 27.]

We will be amending existing fees legislation to implement that decision.

Outside of applications made under the EU settlement scheme, immigration and nationality fees legislation has always provided for some limited exceptions for paying application fees for limited and indefinite leave to remain. However, those exceptions are limited to specific circumstances, such as for those seeking asylum or fleeing domestic abuse, or where the requirement to pay the fee would lead to a breach of the European convention on human rights. Fee exceptions do not extend to applications made by individuals who are seeking to register or naturalise as a British citizen. That is because becoming a citizen is discretionary and not necessary to enable individuals to live, study and work in the UK, or to be eligible to benefit from appropriate services. Other exemptions are provided by separate regulations governing the immigration health surcharge.

To make provisions that are specific to certain nationalities as part of this Bill would be unfair to all users of the border, immigration and citizenship system.

Caroline Nokes

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I thank the hon. Gentleman for that kind invitation. He will be aware that it is part of my duty under the Bill to make sure that we end free movement. The scope of the Bill is pretty much limited to that. As he highlighted, I do not want us to lead to a position where the Home Office discriminates against people on the basis of nationality.

I want to address some of the specific points relating to each new clause. Subsections (1) and (3) of new clause 32 provide that no application fee shall be chargeable under the EU settlement scheme, or for any successor scheme. While I am sympathetic to the intention behind subsection (1), I do not consider it necessary. We have a clear legislative framework in place for fees payable under the border, immigration and citizenship services. Therefore, new clause 32 would cut across the existing statutory framework for fees and would risk undermining the coherence of the current system.

Secondly, new clause 32 provides only for the removal of the application fee under the EU settlement scheme, which will only come into effect for applications made after the Bill is passed. As I have said, we are going further than that, and the announcement the Prime Minister made on 21 January makes it clear that the changes we are working to introduce through the fees regulations and the immigration rules will enable us to refund all EU settlement scheme application fees that have already been paid. The new clause is therefore to be unnecessary.

I will now turn to subsection (2) of new clause 32, which provides that EEA and Swiss nationals should not be charged a fee to appeal, or to administratively review, a decision not to grant settled status under the EU settlement scheme. I shall deal with administrative review and appeals separately. We have already discussed administrative review of a decision under the EU settlement scheme, for which the fee is set at £80 per review—the same fee that applies to administrative reviews of other immigration decisions. Where an administrative review is successful because there was a casework error in the original decision, the applicant will have their fee refunded.

In the context of applications under the EU settlement scheme, the right to an administrative review goes even further. An applicant who has been granted pre-settled status, but who believes that they qualify for settled status, can submit additional information that will be considered as part of their review. However, if the applicant cannot or does not wish to pay the fee for an administrative review, they have the alternative option of submitting a fresh application under the EU settlement scheme, which will be free. I therefore consider this part of the amendment to be unnecessary, because remedies that are free of charge are already available and if the administrative review is successful, the fee is refunded.

Caroline Nokes

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I thank the hon. Gentleman for his intervention. He is aware that the Home Secretary has said that he is keen to review the situation and keep our fee structure under careful consideration, but I regret that I cannot give the hon. Gentleman a deadline.

It is right to point out that we already provide exemptions for eligible individuals who apply for limited and indefinite leave to remain in the UK. That is a reflection of the fact that in some circumstances, grants of such leave are necessary to enable an applicant to enjoy his or her human rights—for example, where a person is destitute or there are exceptional financial circumstances, often relating to the welfare and best interests of a child.

Caroline Nokes

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As I have indicated, the Home Secretary is keen to keep the matter under review. We are looking closely at it, and particularly at child citizenship fees. In summary, the requirement to pay a fee for citizenship does not disproportionately interfere with human rights, because of the exemptions I have described. The requirement to pay a fee is not contrary to a child’s best interest, which is to be with their family. Not having citizenship does not prevent them from doing so. Any assessment of a child's best interests is intensely fact-sensitive, so it cannot be said, as a generalisation, that it will always be in a child’s best interests to acquire citizenship. It may, for example, be in his or her best interests to preserve links to another country. As I have set out, the proposals undermine our existing statutory framework for making provision relating to fees and charges in the Bill.

New clause 45(1) raises many of the same issues about British citizenship fees for EEA nationals as new clause 38(3) did, and I refer the Committee to my earlier comments. New clause 45(2) and (3) provide that the Secretary of State may not charge the child of a person who has exercised free movement rights, which are repealed by this Bill, a fee to register as a British citizen if that child is in receipt of local authority assistance or if that child or their parents cannot afford the fee. That addresses a point similar to that in new clause 38(2). I refer Members to my previous point: the Bill is not the appropriate place to address child citizenship fees, which we are considering in the round.

New clause 45(4) would require the Secretary of State to take steps to make persons who have exercised free movement rights aware of their rights to obtain British citizenship under the British Nationality Act 1981. Information about becoming a British citizen is already published in guidance on gov.uk, and we are committed to ensuring that information of that nature is fully accessible.

It is right that, in the run-up to and immediate aftermath of the UK’s departure from the EU, the Government’s communications focus on the EU settlement scheme and what EEA nationals in the UK need to do to secure their status. We are launching a wide-ranging marketing campaign to encourage EEA nationals to apply. We do, however, make it clear when explaining the rights afforded by settled status that they may include a right to apply for British citizenship, provided that eligibility requirements are met. I hope that that reassures the Committee that we are taking steps to make people aware of their rights.

I turn to new clause 39, which concerns the immigration skills charge. Hon. Members may be aware that the charge was introduced in April 2017 as part of a major reform of the tier 2 skilled worker route. It is designed to ensure that UK-based sponsoring employers make a contribution to the upskilling and training of the resident workforce. Investing in skills is vital to achieving our ambition to increase UK productivity.

Data shows that, on average, employers in the UK under-invest in training compared with other countries. The Government have always been clear that it is right that employers should be incentivised to contribute to the upskilling and training of workers, and we have taken a carefully considered approach to the application of the charge. That is why we have provided exemptions for employers sponsoring migrants working in PhD-level occupations, as specified in the immigration rules; students switching from tier 4 to tier 2 to take up a graduate-level position in the UK; and the intra-company transfer graduate trainee category. Those exemptions build on the Government’s strong post-study work offer for international students and are intended to protect the UK’s position as a centre of excellence for education and research.

Underlying MAC’s recommendation in its final report on EEA migration, which was published last September, is the importance of retaining the charge as a key counterbalance to the recommended abolition of the resident labour market test in the proposed future skilled worker route. This will ensure the continued protection of resident workers in the future system and will provide one element of control after free movement has ended. New clause 39 runs directly contrary to the advice of MAC, which believes that it would be appropriate to apply the charge to EEA nationals in the future.

It is important to note that in the future system, the charge will apply only to employers that sponsor migrant workers under the skilled worker route. It will not apply to individual migrants who may come to the UK to work temporarily under the transitional temporary work route, and who will not be sponsored by an individual employer.

As Committee members are aware, the Government are not complacent. We have set out our intention to engage with businesses and organisations over the next 12 months, and to listen to their concerns and thoughts in response to the proposals in the White Paper. Accordingly, for all the reasons I have given, I invite the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East to withdraw the new clause.

Caroline Nokes

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I, too, will be as brief as I can. I thank the hon. Members for Cumbernauld, Kilsyth and Kirkintilloch East and for Paisley and Renfrewshire North for their new clause 37, which seeks to give those with a derivative right of residence access to the EU settlement scheme.

It may be helpful if I explain that a derivative right of residence is one that stems from the EU treaties rather than from the free movement directive, and it has been established through Court of Justice of the European Union judgments. The rights identified by the Chen, Ibrahim and Teixeira cases are protected by the draft withdrawal agreement. The rights of Zambrano carers are not protected by the agreement.

The Government have been clear that provision will be made in the immigration rules for individuals currently resident with a derivative right of residence. I fully appreciate that those people need certainty about their status. We are resolving the final details within Government, in consultation with other affected Departments. Subject to securing my colleagues’ agreement, I expect to be able to confirm the position for that cohort in the immigration rules to be laid before Parliament shortly.

In summary, the Government agree that we need to protect the rights of those who are resident here on the basis of derivative rights. We have already committed to making provision for them in the immigration rules, and we are just finalising precisely how we will achieve that. I hope to have further positive news for the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East shortly. For that reason, I ask him to consider whether it is necessary to press the new clause to a vote.

Caroline Nokes

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I thank the hon. Members for Cumbernauld, Kilsyth and Kirkintilloch East and for Paisley and Renfrewshire North for their new clause 44, which seeks to ensure that the EU settlement scheme does not place a requirement on applicants to hold, or to have held, comprehensive sickness insurance. I welcome the intention of the new clause, but it is not necessary. The Government have been clear from the beginning that we would not be testing for comprehensive sickness insurance. We made that clear as early as June 2017, when we published our public document on safeguarding the position of EU citizens, and the Prime Minister reiterated it in October 2017 in her open letter to EU citizens.

Appendix EU to the immigration rules does not contain a requirement to have held comprehensive sickness insurance, and that will not change. Eligibility for the scheme will continue to be based on residence and not permitted activity. I therefore ask the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East to withdraw the clause.

Caroline Nokes

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I am grateful to the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East, along with the hon. Member for Paisley and Renfrewshire North, for raising, through new clause 51, the important issue of refugees’ rights to family reunion.

The new clause is designed to allow EEA and Swiss national refugees, including those who are nationals of EEA countries that are not part of the EU, to sponsor certain family members to join them in the UK. I spoke last week about the inadmissibility of asylum claims from the EU and about the Spanish protocol and do not intend to repeat today what I said then. It is the Government’s view, which I hope all members of the Committee share, that all Swiss and EEA nationals are from safe countries and are highly unlikely to suffer a well-founded fear of persecution or serious harm there, save in very exceptional circumstances. For those reasons and because we do not foresee a change in these circumstances, we intend to continue our policy on the inadmissibility of asylum claims from EU nationals, as well as treating claims from Swiss and EEA nationals as clearly unfounded, post EU exit.

I hope that hon. Members can see that treating asylum seekers from Switzerland and the EEA differently from those from the rest of the world on the grounds of their nationality would be illogical and discriminatory. It would be unlikely to comply with our equalities obligations and would offer a clear avenue of challenge on human rights grounds. I appreciate that that may not have been the intention behind the new clause, but it would be its effect. In any event, in a deal scenario, which remains the Government’s priority, we will already be providing family reunification rights. New clause 51 is therefore unnecessary to secure the rights of EEA and Swiss nationals to sponsor their family members.

I know that hon. Members are keen to address refugee family reunion more broadly, and I am conscious that the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East asked a question about the private Member’s Bill promoted by the hon. Member for Na h-Eileanan an Iar. Of course, it is the usual channels that decide money resolutions. That is entirely outside my hands, but I can comment on the Government’s family reunion policy. That provides a safe and legal route to bring families together. It allows adult refugees who are granted protection in the UK to sponsor a partner and children under 18 to join them, if they formed part of the family unit before the sponsor fled their country. Under that policy, we have granted visas to more than 26,000 partners and children of those granted protection in the UK in the past five years; that is more than 5,000 people a year.

Furthermore, our family reunion policy offers clear discretion to grant leave outside the immigration rules. That caters for children over 18 where there are exceptional circumstances or compassionate factors—for example, where they would be left in a conflict zone or a dangerous situation.

The types of family member that the new clause is aimed at can apply under alternative routes. Under the immigration rules, adult refugees can sponsor adult dependent relatives. That includes parents, grandparents, children over 18 and siblings over 18 living overseas where, because of age, illness or disability, the person requires long-term personal care that can be provided only by their sponsor in the UK, and that will be without recourse to public funds.

Moreover, there are separate provisions in the rules to allow extended family who are adult refugees in the UK to sponsor children to come here where there are serious and compelling family or other considerations. That is an important measure, as it enables children to join family members in the UK through safe and legal means.

It is imperative that we think carefully about this issue. Adopting new clause 51 could significantly increase the number of people who could qualify to come here, not just from conflict regions, and irrespective of whether they needed international protection. That would risk reducing our capacity to assist the most vulnerable refugees.

We must also consider community and local authority capacity. I understand that this is a complex and emotive issue, which is why we are listening carefully to calls to extend family reunion and closely following the passage of the private Members’ Bills on this subject, and will continue our productive discussions with key partners. It is particularly important to me that hon. Members are reassured that we are taking this matter seriously, and I hope that I have gone some way in ensuring that. For those reasons, I invite the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East to withdraw new clause 51.

Caroline Nokes

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I am grateful to hon. Members for tabling these amendments. I also welcome the opportunity to explain how the offence of illegal working will be applied to EEA and Swiss nationals after we have left the EU, and how our approach to the EU settlement scheme will minimise any risk of those nationals being subject to the offence of illegal working post-EU exit. The Government have made clear our commitment to protecting the rights of EEA and Swiss nationals who are resident in the UK before exit. I recognise the concerns and the intention behind both new clauses, but they are unnecessary and discriminatory. They are also incompatible with our commitment in the White Paper to establishing a single, skills-based immigration system for all migrants coming to live and work in the UK.

Caroline Nokes

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I am grateful to the hon. Member for Stretford and Urmston for proposing new clause 56 on recourse to public funds when granting leave to remain to EEA and Swiss nationals with children. I appreciate that the intention behind this new clause is clearly to protect the wellbeing of children. By way of background, EEA and Swiss nationals may currently access the benefits included in the new clause, broadly speaking only when they are exercising treaty rights through employment or self-employment, or where they have become permanent residents. The new clause would provide that EEA nationals here with a child, for whatever period, could qualify for benefits, thereby potentially creating new entitlements to benefits based solely on the EEA or Swiss nationality of the parent or legal guardian of the children. I am sure that that was not the intention.

As I have said before, the Government have been clear about their intention to protect the entitlements of EEA and Swiss nationals already resident here, as we leave the EU, and to introduce no new restrictions until the future skills-based immigration system is introduced. All leave issued under the EU settlement scheme does not and will not include a no recourse to public funds condition.

I should like to explain in a bit more detail. The new clause would under the future system provide a significant advantage to EEA and Swiss nationals over non-EEA nationals, who generally qualify for access to public funds only when they acquire indefinite leave to remain, subject to exceptions for refugees and other groups. We believe that that general qualifying threshold for access to benefits for migrants is the right one, as it reflects the strength of a migrant’s connection to the United Kingdom and the principle that migrants should come to the UK to contribute rather than to place pressures on taxpayer-funded services.

Non-EEA migrants coming to live in the UK are currently expected to provide for any children they have without recourse to public funds. There is no reasonable justification for adopting a different principle for EEA nationals arriving in the UK when the new system is introduced.

Further, EEA nationals entering the country under the future immigration system will still be eligible to qualify for contribution-based benefits once they have paid sufficient national insurance contributions. As with non-EEA nationals, full access to our benefits system would be available under the immigration rules after settled status was granted—usually after five years, on a route that leads to settlement.

As I have said, I share the hon. Lady’s concerns about the wellbeing of children. However, I reassure her and the other hon. Members who supported the new clause that the safeguards already in place for the vulnerable will be retained. For example, immigration legislation already provides that local authorities may intervene where required, regardless of the immigration status or nationality of the child or parent. However, it is only right that the future immigration system should also continue to play a part in ensuring that public funds are protected for the lawful residents of the UK, and in assuring the public that immigration continues to benefit the country as a whole.

Caroline Nokes

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The hon. Lady is right to point out the cost pressures on local authorities in relation to that role. I regularly meet not only Ministers, across Government, but the Local Government Association and the Convention of Scottish Local Authorities, which are always keen to reinforce the issues for me.

I hope that the hon. Lady will agree that the Government’s approach is right, and I invite her to withdraw the new clause.