Immigration Bill (Second sitting) Debate

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Department: Home Office

Immigration Bill (Second sitting)

Gavin Newlands Excerpts
Tuesday 20th October 2015

(8 years, 6 months ago)

Public Bill Committees
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Mims Davies Portrait Mims Davies
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Q 94 Fantastic. Are you also able to expand on the CBI’s concerns about the apprenticeships levy? It is obviously the Government’s ambition to see apprenticeships grow. Will the levy affect your members, or the immigration skills charge? What is the impact that you see on businesses?

Neil Carberry: Apprenticeship levies are quite complex at the moment because there are two of them. They have become known in the CBI’s employment team as the big levy and the little levy. There is the large apprenticeship funding model levy, which is a deep concern for the CBI.

On the question of the skills charge, although we do not welcome additional costs, we fundamentally disagree with the idea that immigration is used to resolve skills issues and to avoid training, because companies in the UK do extensive amounts of training—more than many other large western European competitors in terms of spending.

Having said that, if there is to be a skills charge, we need to make sure that it is effectively targeted, so that the money raised does go into apprenticeships that are training people towards the levels of skills that people who came in on a visa were helping to resolve the shortage of. More broadly, it is probably preferable to us that these charges exist than that we make changes to the pay bands for tier 2 migration. Additional cost for a visa is one thing, but being unable to get a person you need at any given point because of changes to the pay bands is more of a business problem. For us, in the grand scheme of things, although we do not like it, we would rather have an immigration skills charge than a much higher entry level of pay to bring people in.

Gavin Newlands Portrait Gavin Newlands (Paisley and Renfrewshire North) (SNP)
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Q 95 In trying to target action against criminals who exploit workers, which is something we can all agree on, do you think the Bill blurs the lines between employment law and criminal activity?

Neil Carberry: I think that is a significant risk, less so around the role of the director than the recent discussion about expanding the role of the Gangmasters Licensing Authority. The role of the GLA so far has largely been an employment process. Since its creation the GLA has spent rather more time telling my members where the commas should be in employment contracts, which is an employment issue, than kicking down doors in parts of the country where doors need to be kicked down.

My sense is that we need to maintain that gap, for exactly the reasons that your colleague raised earlier, which are that employment law is a civil issue; most of its infraction is inadvertent or due to lack of knowledge, so it is really important that people are able to address that—there are routes for people to address that—and it is about the bit of the labour market where workers are not able to secure their rights, which should be at issue in the Bill. The CBI’s test for this Bill, in practice, when it finishes its passage, is to make sure that the actions contained within it are about addressing those issues of exploitation.

Gavin Newlands Portrait Gavin Newlands
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Q 96 Do you think that it should be employers’ or the Government’s responsibility to prevent illegal working, especially given the move away from civil penalties to criminal charges?

Neil Carberry: I think employers should have a duty to ensure that their workforce have the right to work in the United Kingdom—that is probably accepted by our members—at the point of hiring. The issues that we have often faced are issues of establishing that fact in a timely fashion.

James Brokenshire Portrait James Brokenshire
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Q 97 Just to come back on that last question, what is your assessment of the level of knowledge among your members, recognising that part of the role of the labour market enforcement strategy, which the director will obviously have a key role in developing, is to focus on advice to the Secretary of State about education and training? What further steps, in practice, should be undertaken around that, and what about the role of the director in that piece?

Neil Carberry: There is an analogy here, slightly oddly, with the process of automatic enrolment in pension schemes. The Pensions Regulator for many years dealt with some very large companies, which had large defined-benefit pension schemes, kind of knew what they were doing and spent a lot of money on compliance. In many of our largest members, immigration compliance is a million pound a year commitment, because of the scale of it and the reputational risks that we have already discussed. We live in a world in which company size is gradually getting smaller, and has been for 20 or 25 years; the majority of firms are small businesses, and the majority of our members at the CBI are small businesses, often with limited HR capacity. The transition that, for instance, the Pensions Regulator had to make to talking to businesses that had never even heard of it and offering support—it is still struggling to get that right now, but progress is being made—is exactly the same transition that we need to make in this space. It really is helping smaller businesses to understand their duties and the support on offer to them that will be critical to making sure that illegal working action is effective.

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Rebecca Harris Portrait Rebecca Harris
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Q 113 Thank you. That takes me back to the other point, which is about making working illegal, in particular, although it equally applies to some of the other measures in the Bill. I put it to one of our earlier witnesses that quite a lot of potential migrants—even those who might be considered to be being trafficked or abused or taken advantage of when they get here—are quite well informed about the rules and the system here, and, as you said, their chances of remaining indefinitely. Would you say that they are more likely to know that it will be illegal and more difficult to work here, and will that, along with the other measures in the Bill, stop the draw factor? We were told this morning that it was unlikely that people who come from abroad would really know what the rules were here.

Lord Green of Deddington: I do not think that we should underestimate the intelligence of people because they come here illegally. For a start, there is very strong communication within communities, whether you be a Filipina maid or a Syrian carpenter. They all have friends and relatives, and communication is extremely good; they learn very quickly and they also learn the way round the system. I would not be too bothered about that. We need a system that is sensible, firm and fair, and they will either realise that that is the case or realise that it is not.

Gavin Newlands Portrait Gavin Newlands
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Q 114 I just want to ask for a quick clarification of an earlier answer to the Minister, in which you used the phrase “these people”. To be clear, can you define “these people” for the Committee?

Lord Green of Deddington: I am not sure what you are referring to.

Gavin Newlands Portrait Gavin Newlands
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At the start of an answer to the Minister, you used the phrase “these people”.

Lord Green of Deddington: I do not know which answer you are referring to. Can you be a bit more specific?

Gavin Newlands Portrait Gavin Newlands
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You might have been referring to asylum seekers or to migrants, but you gave the answer.

Lord Green of Deddington: I do not understand the question, I am afraid.

Gavin Newlands Portrait Gavin Newlands
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You used the phrase.

Lord Green of Deddington: I use lots of phrases.

Gavin Newlands Portrait Gavin Newlands
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Q 115 My main question is, to what extent do you consider that the Bill carries the risk of encouraging everyday discrimination against people who do not appear to be British?

Lord Green of Deddington: Could you say that a bit louder, please?

Gavin Newlands Portrait Gavin Newlands
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To what extent do you consider that the Bill carries the risk of encouraging everyday discrimination against people who do not appear to be British?

Lord Green of Deddington: What did he say?

None Portrait The Chair
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Lord Green, are you having difficulty with the sound?

Lord Green of Deddington: I am, rather, yes—and, if I may say so, that slightly different accent. I did not understand the question, I am afraid.

None Portrait The Chair
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Okay. You can try again, Gavin.

Gavin Newlands Portrait Gavin Newlands
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Do you think this Bill carries a risk that it will encourage everyday discrimination against people who do not appear to be British?

Lord Green of Deddington: Does the Bill carry the risk? Ah, sorry, yes, I understand. Some aspects of it might—you are probably thinking of the tenancy provisions. There is that possibility and it would be foolish to deny it, but you have to balance that against the absolute scandal of beds in sheds and the exploitation of people—immigrants usually, but not always—by ruthless landlords. There are tens of thousands of beds in sheds, probably more, and appalling conditions. That has to be tackled. Yes, there is a downside, as there is to any kind of change of this kind, but let us keep our eye on the ball. There is a scandal going on in relation to the housing of many people and that needs to be tackled.

None Portrait The Chair
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There is a very crowded field and we have about seven minutes. Kelly?

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Sarah Champion Portrait Sarah Champion
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Q 139 Mr Smith and Mr Lambert, I was surprised by how small the sample size was in the west midlands pilot results. Of the 67 respondents who are tenants, 60 are students. My assumption is that students are much more likely to have passports and letters of authority from their institutions. Do you believe that this is a skewed sample?

Richard Lambert: The evaluation period could have been better. It could have been a lot longer. We would have said, ideally, a year to 18 months because most tenancies last more than six months. In order to understand how this process works, you have to give it that length of time so you can see tenancies coming to an end, and limited right to remain coming to an end and you can see how that renews. It also took place at what is probably the slowest time of the year so, inevitably, there were not going to be a lot of tenancies turning over. Then there were the difficulties of contacting the population. It is interesting that in a university area, most responses to the request for tenant respondents came from students who are possibly more likely to be active in some of the social issues and more aware of these things going on.

David Smith: Students are also, to a large extent, exempt from checks. Students are nominated into accommodation by their educational institutions so any student in a hall of residence is effectively exempt from checks anyway. Given that areas around Dudley and West Bromwich are not substantial student areas—parts of my family come from the area—it is a shame that there was such a high student sample. I would have liked to have seen a sample that more adequately represented a wider spectrum of social demographic groups. We remain concerned about the effects, not so much on, for example, Members of Parliament renting homes, but on people in the lower social demographics who increasingly are coming into the private rented sector, will have difficulty with this legislation and are often driven into the arms of less salubrious landlords.

Gavin Newlands Portrait Gavin Newlands
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Q 140 I know from your written evidence that you call for a clearly understood and properly resourced helpline for landlords. Will you share your members’ experiences of the helpline during the pilot? A recent written answer from the Minister, for which I am very grateful, revealed that there were two full-time equivalent staff for the helpline. Was that sufficient for your members?

David Smith: We have not had any particular feedback. We have certainly had calls to our member helpline from members. I do not know whether that means that they were not happy with what they got. We are concerned about whether the helpline will continue to be resourced as a helpline once we are talking about all of England. That is not clear yet—I am looking at the Minister to see whether he nods or shakes his head. I can tell you that we run a member helpline and that more than two people staff it. It is that simple. Two people will not be enough to cover all of England, but I am not clear about the plans for widening the helpline.

If the helpline is not adequately staffed, there is little point in having it, I suspect. We would like more online resource. I note that, in the evaluation—the guide that was published today—the Government have highlighted the European PRADO database, but it covers only EU documents, not EEA documents. My members are not familiar with Liechtenstein passports, not that they would necessarily see a great many of those. However, many members are likely to believe that countries such as Ukraine are in the EEA, which they are not. We are therefore concerned about people both ignoring countries of which they should take account, and thinking that countries that they have seen in the news recently, which are around the fringes of the EU, must be in the EU.

We are also concerned about the potential for forgery that is opened up on list B. Several documents on there are potentially prone to forgery with a laser printer and we are very worried about the risk our members run of prosecution for not being the most adept spotters of forgeries. Immigration officers frequently examine passport documents and they are highly trained in that. My members are not equipped with UV scanning lights or skilled watermark detection systems, and I am afraid that many of them would not know a watermark if you asked them about it anyway. I am therefore concerned about how they will detect the more sophisticated forgeries, and what the break point is for what they should detect. I am not worried about sellotape.

None Portrait The Chair
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Q 141 Can we just get the questions and then we will have the answers?

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Craig Whittaker Portrait Craig Whittaker
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Q 161 So the new powers in the Bill, around the landlord checks, for example—will they enhance that role as well?

Stephen Gabriel: That is right, yes.

Gavin Newlands Portrait Gavin Newlands
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Q 162 Mr Gabriel, the Bill removes support for a majority of failed asylum seekers. Do you have concerns that through this aspect of the Bill, the Government are in effect devolving to local government responsibility for the support of refused asylum-seeking families through its responsibility to accommodate children? At this time of great restraint in local government funding, do you feel that this is an area that might be looked at again?

Stephen Gabriel: It is a challenge. One of my concerns in Sandwell is that we are part of the West Midlands strategic migration partnership and there is the need for local authorities to have parity in numbers in the families whom they are supporting. Yes, in Sandwell our percentage is higher than in some of the other local authorities in the area, so if the Home Office stops supporting those families, that will potentially have a negative impact on the local authority. That could be a challenge for the local authority.

None Portrait The Chair
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Q 163 We have approximately seven minutes. Does anyone else want to ask a question?