George Osborne admits benefits cut for EU citizens will NOT halt flow of foreign workers
GEORGE Osborne has been accused of encouraging mass immigration as he conceded that his plans to stop EU citizens drawing benefits for four years is not enough to stop the flow of foreign workers.
George Osborne has been accused of encouraging mass immigration
And in an admission that will fuel the EU exit campaigns claims that renegotiation will not protect Britain’s borders from mass immigration, the Chancellor conceded that the government has “no plans” to restrict free movement of people.
According to figures from independent watchdog the Office for Budget Responsibility (OBR) the expected level of yearly net migration has rocketed twice this year from 105,000 to 165,000 in April’s Budget and then again up to 185,000 in last week’s Autumn Statement.
The revelation came as Home Secretary Theresa May’s former chief of staff Nick Timothy blasted the Mr Osborne’s Treasury department for undermining efforts to bring immigration down.
The expected level of yearly net migration has rocketed twice this year from 105,000 to 165,000
The row follows revelations last week that net immigration had reached a new record high of 336,000 in the year to June.
And there was further embarrassment for the Chancellor as he was forced to admit that the government’s plans to block EU migrants from receiving in work benefits for four years will fail to meet Prime Minister David Cameron’s target of bringing immigration down to the “tens of thousands”.
Under questioning from Labour MP John Mann in an appearance at the Treasury committee, Mr Osborne admitted that the “best estimate” of EU citizens taking benefits was 40 per cent which would still leave 108,000 EU citizens coming to the UK each year unaffected by the changes.
Labour MP John Mann
Mr Mann said: “You are not attempting anything to restrict access to the UK labour market for any citizen from elsewhere in the EU.”
The Chancellor replied: “We are not seeking to scrap the fundamental rights of free movement of people and capital.”
However he added that another part of the renegotiation was “to make the other European economies more attractive for encouraging people to stay in their countries.”
The Chancellor was also unable to name another state which supports his plans to restrict benefits but said France, Germany, Denmark and Holland are “sympathetic.”
Tory MP Chris Philp asked if restricting benefits would mean the government hits its target of bringing net immigration down to the the “tens of thousands”.
Mr Osborne was only able to reply that “it will help”.
The Chancellor was unable to name another state which supports his plans to restrict benefits
The trouble is, as the Autumn Statement made plain last week, other than in the Home Office the Government is no longer trying to cut net migration
In a furious attack on the Chancellor on the Conservative Home website, Mr Timothy said that the Treasury, Foreign Office and Business department had deliberately tried to exempt foreign students from the immigration numbers.
He went on: “The Government’s stated policy of trying to control EU migration through benefits changes has been blown out of the water by its promise to introduce the biggest ‘pull factor’ of all: a new ‘Living Wage’ of £9 an hour by 2020.”
And in a withering condemnation of Mr Osborne’s policies he added: “The trouble is, as the Autumn Statement made plain last week, other than in the Home Office the Government is no longer trying to cut net migration.”
During the committee hearing Mr Osborne also admitted that the government will not try to regain control of the exemptions won by John Major and surrendered by Tony Blair on the working time directive which limits the hours people can work.
He also insisted that there are “no contingency plans” for the UK leaving the EU.