Immigration Bill - Third Reading

Part of the debate – in the House of Lords at 5:00 pm on 12 April 2016.

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Photo of Earl Howe Earl Howe The Minister of State, Ministry of Defence, Deputy Leader of the House of Lords 5:00, 12 April 2016

My Lords, I heard what the noble Lord said. Perhaps he will allow me to continue. We will exempt secondary-school teachers in mathematics, physics, chemistry, computer science and Mandarin from that new salary threshold. The point has been recognised by the MAC and we took its advice on that.

The exemption we have announced for students switching from tier 4 to tier 2 to take up a graduate-level position in the UK will benefit doctors following completion of their foundation training. I am pleased that the BMA has welcomed this exemption. However, if we are to meet our objective of reducing reliance on overseas workers, we simply must reverse the trend of increasing numbers of workers coming through tier 2, including in the public sector. In 2015, sponsored visa applications for skilled workers in the human health and social work activities sector alone, which includes a number of public sector occupations, increased by 13% to more than 3,500 places. For those reasons, we consider that delaying or phasing in the introduction of the charge, or indeed an exemption, for the NHS or wider public sector would overlook the key aim of the charge: to influence employer behaviour. The Migration Advisory Committee was clear that it did not believe the health sector should be exempt from the charge.

I note that the BMA said it is highly unlikely that the NHS would benefit from the proceeds of the charge because apprenticeships are not relevant to or will not benefit the NHS. With great respect to the BMA, there is currently no basis for saying that. Decisions on where the charge income will be spent are not yet finalised, as I said. The priority will be to spend the charge on training the resident workforce to address skills gaps in the UK. Apprenticeships are only one government-supported programme designed to address the long-running trend of underinvestment in skills by UK employers that might be supported. I can assure noble Lords that the Department for Business, Innovation and Skills is already engaging with stakeholders, including the Department of Health and the Department for Education, to ensure that their skills and workforce planning needs are fully considered. It cannot possibly do otherwise given the key importance of those sectors. I can also assure the House that the Home Office will continue to consult with stakeholders on how best to address skills gaps in advance of the introduction of the charge to inform decisions on how the income is spent.

I hope that noble Lords—in particular the noble Lord, Lord Wallace—will be reassured from what I have said today and from the totality of the announcements we have made about the skills charge, that the Government are committed to implement it in a balanced way, ensuring that the UK remains open for business and can continue to attract the best and brightest to our workforce. I hope, too, that noble Lords are reassured by our confirmation that we will not seek to impose the charge before April 2017, and only after we lay regulations.

In the light of those points, I very much hope that the noble Lord will agree to withdraw Amendment 9.