Wales needs the best of all EU nations to succeed post-Brexit

If you ask companies in Wales what is their number-one concern, the majority will say “access to people and skills”.

With Wales suffering a triple whammy of an ageing population, European workers returning home post-EU referendum and struggling to compete with London and the south east for global talent, the problem is both acute and in need of urgent address.

With Brexit set to redefine the nature of the UK’s access to vital European talent, it’s time to ask “what should a successful post-Brexit immigration system look like for Wales?”

On Friday the CBI advanced its vision for an “open and controlled” immigration system that can work for all parts of the UK. It aimed to strike an important balance between being open enough to ensure businesses can attract the talent they need to succeed, but controlled enough to build public trust in the system – eg mirroring registration processes common in other countries. We want to protect EU workers coming to Britain from burdensome non-EU visa rules and to prioritise overall contribution to the economy over arbitrary numbers and targets.

Businesses recognise that free movement will not continue as it has before. One of the many reasons people voted to leave the EU was a feeling of increased pressure on public services because of immigration. Where this has occurred, we advocate targeted investment to mitigate this additional demand. We also want to see reform of the non-EU immigration system to make it easier for firms to access people and skills from around the world. Any transition to a new system should be measured and put respect for people at its core.

For Wales, this would be a major step in the right direction. While we don’t face any unique challenges when it comes to demand for people and skills, what sets Wales apart from other areas of the UK is the triple-whammy effect – all of the challenges, all at once. From high-skilled workers in financial services and engineering to seasonal workers in agriculture and tourism, Wales has a real breadth of skills needs, with pinch points in construction and care. We also need to make sure any new system takes into consideration experience, not just formal qualifications.

A particularly Welsh dynamic to the debate has also opened up, regarding the potential advantages of a devolved immigration system. While an important point for discussion, the need to consider devolving immigration policy is greatly lessened if we can develop a post-Brexit system such as the one our report proposes. Get a good deal and Welsh businesses are best served by a single UK-wide system, provided it meets their needs. A more restrictive system and the case for greater flexibility for Wales increases.

It’s also worth saying that companies and employees greatly value Britain’s single labour market. Due to the increasingly interconnected nature of business, most companies based in Wales also do business in other parts of the UK. Indeed, that’s one of the great advantages of being based in Wales. Employees often find themselves travelling for work to take up secondments, promotions or training and development opportunities elsewhere in the UK.

With this in mind, the idea of parallel immigration systems operating in the UK could present a number of practical challenges. With so much business travel across the UK, would that mean different permits or visas? Would these be temporary or permanent? How would this be enforced? Even if these issues can be resolved, there is likely to be a significant administrative burden shouldered by HR staff.

While we aim for the best system possible, we can’t lose sight of one essential fact: people from the EU and across the world make a vital contribution to the Welsh economy. Brexit cannot be allowed to make EU workers feel less welcome, or that their hard work and cultural contribution are not valued. They are. Without EU migrants we wouldn’t have the doctors and nurses, builders and academics that make Wales such a great place to live and work. We would also lose billions in taxes that help support our schools, hospitals and other public services.

Brexit, and uncertainty around future access to overseas workers, has thrown Wales’ need for talent into sharp relief. So much now hinges on getting our post-Brexit immigration system right. People make Wales, and if we want to remain competitive then we need a best-ofall-worlds immigration system that puts us at the front of the queue for international talent.

■ Ian Price is director of CBI Wales