It’s time to guarantee rights of EU citizens
Amid the sound and fury of the Brexit debate and the widely differing predictions about Britain’s economic fate, it is easy to forget that the United Kingdom remains a remarkable success story. A decade on from the start of the financial crisis, the UK has consistently low unemployment. Inflation, although picking up during the past year, remains well within sight of Bank of England targets. Growth continues. Some would say current GDP numbers are disappointing but given the enormity of change over the past 12 months, the robustness of the UK economy has to be acknowledged.
Now, contrast our economic stolidity with the political landscape. Into a post-referendum vacuum rushed uncertainty and speculation, two political by-products which are often damaging to business, employment, investment and the economy as a whole. Nowhere do we see this more than in the debate over the EU citizens already living and working in the UK. There are encouraging noises from government about remaining open to the people we need post-brexit. But the 2.4million EU citizens who have already settled in the UK face a real and current problem: an immediate future that is uncertain and, for many, increasingly unappealing. People are already looking elsewhere, with 33,000 more EU citizens leaving the UK over the past year.
Our members confirm their employees are beginning to leave because they feel unwelcome or insecure here. Businesses are worried about their ability to recruit or retain the people they need.
This is a particular problem for London, currently home to 682,300 EU citizens and their families, 13pc of the capital’s workforce. A study by London First and PWC found that the additional economic value created by every 10 jobs held by people who had migrated to London supported an additional four jobs in the wider UK economy. Their contribution is critical to London generating growth.
To keep this enormous economic engine turning requires a growing workforce. Yes, that should mean jobs for British people but UK unemployment is at a record low and we need people from the EU and elsewhere to keep our businesses growing. Even more, we need those EU workers already here to remain here, rather than being forced to leave by continued uncertainty. Already, the shortage of skilled workers is acute in sectors such as construction. We will train more British people but we have a skills gap we may never close.
That is why we firmly believe it is time for the Government to make an unequivocal, unconditional and unilateral commitment to guarantee the rights of EU citizens. And for them to do it now, not as part of uncertain negotiations in future.
The Government has proposed that EU citizens already here will gain “settled status” but the suggestions are hedged by uncertainty. The critical cut-off date under the Government’s plans could be anywhere between March 2017 and March 2019.
Providing a unilateral guarantee to EU citizens does not undermine the UK’S bargaining position in future negotiations – quite the opposite. It will avoid the threat of judicial overreach by the European Court of Justice, and remove a barrier to progress on more difficult topics.
Far from being a sign of weakness it shows Britain’s strength – the best position to negotiate from. The UK has nothing to lose by securing the rights of EU citizens already here, but British businesses are facing much risk should these people decide their lives will be more certain elsewhere.
It is self-evident that such a move by the UK would be popular with the EU27, and while we might face Brussels bureaucrats across the negotiating table they must ultimately march to the beat of popular opinion. We will strengthen our hand by making EU citizens part of our future.
Sometimes it takes courage to lead. Our economic success story should give us the courage to continue our conviction of being a country of trade, openness, innovation and expertise to ensure that success continues.
‘The UK will be able to strengthen its hand by making EU citizens part of its future’