Immigration and Social Security Co-ordination (EU Withdrawal) Bill

Lord Hunt of Kings Heath Excerpts

Committee stage & Committee: 2nd sitting (Hansard) & Committee: 2nd sitting (Hansard): House of Lords
Wednesday 9th September 2020 Lords Chamber

Moved by

[Lord Hunt of Kings Heath]

34: Clause 4, page 3, line 8, at end insert—
“( ) Prior to regulations being made under subsection (5), an impact assessment of the effects of those regulations on the recruitment of international research and innovation staff to the United Kingdom must be laid before Parliament.”

[Lord Hunt of Kings Heath (Lab) [V]]

My Lords, I am delighted to move this amendment on behalf of my noble friend Lord Patel.

In parallel to this Bill, the Government are taking through the Medicines and Medical Devices Bill to ensure that we have an effective regulatory system post Brexit. As the noble Lord, Lord Bethell, explained at Second Reading, we must do all that we can to support the UK’s thriving life sciences industry. He described a world where big data, artificial intelligence and genetics have become enormously powerful engines of innovation, and where engineering and computer science have combined with medicine to generate exciting new medical developments.

It is vital that changes being made in the immigration system protect the excellent UK medical research environment, which drives vital progress for our patients. That is contingent, as Cancer Research UK has reported, on the maintenance of the UK’s leading research environment and our continuing ability to attract, recruit and retain global scientific talent at all levels. It is this mixture of domestic and international talent that supports our thriving research environment. For example, 31% of the UK’s Nobel prize winners in science were born outside the UK, while 50% of Cancer Research UK’s supported PhD students are not from the UK, rising to 76% of postdoctoral researchers at its institutes.

I welcome the Government’s ambition to make the immigration system work for science and research, but the science and research community has real worries about the cost of the system, particularly in comparison to other countries. The current UK immigration system is already one of the most expensive in the world. The total average up-front cost for a tier 2 skilled worker visa, typically used by scientific workers, is 540% higher than the average cost in other leading scientific nations. Most of Cancer Research UK’s researchers say the ease with which their dependants can access public services and take up work is a key factor in choosing a research destination, yet a researcher coming to the UK with a family of four faces nearly £10,000 of fees if they want to apply for indefinite leave to remain. Much of that cost is associated with the health surcharge.

At the moment, research organisations will often step in and pay these charges, but they themselves are struggling financially, particularly given the uncertainty about research grants post Brexit. Cancer Research UK estimates that a typical institute that it funds could face additional costs of between £300,000 and £800,000 once EEA workers move on to the new system. That is a lot of money which should be spent on research activities.

The new global talent visa will play a crucial role in attracting the scientific talent the UK needs. It is a welcome step, but it also retains fees at a damagingly high level. A five-year visa would incur up-front costs of £2,608 for a researcher looking to move here. It is more expensive than India, France, Australia, Germany and Japan. The global talent visa is designed for experienced research staff, but many who are early in their careers or in vital technical roles will not be eligible. We need the new immigration system to work for all the members of a research team. That means attracting researchers early in their careers and ensuring that vital technical staff, who are after all the backbone of many research teams but who are often not that highly paid, are made to feel welcome to live and work in the UK.

The reduction of the salary threshold to £25,600 is a positive step, but researchers who are not eligible for the global talent visa will still be required to apply via the tier 2 route, which is both costly and bureaucratic. Technical staff, particularly outside London, may still fail to pass the salary threshold and will thus be excluded from the chance to contribute to our research environment. For technicians in particular this route is daunting and, as I have said, it is far from certain that they will earn above the £25,600 salary threshold the system proposes.

Amendment 34 is a constructive approach to encourage the Government to undertake an impact assessment of the effects of these regulations on the recruitment of international research and innovation staff in the United Kingdom. These people are vital to the future prosperity of this country. We believe that the Government should delay exercising the power to modify visa charges until the evaluation has been received, so that they can be fully informed about the impact of fees on recruiting these very talented people. I hope that, as a result, the Government will then bring forward a reduction in the total visa costs for researchers and their dependants, a review of the costs faced by medical researchers through the NHS surcharge and consideration of exemption. An option to spread fees over the lifetime of a visa to reduce up-front payments should be considered, along with an improved, digitised system to streamline visa applications and prepare for an expected increase in demand. I really hope that the Minister and the Government will listen to this sympathetically. I beg to move.

[Lord Clement-Jones (LD) [V]]

My Lords, I will speak to Amendment 69 in my name. Our creative industries are hugely successful, generating over £111 billion for the UK economy. Over the past decade, the sector has grown twice as fast as the UK economy as a whole and is part of a bigger creative economy employing more than 3 million people and generating value across the whole supply chain.

Music is a key component of our creative industries. UK Music’s inaugural Music by Numbers report revealed that in 2018 the UK music industry contributed £5.2 billion to the UK economy and that the total export revenue of the music industry was £2.7 billion. British artists account for one in eight albums sold around the world. Music tourism made a £4.5 billion contribution to the UK economy in 2018.

Given the unique nature of the sector, the high volume of freelancers, micro-businesses and performance and project-based work, it is vital that any new visa system is both shaped by and tailored to the creative industries. This is primarily a services and content-driven sector, so the ability to tour and easily move the people, equipment and materials they travel with is vital.

For many roles, too, there is a shortage of applicants with the required skills, experience or qualifications. The UK is a prime destination for the production of music, offering globally recognised recording studios, composers and performers. Our music producers are used by international musicians. Not only does this ensure a continued influx of talent into the UK; it also creates employment opportunities for UK-based music producers, performers, engineers, music technicians and so on.

The market for touring musicians and composers is extremely competitive, and the UK needs to be easily accessible to continue to attract international talent for continued global investment in the UK. As the Minister is aware, and as I and others argued on Second Reading, the creative sector wants to see the Government provide a simple way for European Union musicians and other artists to tour in the UK, and request reciprocity in the trade negotiations. This would mean extending the permitted paid engagement scheme, allowing for multiple visits and permit-free festival arrangements for EU citizens, and for multiple visits and the seeking of a reciprocal touring visa with the EU to enable creators and performers to travel temporarily and to take their equipment with them, tax free.

The UK already offers visa-free entry, including for work purposes, to non-visa nationals. However, the scope of that route for non-visa nationals is too restrictive, and it does not provide any certainty, because ultimately, it is down to the discretion of the UK border official to assess whether the musician is qualified to perform the paid engagement, or that the paid engagement relates to their area of expertise, qualification or occupation. The details provided by the UK Government in the context of the UK points-based immigration system require further clarification of the status of musicians.

European musicians need to be able to tour without restrictions. This includes the transportation of their equipment, and it applies not only to performing musicians but also to song writers, composers, performers and producers, who often travel for work-related purposes. The crew—the trusted people whom musicians rely on when touring—need to be expressly included within simplified touring provisions. This affects UK musicians touring Europe as well as European Union or EEA musicians touring the UK. So we need clarity in any trade agreement that performers and their equipment can tour throughout the European Union without restrictions. Offering a simple solution to musicians or composers intending to perform in the UK would provide a good negotiating position to ensure a favourable system with the EU and other countries, based on reciprocity.

At present, because of freedom of movement for people, UK performers can play a concert in Amsterdam one night, then simply travel to Paris the next night, with no associated costs or red tape. Following the end of the transition period, this freedom will end for UK musicians, unless there are appropriate measures in place to support touring musicians, composers and so on. Countries such as France have traditionally required work permits for performances by artists from non-EU countries. A new reciprocal system is needed post-transition, to ensure that musicians and their crew can operate across Europe in an economic and unbureaucratic way, preserving vital economic and cultural links.

Costly bureaucracy will make touring simply unviable for many artists, putting the development of future globally leading UK talent at risk. This has become even more urgent following the social distancing measures and other restrictions imposed on live events. Most musicians, composers and everyone else involved in the successful organisation of live music events are self-employed or operate as small and medium-sized businesses. Social distancing restrictions will render impossible any economically viable live events at least until the end of 2020, with catastrophic consequences for the live music sector. Based on the figures for live music in UK Music’s Music By Numbers report, the loss to the sector will be at least £900 million.

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[Lord Parkinson of Whitley Bay (Con)]

I thank both noble Lords for their comments. They reinforce the passion of the advocacy made by noble Lords this evening, across a very wide range of sectors and subject areas. I absolutely will go through Hansard and ensure that I follow up on the range of points made in this long, but valuable and important, debate covering a number of important topics.

[Lord Hunt of Kings Heath (Lab) [V]]

My Lords, this has been a very good debate. It is good that so many noble Lords took part in the discussions. My Amendment 34, also in the name of my noble friend Lord Patel, is clearly concerned with maintaining our thriving life science sector, particularly by looking at the current fee structure, which is likely to be so inhibiting to many people coming to the UK.

However, the debate has clearly gone wider. We have heard about the importance of the movement of priests and faith leaders to this country, the movement of young people in education and travel, and of course the performing arts. As a patron of the City of Birmingham Symphony Orchestra and Charles Court Opera, I entirely sympathise with noble Lords who are concerned about the perilous state of the arts at the moment and who want to see it thrive in the future.

I see a direct link between the performing arts and scientific sectors. My noble friend Lord Judd pointed out that the UK excels at both. Both enjoy huge international reputations, both sectors enjoy many talented people coming from abroad, and many of our talented people go abroad as well. We are concerned that the impact of the Bill, the Home Office actions, the cost of visas and the associated health surcharge will be a great inhibitor of this in the future. As my noble friend Lord Kennedy said, our international competitors look at what we are doing and cannot believe their luck.

Obviously, I have listened very carefully to the Minister. In a sense his response was a technical one to say, “Well, you don’t need a further impact assessment because we’ve already done one, we’ve got another on the way, and we’ve got the MAC to help us as well.” Frankly, as regards the future of our life science sector and performance sector, the MAC is the last group of people that I would go to for advice. The problem with the Minister’s answer is that in giving a technical one, he has not really responded to the underlying concern that so many noble Lords have about the future of these highly important sectors.

Clearly, we will come back on Report, and I believe that the House of Lords is prepared to make it very clear to the Government that they need to do more to protect these sectors. Having said that, I thank all noble Lords and beg leave to withdraw my amendment.

Amendment 34 withdrawn.