EU Settled Status Scheme

Drew Hendry Excerpts

Tuesday 27th November 2018 Westminster Hall

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

It is a pleasure to serve under your chairmanship, Mr Hollobone. I congratulate the hon. Member for Boston and Skegness (Matt Warman) on securing an important debate.

Frankly, it is appalling that people still face uncertainty about settled status. Recently, I held Brexit public meetings throughout my constituency and shared with my constituents all the information available from the Government website. They did not feel reassured, and only asked more questions. The continued uncertainty about settled status is costing communities and families who contribute socially and economically. In the public meetings, I met EU nationals who are doctors, nurses, teachers, service workers and many more. They remain terrified by the uncertainty. They still have no answers to the most basic questions about their future.

The uncertainty about settled status has already had a devastating impact on the ability of our local employers to recruit the workforce they need among people from the EU countries. Instead, those people who would be taking up opportunities and jobs in part of the highlands where 20% of our economy is based on tourism, are choosing to go elsewhere in the EU for work. I have heard from countless business owners in my constituency, particularly in tourist towns such as Aviemore, about their staff shortages and the impact of the uncertainty on their businesses.

The uncertainty is particularly frustrating for employers who cannot get a straight answer on the rules. The Home Office has said:

“Employers will not be expected to differentiate between resident EU citizens and those arriving after exit.”

That contradicts comments made by the Immigration Minister, who only days ago told a parliamentary Select Committee that employers would be required to do

“rigorous checks to evidence somebody’s right to work”.

If they cannot agree among themselves, how do they expect employers to know what to do? We are not talking only about those who want to employ EU nationals but about EU nationals who are themselves business owners.

This is a profoundly personal situation for many people. Shortly after the referendum, I was approached by constituents who ran an import-export agricultural business. The uncertainty about their future has forced them to close their business, and now they are concerned because they have primary school-age children; they are worried about their status and whether they are able to live and work here at all. Based on the warm words of the UK Government so far about protecting EU citizens, I have tried to reassure them, saying that I imagine that they will be okay in future, but the lack of any evidence to back that up with fact means that the people affected are, and remain, deeply unsettled.

The hon. Member for Boston and Skegness described the situation as profoundly personal. This is a profoundly personal problem for people, but in my constituency and many like it in Scotland, it is also a profoundly personal situation for the communities in which EU citizens reside as our friends and neighbours. We have the pain of trying to work with them through this Brexit mess.

[Wera Hobhouse]

Is it not true that we might also be failing the most vulnerable? Some of the processes are difficult to understand; some of our more vulnerable EU citizens might not understand them all, and legal aid is not available. Should we request that legal aid be made available to our more vulnerable citizens who find the process difficult to understand?

[Drew Hendry]

I completely agree. For public service workers in Scotland, the Scottish Government have stepped in to support EU nationals, but that is something that should simply be done as a matter of course across the nations of the UK, because there is a big problem. The lack of information and clarity from the UK Government has posed a significant problem.

I am grateful to have had the opportunity to speak in this debate, Mr Hollobone. The UK Government need to get a grip on this. People cannot be left in their current state of uncertainty and worry.

[Stuart C. McDonald (Cumbernauld, Kilsyth and Kirkintilloch East) (SNP)]

It is a pleasure to serve under your chairmanship, Mr Hollobone. I, too, congratulate the hon. Member for Boston and Skegness (Matt Warman) on securing this debate.

My party and I obviously very much regret the need for a settled status scheme at all but, for so long as we are heading down that road, we all have an interest in ensuring that it works as well as it possibly can for the sake of all those caught up in it. I congratulate hon. Members who have raised a number of concerns and issues that still require resolution or clarification, while also commending the scheme’s positive features. I acknowledge that a lot of hard work has gone into the scheme so far, but my hon. Friend the Member for Inverness, Nairn, Badenoch and Strathspey (Drew Hendry) reflected the overriding and pervading sense still of worry. As an Opposition MP, I will focus on that side of things, rather than on the more positive aspects highlighted by the hon. Member for Boston and Skegness.

First, there is the issue of who qualifies for settled status. The Government did a lot of work to build trust, but every now and again they seem to shoot themselves in the foot. The latest problem has been a discrepancy between what is committed to in the statement of intent and what is delivered by the immigration rules. The intent was clear—that all EU citizens bar serious criminals would be allowed status, and only proof of identity and residence and a criminality check were to be required. However, the immigration rules reserve for the Home Office the right to refuse all who are subject to removal for not exercising treaty rights. That comes across as a breach of trust, which should be remedied. This is not a hypothetical matter—29% of permanent residence applications are refused for non-exercise of treaty rights, so hundreds of thousands of people, if not a million, may be caught by that.

I came here from another interesting meeting of the Home Affairs Committee, at which the permanent secretary and the Home Secretary again went out of their way to reassure us that their intention is simply to stick to the statement of intent, and that all that will be required is ID, residence and a criminality check. I put to the Minister what I put to them: why not ensure that the immigration rules reflect what is in the statement of intent and remove this ambiguity and dubiety altogether?

I have not yet established whether certain classes of people will qualify. I have raised some of these issues before, but I am still not clear whether a number of carers will qualify for settled status, including Zambrano, Teixeira, Chen and Ibrahim carers. I raised that at the Home Affairs Committee and was promised a letter, which never arrived, so it would be useful if the Minister clarified that. The number of people involved is very small, but the consequences are just as important for them as for everybody else.

I turn now to cost. My party has long called for the scheme to be free. I do not expect the Minister to announce that that will happen. We welcome the waivers and reductions that have been introduced, but we continue to call for the Government to go further. The hon. Member for Boston and Skegness mentioned some vulnerable citizens for whom it would definitely be appropriate to seek a waiver. After all, we are requiring these people to apply to remain in their own homes and jobs. Charging them for the privilege seems to me to be rubbing salt in the wound. Although £65 does not seem a massive amount, we are talking about a family of five having to pay £230. On top of that, at least 100,000 people will have to apply for renewed passports and so on, and there may be other costs related to the scheme. When all those expenses are taken into account, the cost could add up.

[Drew Hendry]

My hon. Friend mentioned the £65 charge for applications, but there is a £32.50 fee for children. Does he find that unpalatable?

[Stuart C. McDonald]

That is a fair point. I reiterate that our party believes the scheme should be free of charge altogether.

My hon. Friend mentioned the Scottish Government, but there are other employers who want to support their EU employees by paying the fee for them. For example, this morning I met the University of Cambridge, which is among those employers who want to pay for EU employees to achieve settled status. Actually, it will go further and apply for family members, too, so hats off to it. I understand there may be a technical issue with that, but I think employers want to be able to pay the fee as their employees make the application rather than having to reimburse them after the event. I do not know whether that is possible, but it would be useful if the Minister commented on that.

There is a concern that if employers reimburse their employees, they will be charged tax by the Treasury. Obviously, that would be awful from all sorts of perspectives. It will cost the University of Cambridge around £1 million to reimburse its EU national employees. For the Treasury to tax that would be wrong in principle, and it would not be good for the Government to be seen to be taxing settled status applications funded by employers. It may also discourage other employers from doing the same. I think the Home Office is keen for as many employers as possible to support their employees through the scheme, so it would be useful to hear what the Minister has to say about that. Again, I raised it with the Home Secretary a few moments ago in the Select Committee. He said he would be willing to raise it with the Treasury, and it would be good if the Minister was on side with that, too.

On evidence and advice, I have absolutely no reason to doubt that this process should prove simple in straightforward cases. However, like the hon. Member for Bath (Wera Hobhouse), I am worried about cases that are not simple, such as those involving elderly EU citizens who achieved permanent residence many years ago but are long retired and lack documentation. Why exclude any sort of evidence—evidence of family, friends and other sources, for example—from consideration? Why not allow caseworkers to look at all the evidence in the round in cases where the Home Office’s preferred type of evidence is not submitted?

Some people will have very difficult decisions to make. For example, they may be offered pre-settled status by the Home Office and have the choice of either challenging that and continuing to look for settled status or just going with what the Home Office offers them. Advice will be very important. Although the practical advice offered by the Home Office is helpful, I absolutely agree with the hon. Lady and my hon. Friend the Member for Inverness, Nairn, Badenoch and Strathspey that there should be provision for independent legal advice via legal aid for those who need it but cannot afford it. That will be available in Scotland as normal through the advice and assistance process, but it should be available to all throughout the UK.

More generally, we need a concerted and ongoing outreach scheme to ensure that everyone who needs to apply applies. The hon. Member for Boston and Skegness mentioned the £9 million that has been spent so far, but I am dearly worried that that will not be enough. I recently read an alarming paper from the British Medical Association, which suggested that 37% of EU doctors were blissfully unaware of the Government’s settled status scheme. Imagine what that figure is among people who are not brilliant at English, elderly or vulnerable people, and people who never use the internet. There will be many who simply do not think they need to apply, including children who think they are British because they were born here but are not.

That leads us to what is probably the pivotal question: what happens to those who fail to register by the cut-off date? That includes both those who do not apply at all during the initial period and vulnerable people who get pre-settled status but fail to apply during the subsequent five years. Again, that will include children and other vulnerable people, such as trafficking victims. I asked in the Select Committee why we need a cut-off date at all. Surely, the end of the implementation period provides all the motivation we need to encourage people to apply. If even 2% or 3% fail to make it—for most Home Office schemes, we would be lucky to get 80% to 90% of people applying—tens or hundreds of thousands of people who should have applied will not have done so. Those people will face all the same consequences the Windrush generation faced, but the numbers involved absolutely dwarf that horrible episode. There is no need for a cut-off point. People should continue to be able to apply afterwards.

There are significant concerns about those who obtain status not being provided with a proper document. The hon. Member for Boston and Skegness talked up the positives of the digital document, but there is another side to that. These people, too, fear the hostile environment. The Residential Landlords Association, the3million, the Joint Council for the Welfare of Immigrants and the Exiting the European Union Committee have all warned that if a landlord is approached about a property by one person with a British passport and another with a bit of digital code that requires further investigation, the person with the British passport will get the property. We are already seeing that sort of discrimination, and the big fear is that EU nationals with a bit of code will get it 10 times worse.

Finally, we have the issue of enforcing the deal on citizens’ rights. We need to know what form the independent monitoring authority will take. Obviously, it should be independent of the Government. When will it be established? Is there any prospect of that happening prior to the end of the implementation period, given that most applications will be made during that time?

There are many other things I could mention, and lots of issues will continue to arise. My final ask of the Minister is simply that she makes a statement to Parliament early in the new year to update us—and, most importantly, our constituents—about the progress that has been made so we can continue to push and raise concerns on behalf of EU nationals.

--- Later in debate ---

[Caroline Nokes]

I thank the hon. Gentleman for that question. Throughout my time as Immigration Minister, I have always been pleased to meet as many interest groups as possible, so I will be delighted to meet him and some of his constituents. I would like to reassure him that I also have a constituency in the south-east of England and regularly meet my own constituents, who raise their concerns with me, and understandably so. Since the referendum, it has been a time of uncertainty and upheaval for some people, and it is important that the Government make ourselves as accessible as possible, so that we can give a reassuring message to our residents.

[Drew Hendry]

I hear what the Minister says about making the message as encouraging as possible, but does she agree that when language is used, either deliberately or lazily, saying that EU nationals are “jumping the queue”, it sets back that objective quite considerably?

[Caroline Nokes]

The hon. Gentleman will be aware that we are moving forward shortly with a new immigration system. Sometimes it can be very frustrating in the Chamber, because we end up on time limits and with either the Chair of a debate or the Speaker urging us not to take up too much time, but I am always very conscious in the language that I use that we must be welcoming, careful and tolerant. Immigration is an emotive and difficult subject, and I always regret it when my time limit means that I speak in what I refer to as tabloid headlines, which I never welcome. It is important that we set out in due course—hopefully very shortly—our future immigration system, which will certainly be based on skills that people can bring to the UK. That is our position going forward.

As I was saying on the update of the private beta testing phase 1, the average time taken to reach decisions was just under nine calendar days, and the fastest decision was made within three days. All applicants successfully proved their identity and, as my hon. Friend the Member for Boston and Skegness said, around 94 per cent of those who provided customer feedback found the application process easy to complete.

The second pilot began on 1 November and will test the online application as an integrated, end-to-end process. It will significantly scale up the testing, with EU citizens working in the higher education, health and social care sectors across the whole UK, who make such a huge contribution, being able to apply. I would like to thank them and their employers for assisting us in this way. This phase will also enable us to consider the support that some vulnerable applicants may need. The Government have already announced grant funding of up to £9 million to enable voluntary and community sector organisations across the UK to provide such support.

We are also using the remaining months before exit to scale up our communications and outreach. Millions of people have already seen Government advertising encouraging them to visit gov.uk for easy-to-understand information, and there will be a comprehensive set of communications materials next year. As I have travelled the country over the past few months and met EU citizens, I have been pleased to hear that they have already received communications, and many are confident about the settlement scheme’s progress.

My hon. Friend raised a series of questions, all of them important ones that he is absolutely right to raise. We continue to work with Apple to deliver the identity verification functionality that is currently available only on Android. He may be aware that my right hon. Friend the Home Secretary was in America only recently, and I am conscious that this is an issue that he continually raises at the highest level.

The £9 million grant funding to those groups helping vulnerable people is incredibly important, and my hon. Friend the Member for Boston and Skegness asked how, specifically, it was to be spent. On 25 October we announced the grant funding to enable voluntary and community organisations across the UK to support EU citizens who need additional help to apply. We have been working really closely with charities and community organisations representing the needs of vulnerable EU citizens. These grants will help them to inform vulnerable individuals about the need for status and to give practical support in enabling them to complete their applications.

I visited the Barbican library some months ago to look at the Assisted Digital service, and I was impressed with the commitment of people there to ensure that individuals were getting the support they needed. We currently have a pilot running with five local authorities, including Kent and Lincolnshire county councils, Sheffield City Council and Waltham Forest and Haringey borough councils. We are also working with seven non-governmental organisations, including the Cardinal Hume Centre, St Vincent de Paul, the East European Resource Centre, Coram, Rights of Women and various other groups. Our aim is to ensure that grants are awarded across the UK to communities where support is most needed and where organisations are able to provide it. The lots are specifically designed so that a diverse range of organisations are able to apply; eligible organisations can be charities, non-profit organisations, community groups or religious organisations.

The second phase of testing will finish on 21 December, which will enable us to have, in technical terms, a fire break between phase 2 and a further phase of testing, which will occur in the new year. Self-employed people can prove their residence via our automatic data matching at Her Majesty’s Revenue and Customs, and family members will be able to use a range of evidence not necessarily linked to employment to prove their residence.

My hon. Friend and, I believe, the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East (Stuart C. McDonald), who spoke for the Scottish National party, raised the matter of fee waivers and the cost of applying. This matter was raised with me in the House, specifically in relation to victims of human trafficking, by the hon. Member for Birmingham, Yardley (Jess Phillips). She made, as indeed my hon. Friend the Member for Boston and Skegness has made, an important point. I undertook then to look at the specific issue of those who had been victims of human trafficking, and I would like to reassure hon. Members that it is a point well made and something I am looking at very closely.

However, having agreed the level of fees with the European Union, we believe that our approach is reasonable, proportionate and fair to all EU citizens, and application is free of charge for those who hold valid permanent residence documentation or indefinite leave to remain, and for children looked after by local authorities.

[Drew Hendry]

I am grateful to the Minister for giving way a second time; she is very generous. She is highlighting the fact that the scheme, or elements of it, has been agreed with the European Union. Can she give a cast-iron guarantee that all the measures she is talking about will be in place, regardless of the outcome of the meaningful vote and what happens after this place has decided on the deal brought forward by the Prime Minister?

[Caroline Nokes]

It is important that we give reassurance to EU citizens living here. As the former Secretary of State for Exiting the EU, my right hon. Friend the Member for Esher and Walton (Dominic Raab), made very clear, I believe, in one of his Select Committee appearances, this is a solid commitment to EU citizens, who we want to stay. I think one hon. Member might have raised the spectre of this, but we are certainly not going to remove EU citizens.

Moving on to some of the comments that hon. Members have made, the hon. Member for Inverness, Nairn, Badenoch and Strathspey (Drew Hendry) spoke about employers. That is an important point. I was pleased to be at the launch of the employers’ toolkit that we have been making available to employers since much earlier in the summer, which was designed hand in hand with employers. I am conscious that they play a significant role in communicating to their employees how the scheme will work. We are already working with specific employers, NHS trusts and now universities as part of the testing phase. The toolkit has been welcomed and is useful, and it is designed to enable employers to help their employees through the process.

The hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East raised a number of points. I want to focus on a productive meeting that I had yesterday with the Scottish Government Minister for Europe, Migration and International Development, as part of a series of meetings I have undertaken to have specifically with him, but also with representatives of the Welsh Government and local government. It is important that we engage widely both with parts of the United Kingdom and with local authorities where there is a significant impact. We know that when people feel uneasy at times, they are likely to turn to local government or the devolved Administrations for support.

The Scottish Minister raised with me, as indeed he did in the summer, the question of fees and the undertaking by the Scottish Government to pay the fees for those working in certain sectors and perhaps for their own employees. He and I discussed yesterday the issue of taxation, and I undertook to raise that matter with the Treasury. I understand, and I hope I am correct in this, that my right hon. Friend the Home Secretary made the same undertaking to the Home Affairs Committee this afternoon.

The hon. Gentleman also specifically raised those who exercise rights as carers as Zambrano, Chen, Ibrahim or Teixeira cases. We have indicated that those resident as Zambrano cases are not protected by the draft withdrawal agreement, but we have decided as a matter of domestic policy to protect them. We consider that their current rights do not lead to a right of permanent residence under EU law, but a new UK status will be made available to them, as it will be for Chen, Ibrahim and Teixeira cases.

The hon. Gentleman also raised the issue of landlords. I was very pleased, as Immigration Minister, to reconvene the landlords panel, which I co-chair with Lord Best. We met recently and, with a group of representatives of landlord organisations, went through the digital right-to-work check, which we will mirror for landlords with a digital right-to-rent check. It is a straightforward process, and the landlord representatives present were impressed with the way the right-to-work check already works. We will roll that out for landlords to make their checks as easy as possible.

The test phases majored on by some Members are exactly that—tests. It is very important that we make sure the scheme works as it is rolled out. We started deliberately in a very small and controlled way, and have expanded it significantly in phase 2. As my hon. Friend the Member for Boston and Skegness mentioned, it will be expanded much more widely in the second part of phase 2 testing. We expected there to be bugs and to need to make technical fixes. That was part of the reason for testing.