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| Fri, 4/7/2008 | ||
The UK Home Office has announced that it has added two new occupations to the national shortage occupation list for work permits and amended two occupational titles.
Occupations added to the list are; electricity generation engineers and high integrity pipe welders. The amended to the occupational list are quantity surveyor and pharmacist (including pre-registration pharmacists).
From 18 July the following occupations will be removed from the list; CAA licensed aircraft engineers and consultant posts in geriatric medicine and rehabilitation medicine.
The implication of an occupation being removed from this list is that work permits can still be issued for these occupations, but employers are now required to advertise these posts. Where the employer can demonstrate, after advertising, that there is no suitably qualified resident or EU citizen candidate available to fill the vacancy, a work permit will still be issued.
Please contact our offices for more information.
The BBC reported that according to Halifax, Britain's biggest mortgage lender, house prices have dropped by 2,4% in May 2008. This brings the average price of a UK home to £184,111.
Nationwide building society also reported a drop in house prices of 2,5% for the month of May.
The chief economist at Halifax was reported as saying that the decline in house prices were caused by the difficulties for potential house purchasers by the rapid rise in house prices in the last few years, a squeeze on spending power and the reduction in credit availability.
A spokesperson from the Department of Communities and Local Government said that when looking at trends in the market, it is important to remember that UK house prices are 39% higher that five years ago and that the current issue affecting the market is fundamentally about the supply of credit. This is a very different situation to the the early 1990s which was about high interest rates and unemployment.
The Bank of England's Monetary Policy Committee has decided to keep interest rates on hold at 5%.
This decision was widely expected amid concerns about the rising inflation rate, although there were some calls for cut in interest rates in order to counter the economic slowdown and falling UK house prices.
The BBC reported that most analysts expect interest rates to be left unchanged for several more months.
The BBC reported that a study by the Work Foundation found that skilled migrants were needed for the UK in areas such as science, healthcare and technology.
The author of the report also said that the UK needed to be seen as an open and attractive place for skilled employees and that hostility towards immigrants could stop companies from attracting highly-skilled workers from abroad. If the UK is deemed to be seen as unwelcoming to highly-skilled migrants, they will go elsewhere to competing countries like the US, Canada and Australia.
The report further found that despite the high-profile immigration debate in the UK, the number of skilled workers moving to the UK was relatively low. According to official figures 167,000 skilled workers came to the UK in 2005, but many more were needed if Britain was to prosper in the global market.
The Guardian newspaper has reported that figures from the Office for National Statistics indicates that nearly two millions Britons left the UK between 1997 and 2006.
An analyst from the Public Policy Research was reported as saying that this was the biggest emigration wave from Britain in absolute numbers, although a larger proportion of the the population left during the 1930's and in the middle of the 19th century.
Many of the Britons who have left, have left to retire abroad, although only about 6% were over the retirement age. Australia was the most popular destination.
Some of the Britons who left were overseas citizens, who obtained British citizenship and later left again for their home countries.
The outflow has however been balanced by the inflow of about 3,9 million foreigners who arrived over the same period.
The UK Government has released its latest statistics on British citizenship granted in the year 2007. Please see the table below for the nationalities with the largest grant of British citizenship.
Nationalities with largest grants of British Citizenship in 2007;
|
|
Nationality |
Number |
Percentage |
|
1 |
Indian |
14490 |
9% |
|
2 |
Filipino |
10840 |
7% |
|
3 |
Afghan |
10555 |
6% |
|
4 |
South African |
8150 |
5% |
|
5 |
Pakistani |
8140 |
5% |
The Guardian newspaper reported the Royal Institution of Chartered Surveyors (RICS) as saying that a drop in UK house prices is being reported by almost every estate agent. A shortage of homes coming on to the market has so far limit the extend of the fall in house prices.
Data from the Bank of England shows that loan rates for some products had risen, despite interest rate cuts by the Bank of England, showing the tougher climate borrowers are facing.
According to the RICS, there would be a shortage of house supply while mortgage arrears remained low and employment prospects good.
The Bank of England's Monetary Policy Committee has kept interest rates at 5% for the month of May 2008. Analysts seem to agree that a rate cut to 4,75% can be expected in June.
According to a Statement of Intent that was released by the UK Government, the new Youth Mobility Scheme will replace the current Working Holiday Visa, when it is implemented in the autumn of 2008.
The Youth Mobility Scheme will operate on the principle of balances. Nationals from participating countries will be allowed to come and experience the UK for two years, provided young UK nationals may enjoy similar opportunities in participating countries. Each year, the UK Home Office will publish a list of countries that qualify for the Scheme, together with the number of places on the Scheme that are allocated to each country.
To qualify for the new Youth Mobility Scheme a person has to 50 points to qualify for this scheme;
Successful applicants will be allowed to live and work in the UK for up to 24 months, and are free to do whatever work they like, except for setting up a business and professional sport or work as a doctor in training.
It remains to be seen as to whether sufficient arrangements are being put in place between the UK and South Africa for the Youth Mobility scheme to apply to South African citizens. However at present it appears unlikely that South Africa will be part of the new scheme at the onset.
Breytenbachs thus advises South African clients that would like to apply for the working holiday visa to contact our offices without delay.
The current work permit scheme is being replaced by Tier 2 of the new points based immigration system. According to the Government’s Statement of Intent on the issue, Tier 2 will begin to be implemented in the autumn of 2008.
Under the new Skilled Migrant Tier, an employer would first need a licence from the UK Border Agency in order to employ citizens from outside the European Economic Area. Licensed sponsors will indicate the migrants they wish the UK Government to admit by issuing them with a Certificate of Sponsorship. However, this Certificate of Sponsorship does not guarantee that entry clearance will be issued to the applicant. As a condition of keeping their sponsorship licence, employers will need to alert the UK Home Office if migrants do not comply with their immigration conditions, such as not turning up for their job or disappearing. Failure to comply with this requirement could result in the sponsor losing its licence.
An applicant wanting to come to work in the UK under this tier will need to show that he/she has at least 70 points to qualify under the criteria for this scheme – see table below. The points will include points related to the Certificate of Sponsorship, which will be issued to them by the prospective UK employer to fill a qualifying job. Two control tests are included as well, namely;
| Section | Certificate of Sponsorship | Qualifications | Prospective Earnings | |||
| A | Job offer in shortage occupation | 50 | No qualifications | 0 | £17,000 - 19,999 | 5 |
| Offer of job that passes | 30 | NVQ3 | 5 | £20,000 - 21,999 | 10 | |
| Resident Labour Market Test | ||||||
| Bachelors/Masters | 10 | £22,000 - 23,999 | 15 | |||
| Intra Company Transfer | 30 | |||||
| PhD | 15 | £24,000 + | 20 | |||
| B | Maintenance Requirement | 10 | ||||
| C | Competence in English | 10 |
It is currently possible to apply for a licence at the Border and Immigration
Agency as a UK employer, it might be in employers' best interest to start the
process as soon as possible. Please contact our offices for more information.
The UK Home Office has published its Statement of Intent on how the new points based system will work for temporary workers, which will begin to be implemented in the British autumn of 2008.
The new Tier 5 will remove a number of existing immigration routes with its introduction including; Some work permits in the creative and sporting sector, exchange teachers and language assistants, Training and Work Experience Scheme (TWES), Visiting religious workers, Voluntary workers, Overseas Government employees etc.
The basic requirements for temporary workers include;
Migrants will need a sponsor, licensed by the UK Border Agency, who will confirm that the migrant will comply with the terms of stay and will leave once their leave has expired.
Migrants will be required to earn points by holding a valid certificate of sponsorship and demonstrate that they have sufficient funds to maintain themselves when they come to the UK.
The new Tier 5: Temporary workers will comprise of the following sub-categories; Creative and Sporting, Charity Workers, Religious, Government Authorised Exchange and International Agreement.
Please contact our offices for more information.
The UK Government has announced a much tighter regime for non-EU immigrants with the proposed Tier 2 and Tier 5 of the new points based immigration system.
Analysis by the UK Home Office show that if the tighter Tier 2 and Tier 5 rules had been in place last year, close to 10% fewer skilled and temporary migrants from outside the EEA would have been allowed into Britain to work in similar categories. That equals about 20,000 people.
The Guardian newspaper reported a Home Office spokesperson as saying that the objective of the new system was to manage migration in the national interest and that the right balance had to be struck between safeguarding the interest of the British workforce and enabling UK employers to recruit or transfer skilled people from abroad.
The BBC reported that most property market experts who have earlier predicted flat house prices for 2008, are now agreeing that house prices are going to fall this year.
The chief economist at the Nationwide building society said that they are expecting modest falls in 2008, due to poor affordability, weaker housing market sentiment and tightening credit market conditions.
The chief economist at Halifax said that overall they expect there to be a modest decline in UK house prices for the year. He further said that the decline in prices was driven by a squeeze on consumer's spending and the rapid rise in house prices in the last few years.
The BBC has reported that according to a study by the Institute for Public Policy Research (IPPR), Poles are now the biggest foreign national group in the UK, overtaking Indians and Irish.
About a million people migrated to the UK from the Eastern European countries that joined the EU in May 2004. Researchers from the IPPR estimate however that about half of those who arrived in the UK have since left. The reason for this include; economic development in the new EU countries since 2004, immigrants are heading to other EU countries instead of Britain as those countries loosen their immigration restrictions and the devaluation of the pound which narrows the gap between especially earnings in the UK and Poland.
Other findings of the study include;
The employment rate among post-enlargement migrants is among the highest of all migrant groups at 84%, which is also 9% higher than the UK average.
Very few of these migrants claim state benefits.
East European migrants work on average four hours longer per week than UK-born workers.
There was a three-fold increase in air traffic between the UK and the new EU accession countries since pre-enlargement. According to the IPPR this reflects an increase in migration, tourism and trade in both directions.
The Bank of England's Monetary Policy Committee has cut interest rates from 5,25% to 5% in an attempt to soften the global credit crunch.
This was the third cut in interest rates since December 2007.
Gordon Brown, the British prime minister, said in an interview with the BBC that the 2,5% fall in house prices, as recorded by Halifax for the month of March 2008, should be seen in the context of 10 years in which property prices had risen 180%.
According to Mr Brown house prices have also risen 18% over the last three years, making a 2,5% fall something that is containable.
He further cited the US credit crunch, saying the whole world was in a difficult situation arising from what's happened in America.
It was announced yesterday that the High Court Judicial Review application by the HSMP Forum had been successful.
Sir George Newman has declared that the HSMP Rule changes of 2006, so far as they applied retrospectively to existing HSMP holders, were illegal and an abuse of power. This is a highly significant victory, and means potentially that many HSMP holders previously refused leave to remain, will be granted leave to remain.
The Home Secretary, Jacqui Smith was ordered to pay the HSMP Forum's legal costs.
However, before there is too much excitement, it must be stressed that the Government has the right to seek leave to appeal to the Court of Appeal, and is may well do this, so this may not be the end of the story.
The Home Office has announced a concession in relation to the draconian new legislation issued under HC321, which would potentially bar overstayers and individuals who have otherwise breached the Immigration Rules from returning to the UK for a period of time.
If such individuals leave the UK voluntarily prior to the 1st October 2008, their cases will not be caught by the new HC321 provision. Once again, things are not as simple as they appear, as the British High Commission still has its existing powers to refuse applications under the general grounds of refusal. However, the mandatory refusal aspect will not apply to voluntary departures prior to 1st October 2008.
Please contact our offices for further information.
The BBC has reported that some UK farmers are concerned about crops that are rotting, as they are not able to find enough workers to gather in the crops.
The reason for this apparent shortage in agricultural workers follows an announcement by the UK Government that the Seasonal Agricultural Workers Scheme is to be restricted to Romanians and Bulgarians only. Previously, the scheme allowed workers from non-EU countries to do seasonal low-skilled work in the UK.
The Immigration Minister Liam Byrne reacted by saying that low-skilled migration was being phased out because businesses should hire close to home first.
The BBC has reported the British Prime Minister, Gordon Brown as saying that immigration is good for the UK and has rejected suggestions that an annual limit on immigration is needed.
He said that migration added £6 billion to the economy and that most British businesses who faced labour shortages had benefited from being able to recruit more widely for skilled labour.
He further said that most people in the City of London knew they have benefited very substantially from immigration and not only from the inward investment that's coming from international companies, but the number of key workers who are coming to join them and are making a huge contribution to the British economy.
The BBC has reported that according to a Nationwide Building Society survey, the average UK house price had fallen slightly to £179,110.
The Nationwide chief economist said that they had to reassessed its forecast of no change in prices by the end of 2008, by now predicting a fall in UK house prices. She further said that a moderate fall in UK house prices should not be unwelcome, as this should help to ensure greater stability in the market going forward.
According to Nationwide, despite the slowdown in house prices, prices are still 11% higher than two years ago and 47% higher than five years ago.
The Guardian newspaper has reported that according to research, a record number of highly skilled migrant workers such as nurses and teachers will enter Britain over the next four years, contributing an estimated £77 billion to the UK's economy.
The study was done by a thinktank, the Centre for Economics and Business Research (CEBR).
According to the study, skilled migrants in the UK are filling skills shortages without which the UK's international competitiveness would suffer. Currently, these migrants account for 2,5% of the UK's workforce and generate more than £36 billion for the economy in what they produce. Spending by these migrants stands at £8,4 billion.
The study forecasts that skilled migrants would rise to 2,8% of the workforce by 2012 and that these migrants will generate £46 billion to the economy and the spending by these migrants would rise to £13 billion by that date.
The Bank of England's Monetary Policy Committee has decided to leave interest rates at 5,25% for the month.
The media agency News24, has reported that the British High Commission has confirmed that it was conducting a global review of its visa requirements and that a number of concerns are being discussed with the SA government on the security of SA passports.
According to a statement by Mr Paul Boateng, the British High Commissioner in SA, concerns included the ease with which is was possible to obtain SA travel documentation in the absence of genuine entitlement. He further said that they were grateful for the engagement from the SA government in the process and that the final decision on SA would take into account not only the SA response to Britain's concerns, but also the historical ties between the two countries.
If South Africa is stripped of its 'visa-free' status it would mean that South Africans would require a visa if they wish to travel to the UK, with a visa costing in the vicinity of R1,000.
Meanwhile the SA cabinet has given the assurance that everything possible is being done to address the British government's concerns about the security of SA passports.
Breytenbachs has become aware of a scam that is operating on well-known community websites, where bogus employers are offering UK work permit employment to persons with qualifications too junior to qualify them for the UK work permit scheme.
Victims are promised huge salaries for junior positions, and are then told to pay £500 in order for this 'employer' to arrange their work permits. After paying over the money, the victims never hear from them again.
Please be aware of this scam.
The Border & Immigration Agency has commenced accepting applications for employers Licences to issue Sponsorship Certificates under the new Tier 2 Skilled Worker category coming in autumn 2008.
All employers who wish to employ foreign non-EEA nationals in the future, other than individuals who will hold Tier 1 permits, or already hold permanent residence or status such as spouse/partner, will need to obtain a Licence from the Border & Immigration Agency to employ such foreign nationals in the future.
The application process for a Licence is complicated, and involves ultimately an on-line application followed up by presentation of the appropriate documentation. Breytenbachs will advise and assist clients in relation to their applications for Licences, and represent employers in their dealings with the Border & Immigration Agency in relation to the issue of Sponsorship Certificates. Employer clients, wishing to apply for sponsorship licences, should get in touch with Breytenbachs without delay, as the application might be quite complicated.
At present it seems that existing work permit holders will continue to be employed under the terms of the current work permit arrangements. However, the information being published by the Home Office contains ambiguities and contradictions and we will not know for certain about this issue until the full transitional provisions for existing work permit holders are published.
Breytenbachs advises UK employers who wishes to employ future work permit holders to get in touch with Breytenbachs in order to get the application process starting.
The BBC reported that Chinese restaurants are concerned about the new points-based system for immigrants, which will limit the entry of low skilled workers from outside the EU.
Apparently the industry is already facing labour shortages and are concerned that the new rules would prevent numerous restaurant workers from China coming to the UK. A committee spokesperson for the Chinese restaurants said that many Chinese restaurants and take-aways will seriously consider closing down or scaling down, as they are not able to find workers for Chinese catering jobs locally.
The new points based immigration system has kicked off today with the introduction of Tier 1 for highly skilled migrants.
From today, 29 February 2008, any highly skilled foreign national currently working in the Britain who wants to extend their stay will need to apply for an extension under the new Tier 1.
From April 2008, the new Tier 1 will begin to be rolled out overseas, when anyone from India who wants to work in the UK as a highly skilled migrant will need to apply under the new Tier 1 of the Points Based System.
The Home Office envisages that the new highly skilled system will operate worldwide by the British Summer.
The rest of the Tiers will be rolled out on a phased basis.
Legislation that will fine businesses caught employing illegal foreign workers has come into effect at the end of February 2008.
Firms caught employing illegal workers could face a £10,000 on the spot fine.
Meanwhile the BBC reported a spokesperson for the Federation of Small Businesses in the UK as saying that it was totally unfair to expect small businesses owners to act as immigration officers. He further said that the act requires small businesses to understand and verify up to 13 different forms of identification when employing foreign workers.
The Nationwide Building Society said that house prices fell 0,5% in February 2008, bringing the cost of an average UK home to £179,358. This was the fourth consecutive monthly fall in house prices.
The BBC reported the chief economist of Nationwide as saying that it is encouraging that the outlook is one of just that, slower economic growth rather than recession.
The BBC has reported that the UK buy-to-let market is still thriving, according to the Council of Mortgage Lenders.
The number of buy-to-let loans rose by 23% in 2007, accounting for 10,3% of all outstanding mortgages.
According the Council of Mortgage Lenders' director general the tenant demand for private rented property remains strong and buy-to-let properties are fulfilling an important role in helping to deliver an increased flow of high-quality homes to rent.
A spokesperson from the Association of Residential Letting Agents told the BBC that there were good reasons for the buy-to-let market to continue growing; more single homes being formed, more requirement for flexibility among contract workers and immigration.
The UK Home Office has announced that there have been a total of 796,000 applications to register for work in the UK from the eight east European countries that joined the EU in May 2004 - Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Slovakia and Slovenia.
Of these 766,000 applications were approved. The figures exclude the self-employed and migrants from Bulgaria and Romania who joined the EU at a later stage.
Proposals on probationary citizenship were announced by the UK Government on 20 February 2008 and are contained in a green paper called – ‘The path to citizenship’.
At this stage talks on this matter are only proposals and there is no definite information on when the proposals might be implemented or in what form.
The suggestions should not affect any current applications for citizenship.
Some of the proposals include;
Note however, that the above are only proposals at this stage. Breytenbachs will inform its clients of any new rules and regulations that might affect them.
The Observer newspaper has reported that Gordon Brown has announced that the UK government is to go ahead with compulsory English language tests for foreigners who want to marry British citizens and settle in the UK.
The BBC reported that according to a report by the Organisation for Economic Co-Operation and Development (OECD) the UK has 3,2 million citizens living abroad.
The UK is the country with the second most expatriates living abroad among all the major OECD countries, following Mexico with about 8 million expatriates living abroad. Spain is the most popular country of destination for UK emigrants.
The Times newspaper has reported that doctors from India, South Africa and other Commonwealth countries are to be barred from the National Health Services (NHS) in order to preserve health service jobs for British graduates.
Where in the past it was a long tradition to import doctors to the NHS, the number of medical school places has almost doubled and there are now enough home-grown graduates to fill training posts, reducing the need to import doctors.
The restriction that is coming into effect will only apply to overseas doctors wishing to take up training posts in the UK. Consultants, for example, with the appropriate registrations, will still be able to apply to work in the NHS.
The Bank of England's Monetary Policy Committee has decided to cut interest rates by a quarter of a percentage point. The new interest rate is now 5,25%.
The UK Home Office has announced that Tier 1 of the new points based system will start coming into force on 29 February 2008. From this date any highly skilled foreign national currently working in the Britain who wants to extend their stay will need to apply for an extension under the new Tier 1.
From April 2008, the new Tier 1 will begin to be rolled out overseas, when anyone from India who wants to work in the UK as a highly skilled migrant will need to apply under the new Tier 1 of the Points Based System.
The Home Office envisages that the new highly skilled system will operate worldwide by the British Summer.
The Guardian newspaper has reported that figures from the mortgage lender, Halifax, show that house prices were unchanged in January 2008.
According to Halifax the annual house price growth was 4,5%, which brings the average house price in the UK to £197,244. The chief economist of Halifax said that they expect sound economic fundamentals and lower interest rates to support house prices and predict house prices to be flat in 2008.
The UK Home Office has announced that with effect from 18 March 2008, 38 healthcare occupations will be removed from the national shortage occupation list for work permits.
The implication of this move is that work permits can still be issued for these occupations, but employers are now required to advertise these posts. Where the employer can demonstrate, after advertising, that there is no suitably qualified resident or EU citizen candidate available to fill the vacancy, a work permit will still be issued.
Occupations that are being removed from the list include; midwives, dieticians, occupational therapists and various types of consultants in dental specialities.
For more information on this issue, please contact our Immigration department.
The UK Government has published proposals that would see councils provide information packs to migrants on how to integrate into Britain. These proposals are currently being published for consultation.
The welcome packs would explain UK customs and promote shared values like respect for the law. Other advice to immigrants proposed to be contained in these welcome packs include; advice on queuing, not to spit in the street, not to drink and drive and to make sure that children attend school.
The UK Home Office has announced proposed immigration fees for the new points based immigration system.
The Immigration minister, Liam Byrne said that they believe that those who benefit most from using the UK immigration system should help fund it. He also said that they welcome the contribution that migrants make to the economy and cultural life in the UK and that they have ensured that the fees are at levels that will not damage the UK's international competitiveness and deter migrants.
He said that the fees were part of a challenging programme of reform of the immigration system over the next 12 months, which include the introduction of on-the-spot fines for employers who don't make the right right-to-work checks, the introduction of a single border force and compulsory ID cards for foreign nationals who want to stay in the UK.
According to the proposed fees a sponsorship licence under Tier 2 for a small business will be £300 and £1,000 for a medium to large business.
Please contact our offices for more information.
The BBC reported that some 7,000 security workers have been banned from further work in the security industry, after it was found that they were illegal immigrants. Some of these workers are now prioritised for removal from the UK.
This came after an operation in 2007 found that people working at a security company did not have the right to work in the UK, and had been sub-contracted to a company that provided staff to guard locations under Metropolitan Police contracts.
The BBC has reported the head of the new Migration Advisory Committee, Professor David Metcalf, as saying that a ban on non-EU unskilled workers may have to be lifted in order for Britain to be on time with the preparations for the Olympic Games in 2012.
The Migration Advisory Committee is also currently drawing up a list of shortage occupations which British firms will be allowed to advertise outside the EU. This list is likely to include jobs for the Olympics 2012, such as site supervisors etc.
The BBC reported that the UK Home Office is to set out new measures to strengthen Britain's borders and cut illegal immigration. These new measures will include a requirement to everyone applying for a UK visa to be digitally fingerprinted and to submit a full-face digital photograph.