Statement of Changes in Immigration Rules

Debate between Baroness Valentine and Lord Haskel

Tuesday 3rd May 2011 Lords Chamber

[Lord Haskel]

My Lords, I join other noble Lords, my noble friend Lord Hunt and the Merits Committee in regretting that the Government have not published a comprehensive explanation of the findings from their consultation. Could that be because the consultation showed that the changes were a mistake and there was little support for them, as my noble friend Lord Hunt suggested? Let me put on record some of the consultations that I have carried out.

I shall quote from a briefing note dealing with the impact on the Imperial College Business School of the changes in the work permit regulations, particularly the recent decision to abolish the two-year post-study visa. The briefing note states:

“The UK’s main competitors in the higher education sector use post study work options to attract the best students. Without post study work options the UK and HE will lose valuable revenue, talent and impact our reputation”.

The school polled its non-EU graduate students, who comprise more than 50 per cent at that college. Of those, three-quarters indicated that they would not have chosen to study in the UK without the availability of these post-study visas. I put it to the Minister that this decision was inconsistent not only with the interests of Imperial College, but also with the policy of the Department for Business, Innovation and Skills.

In March, along with the Budget, the Department for Business, Innovation and Skills issued its Plan for Growth. Page 6 states that Britain should be the,

“home to more of the world’s top universities than any other country except the USA”.

Surely, Imperial College must be part of that ambition. Was BIS consulted as well as Imperial College? On page 91 of the Plan for Growth, the Government speak of healthcare and life sciences as key contributors to our future economy. Paragraph 2.185 states:

“Innovation is a key driver of long-term growth in the sector”.

I recently visited Professor Molly Stevens at Imperial College. She is its professor and research director for biomedical materials. Perhaps noble Lords will join me in congratulating her on being ranked by the Times Eureka magazine as second among the UK’s top 10 scientists under 40. She carries out exactly the type of work that the Government’s Plan for Growth identifies as a key driver of long-term growth. I shall quote what she said to me:

“In my particular group I have several very talented postdoctoral fellows. Ten of these come from outside Europe. I have absolutely no doubt that it is this combination of highly skilled people that has helped to make my group so successful. If I had not been able to take on those 10 international fellows then our work would have been of significantly lower impact. Facilitating visas for these people to work for us would bring so much value and advantage to our UK universities—they are completely invaluable. These staff, although highly skilled, will typically have earned very little during their PhD studies, making it even more difficult to qualify for some high skilled visa categories”.

If her work is a key driver for our long-term growth, were she or any of her colleagues consulted?

Was BIS consulted, because that is part of its policy? What about other parts of government? Were they consulted? Last Thursday, we had an interesting debate in your Lordships' House on soft diplomacy. Noble Lords spoke about building relationships with the next generation; how people who work and study here become our best ambassadors; how we build lasting ties in that way—just the sort of relationships that Imperial College is operating. Winding up, the Minister, the noble Lord, Lord Howell, agreed with all of those comments. Indeed, he told us that the FCO had nearly completed a UK soft power business plan to reinvigorate and promote that very thing. Was the FCO consulted?

My noble friend Lord Judd spoke of joined-up government. Was there any joined-up government? Were the findings of the consultation just ignored? If they were properly considered, surely the Government would have found a way for the Borders Agency to control immigration in such a way that it did not help to defeat the stated aims of other government departments and cause difficulties for institutions on which the Government's policy depends.

I support my noble friend’s Motion because my consultation and the Government's decision are incompatible. I urge the Government to think again. Perhaps the most valuable role that this House performs for any Government is to provide a pathway for them to think again. I hope that the Minister will take advantage of that.

[Baroness Valentine]

I first declare that I am the chief executive of London First. I acknowledge that the Government have done a lot to address business concerns about the immigration caps. I remain, however, a sceptic on the benefits of a tier 1 and tier 2 cap and I certainly remain a sceptic about a net migration target where the Government have so little control over the factors influencing it. They cannot control immigration; they cannot control relative economic performance of countries or EU in flows and out flows. However, we are only one month into the new scheme, and we now need some stability and the opportunity to monitor the scheme's impact.

I make one plea of the Minister. Will she consider conducting a thorough economic and social impact study towards the end of this year so that we can improve the scheme based on evidence?