`Government is aware foreign investors need to bring high level managers, skills’
15th July 2010: Even as immigration experts have expressed concerns on the impact of proposed caps on immigration for economic migrants, the UK government has assured foreign investors it won’t hurt the interests of companies seeking to do business in the UK.
At a time when the immigration experts are saying `locking the door is not the answer’ and the policy of placing a cap on skilled migrants is “wrong”, secretary of state Vince Cable has asserted the policy will be managed to make sure that foreign investors interests are not harmed.
The secretary was speaking at an event announcing UK’s national FDI figures. Cable said the new government was expected to show it was managing immigration; and aware that foreign investors require to bring in high level managers, skills, and have intra-company transfers.
The assertion is significant, as this is perhaps the first official assurance given to the overseas investors that their interests would not take a hit from the immigration cap.
The investors were also told that the independent takeover panel was in the process of reviewing UK’s takeover laws, which were too permissive in the past. But the changes won’t be enormous, and would affect both domestic and foreign companies in the same way.
Cable’s opinion is divergent from the apprehensions being expressed by experts, who have been asserting that the immigration cap would limit the flexibility of firms to bring workers into the UK.
The worse affected would be the Indian IT companies bringing workers into the UK for limited periods for working on projects.
Already, responding to the introduction of cap on non-European Union immigration by the UK, India has expressed its “concern” on behalf of the industry.
India’s Commerce minister Anand Sharma only recently met British Prime Minister David Cameron and aired the concerns of Indian industry.
He made it clear that the industry was worried that the new rules against non-EU immigration might have an impact on the Indian companies, which had heavily invested in the UK, particularly in the service sector.