Westminster Accused of Ignoring Business Concerns

Posted on 10 December, 2014 by Kirsten Kennedy

With the economy steadily growing in the UK, it would be rational to think that the government’s focus would remain entirely upon capitalising upon this fact and improving circumstances for firms across the country. However, this is not the case according to one of the UK’s leading business groups, who this week have claimed that Westminster remains too focused upon immigration to the detriment of British companies.

westminster-accused-of-ignoring-business-concerns

A poll of over 1,200 members of the Chartered Management Institute (CMI) found that the majority of managers would prefer the government to utilise all available resources to train up young people instead of changing immigration rules. 79 per cent of respondents claimed they would back a political policy to ensure every young person in the country would gain work experience before leaving full time education, compared to only a net 4 per cent who would support limiting free movement of the workforce within the EU.

Perhaps the reason for this somewhat surprising result is due to the much-publicised skills shortages pervading the country at the moment. Businesses within the manufacturing, technology and construction sectors have increasingly reported that a lack of skilled workers is beginning to inhibit their growth prospects – leaving many to engage in overseas recruitment drives as a means of obtaining the employees they require to build business momentum.

CMI chief executive Ann Francke believes that a greater level of coherency is required in communications between business leaders and Westminster politicians. She says; “It is clear that there is a mismatch between the Westminster village and UK managers.

“The big question is why, and what do politicians need to do to connect with this significant segment of the electorate? “We must move away from an obsession with short term priorities and help organisations to be clearer about their purpose, to better support their people and to invest to grow future potential.”

This is not the first time business leaders have indicated a certain desire to maintain the status quo in terms of immigration, with bodies including the CBI and the Institute of Directors having previously spoken out about the benefits of migration upon the economy. However, this is the first study which has truly examined the issue from a managerial point of view.

The survey also found that a net majority of business leaders would support government action to prevent the shifting of profits made in the UK overseas by way of a tax loophole – although the Chancellor has already promised to tackle the issue. A net 6 per cent would also be in favour of relaxing current visa rules for students and skilled migrants, indicating that businesses are increasingly willing to take on workers from overseas.

Most of all, the survey has made clear the desires of business leaders with regards to the talent pool of the future, placing the growth of domestic skilled workers in a position of extreme importance. The question now is what more the government can do to encourage young people to consider becoming integral parts of the workforce.

Do you think the UK will be forced to take on immigrant workers until young people can be persuaded to close the skills gap?




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