Labour and Skills Shortages: Temporary Recovery Visa

(Limited Text - Ministerial Extracts only)

Tuesday 8th November 2022 Westminster Hall

[The Minister for Immigration (Robert Jenrick)]

It is a pleasure to serve under your chairmanship, Mrs Cummins. I am grateful to the hon. Member for Westmorland and Lonsdale (Tim Farron) for calling the debate. As others have said, he represents one of the most beautiful parts of the country and one of my favourite destinations. Any help we can give him to ensure that his hospitality and tourism sector continues to thrive is a priority for me.

I am grateful for comments and speeches from other right hon. and hon. Members, and will try to answer as many as I can in the time available. I am particularly pleased to see my right hon. Friend the Member for Witham (Priti Patel) make her debut in Westminster Hall after many years. I know from my new colleagues at the Home Office how much she is missed. I was pleased to hear her thoughts today.

I will begin by addressing the specific question of a temporary recovery visa, and then broaden out. We have had a wider debate about how we handle labour market shortages, the balance between migration and our domestic labour market and how we train people here in the country to meet those challenges. That includes how to balance bringing people into the country versus the significant issue of more than 5 million economically inactive people, and how we can help those individuals back into the labour market, whether they be older people who left the labour market during the pandemic, or younger people who need to get back or into work for the first time.

It is important to say at the outset that an impression has been given during the debate that the visa system is highly restrictive, enabling few people to come into the country, and that essentially migrant labour has been cut off as a result of policy decisions. That really is not true. We have a comparatively flexible work visa system, and the Home Office granted over 330,000 work-related visas in the year ending June 2022, including—I will come to this in more detail in a moment—just over 96,000 health and care worker visas to support the NHS. We have more than doubled the number of eligible occupations for skilled worker visas so that more than 60% of jobs in the UK economy are now eligible. Over 48,000 employers are now on the sponsor register, and we encourage others to join.

We have to set today’s debate, and the important and valid points that have been raised, within that context. As a country, we are welcoming very significant numbers of people to work and live here as a result of our visa system. Of course, there can be a legitimate debate about who we are inviting in, and whether we address specific concerns, but it is not correct to suggest that we have a highly restrictive system, or that that has been a consequence of leaving the European Union.

In general, I do not think that a temporary recovery visa is the right approach. The points-based system is the right way forward. It supports UK businesses to recruit workers with the skills that they need from around the world, and it is broader than the previous immigration system, with many more jobs now eligible, stretching across all the key sectors of the British economy, thanks to the good work that my right hon. Friend the Member for Witham did during her time in office.

We have a large and growing domestic labour force, which includes UK workers, the millions of people who applied successfully under the EU settlement scheme, and visa-holders with general work rights. It is important to stress that, over the course of the last year or so, we have also had tens of thousands of Ukrainian and Afghan citizens. In fact, well over 100,000 are now living in the United Kingdom, a good deal of whom want to work. We should encourage them into paid employment for many reasons, not least so that we can help them to make fruitful lives here and ensure that they are not living in hotel accommodation, which too many still are. That has been the subject of other debates elsewhere in Parliament this week.

Many of the sectors that have called for a recovery visa, some of which have been discussed today, including hospitality, haulage and construction—all sectors for which I have sympathy; I have been involved in some of them in recent years as a Minister—have long-standing recruitment challenges, stretching back many years. Some of them are essentially calling for a general immigration route, allowing recruitment at or near the minimum wage for roles that have only relatively short work-based training requirements. It could be a choice for this country to welcome workers to that type of role, and other parties may make different choices from us, but it is important not only that we are guided by the Migration Advisory Committee’s recommendations, but that we think carefully about the skill and salary thresholds of people coming into this country.

That is for a number of reasons. One reason is so that we can ensure that people who are looking for work in this country are encouraged into those jobs. As Members of Parliament, I am sure that we have all come across employers in our constituencies who in the past have reached too easily for international workers rather than trying to recruit, retain and skill up British workers. I have certainly encountered that in my constituency, which has a good deal of employers in the food processing and agricultural sectors.

Another reason is that we want to encourage the British economy to be more productive. Employers should ensure, where possible—it is not appropriate in every sector—that we are better at automation and have a more innovative economy, not one that is simply hooked on the drug of relatively low-paid and low-skilled migrant workers. I appreciate that in sectors such as care, and perhaps hospitality and tourism, talk of automation and innovation is not as relevant. I will come to some of the work that we have been doing in those sectors in a moment.

I want to stress that some of the businesses we have been talking about, particularly in hospitality and tourism, although undoubtedly they have been through an extremely difficult period during the pandemic and our recovery from it, have benefitted from substantial Government support, whether through the business support scheme or furlough. Those schemes amounted to hundreds of billions of pounds. I do not diminish the challenges that businesses face, but it is worth reminding ourselves of the scale of support we have given. We are, of course, living in the long shadow of the pandemic and the fiscal challenges it has brought upon us all.

We really need to encourage businesses to play their part by investing in and developing the UK’s domestic labour force, rather than relying on immigration policy as an alternative, especially given the 5 million economically inactive people in our economy. That does not mean we should not think carefully about the sectors that face particular challenges. We are alive to those issues and want to adopt a pragmatic approach, but that approach has to be a two-way street. As the hon. Member for Aberavon (Stephen Kinnock) said, it involves businesses themselves working hard to recruit and retain domestic workers and thinking about improving their productivity, rather than immigration being the long-term solution for those sectors.

We must also be alive to the fact that some of the industry bodies and lobbyists who approach the Government, perfectly understandably to represent their members, occasionally overstate the value of migrant workers and their availability in the international labour market. The former Home Secretary, my right hon. Friend the Member for Witham, will remember some of those instances. I am thinking, for example, of HGV drivers: there was a concerted campaign—one that ostensibly seemed valid—to create a specific route to bring more HGV drivers into the country to meet the significant issues we had at one stage. We responded to that call and only a tiny number of foreign HGV drivers ultimately applied for the visa, met our requirements and came here.

The lobby groups that raised that issue, although they were perfectly at liberty to do so, were wrong. That was not the route to solve the problem. The long-term solution was to make the industry more attractive to domestic workers, to retain more HGV drivers and to help to put the sector on a more sustainable footing.

[Several hon. Members rose—]

[Robert Jenrick]

I will give way to the hon. Member for Glasgow North East (Anne McLaughlin) and then the hon. Member for Strangford (Jim Shannon).

[Anne McLaughlin]

Could that failure to recruit enough HGV drivers from overseas have been anything to do with the fact that they were told they could come here for 12 weeks and would then have to go home again?

[Robert Jenrick]

No, that was not the issue. Without going off on a tangent, the root cause of the issue was the aging population of HGV drivers. Many were coming up for retirement and the industry had had poor pay and working conditions for a long time. There was also a global shortage of HGV drivers, so it was not unique to the UK. We saw it all over Europe.

[Jim Shannon]

I thank the Minister for his interest in trying to solve these problems. In my contribution I spoke specifically about fishing and skills; will he give an assurance that he will meet me, and other Members who wish to join us, to discuss that topic? That would be helpful. I make that request in a constructive fashion—I mean that honestly—because I believe there is a way forward that we can all agree on.

[Robert Jenrick]

In the time I have available, let me address some of the specific points raised. I am looking forward to meeting the hon. Member for Strangford and representatives from the fishing industry. He has made a number of good points today and I hope we can explore them in more detail when we meet.

The hon. Member for York Central (Rachael Maskell) made valid points, particularly on health and social care. As a former Health Minister, I hear what she said. The issues she raised are the reason why my right hon. Friend the Member for Witham created the health and social care visa, which has been very successful, and we now see tens of thousands of doctors and nurses coming to the UK. That is not the long-term answer—we want to train more people domestically, and I am alive to arguments made for lifting the cap on medical school places—but in the meantime it is important to bring in those who want to come here to work. That visa is also applicable for care workers, although I appreciate that there are some legitimate concerns about the salary threshold and so on that make it more challenging than we would like it to be.

In opening the debate, the hon. Member for Westmorland and Lonsdale talked about the broader labour market challenges and how we respond to them—a valid point also made by my right hon. Friend the Member for Witham. We need to take that up across Government so that we have a far more joined-up approach to these challenges. One way in which we are trying to ensure that skills training more adequately meets the needs of particular communities in England, at least, is through devolution. We now routinely devolve the skills budget for adults to local authorities and Mayors. The hon. Member for Westmorland and Lonsdale has a new devolution deal in his area; if that progresses to a mayoral deal, I suspect he will see a devolution of skills budgets and training to Cumbria, which may be helpful to him.

A number of colleagues raised the question of youth mobility schemes, which I fully support and would like to see more of. Most recently, we have progressed that idea through the Australia and New Zealand free trade agreements, while negotiations are ongoing with other countries. We are open to more agreements, which clearly must be reciprocal. With respect to European countries, we are open to that debate. The EU is currently seeking an agreement across the whole European Union, rather than on a state-by-state basis; although that does not preclude us from entering into it, it clearly means a longer and more complex negotiation than if we were able to negotiate with individual states.

Several Members raised the question of asylum seekers having the right to work in the UK. I appreciate that there are good arguments on both sides of this debate, which I have considered at length. On balance, I do not agree with doing it because it would add a further pull factor to the UK. The UK already sees a very large number of individuals making the dangerous crossing across the channel. There are a number of reasons for that. The UK is viewed as a more attractive location to come to for work and access to public services because of the way in which we treat those individuals versus other European countries. I do not think it would be sensible for us to add a further pull factor to the many we already have. Deterrence has to be suffused through our approach to tackling illegal immigration. If we undermine that further, we will only find larger numbers of individuals crossing the channel.

With that, I draw my remarks to a close. I look forward to meeting the hon. Member for Strangford to discuss fishing. If the hon. Member for Westmorland and Lonsdale ever wishes to take up these matters with me, I would be happy to meet with him to discuss them further.