London lives in a new environment, Brexit has changed the daily life of many citizens, their work and has an impact on the workforce at all. Recently, the Chamber of Commerce (CCI) of London published a report, which states that London needs its own visa system to allow higher levels of migration to avert an economic decline in post-Brexit time.
London needs more workforce in post-Brexit time, Chamber of Commerce concluded. According to the CCI’s report, 770,000 EU nationals living in the capital should be eligible for a visa to ensure their future in London. These people make up to 15% of London’s employees.
On the other side, the EU nationals also contribute to London’s Gross Value Added, they are giving to the treasure about £26bn. It is the cost of the value of goods and services EU nationals produced, moreover, they pay direct taxes of about £7bn annually.
Thus, their departure from the workforce “would be economically harmful, impacting on various key industries and putting pressure on public funds”, suggests the report of the London CCI. Migrants’ departure may disbalance the labour market’s construction, where foreign workers make up a third of the workforce, and financial services, where they make up a quarter.
Migrants workforce in London, government opinion
Migrants will be working in London further, the CCI’s research suggests that by 2020, the capital may have lost access to 160,000 migrant workers. In terms of the loss economic output, it costs nearly £7bn a year and direct tax contributions of about £2bn.
The government not yet clarified this issue, it is thought EU immigrants will in future have to enter the UK under the same arrangements applicable to non-EU migrants now which imposes minimum salary levels and insists on firm job offers.