United Kingdom is Closing Doors on Immigration

It has been reported by Reuters that the amount of non EU immigrants going into the UK will be severely cut over the next years until 2015.  The goal for this is to try and trump the unemployment rate, which is currently at 7.7%.  Also, with spending cuts in the near future, the risk for many public service workers losing their jobs is high.

The Conservative-Liberal Democratic coalition, who has been in control since May, has also released that the cuts will not include personnel who is already earning the equivalence of over 40,000£ in their current occupation with their company.  There is concern still that by limiting the number of immigrants from certain countries could be limiting the potential growth of companies in the UK.  Most businesses have approved of allowing higher income employees to immigrate into the country, but were put off slightly by the idea of limiting new minds into the market.

Some statistics that are stated is that in 2011 there will only be 21,700 workers allowed into the from non EU countries, which is 6,300 less than in 2009.  However, Conservative interior minister Theresa May has stated that the number of workers who have job offers (and with graduate level jobs) will rise from 7,000 to 20,000.  The number of temporary workers will be closely monitored to avoid permanent stay.

I personally have to say that as one who is considering living in the UK in the future, this may create more competition thus making it harder to enter the country.  However, with the level of unemployment and spending cuts, it is probably best to limit the number of lower end immigration, yet still eventually increase the number of educated immigrants into the country.   

What effect do you think this could have on the growth of the UK market?  Will limiting immigrations to only those who have a certain standard of education be a good thing?

Reference: http://uk.reuters.com/article/idUKTRE6AM1AQ20101123

(Post by Evan Amano)