Immigration and UK Economy

This assignment examines the complex relationship between immigration and the UK economy. It explores arguments regarding the impact of both EU and non-EU migrants on government revenue expenditure, welfare claims, and overall economic growth. The analysis considers legal rulings, government policies, and diverse perspectives from researchers and authorities.

ACADEMIC RESEARCH
AND WRITING

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
Immigrants should not be able to claim benefits in the UK...................................................1
CONCLUSION................................................................................................................................2
REFERENCES................................................................................................................................4

INTRODUCTION
Immigrants should not be able to claim benefits in the UK
Immigrants are considered as people who come to one from another country, in hopes of
having a better and peaceful life. After the announcement of Brexit, which is exit of Britain from
European union countries, there are a thousand of Immigrants who are moving back to UK
(Geisler, 2013). Other are also some other people who has arrived in UK from different
countries across the world. Further, the entitlement of immigrants to claim UK state benefits is
hugely complicates issues. As per the analysis, 45% of EU migrants are estimated to claim
benefits after living in UK for four years (Dustmann, Frattini and Halls, 2010). These
Migrants are usually considered as major problems for economy as it increased the expenditure
of governments. In past two decades, UK has experienced a steady flow of net migrants in
Economy. The net migration has led a wide ranging impact on UK population, productivity,
wages, economic growth and tax revenues. The major impact of Immigration on UK economy is
considered as rise in labour force, increase in aggregate demand and GDP, rise in social issues
and impact of welfare benefits.
In this, Major impact of welfare benefits which are claimed by Immigrants that arrive in
UK from other than EU countries like India, China, and Pakistan etc. The benefits which they are
entitled to after living in country for three months are Income based job seekers;s allowance,
Child benefits and child tax credits. They used to be allowed to claim housing benefits but this
has now been Scrapped. At present, they are able to claim £57.90 for a person under 25 and
£73.10 for those over 25 as weekly jobseekers allowance and parents can claim weekly child
benefits of £20.70 for their eldest child and £13.70 a week for additional children (UK can refuse
benefits to unemployed EU migrants, judges rule, 2017). The child tax credits are crapped at
£2,780 and a year but it may be less than per the demand of person. Further, as per the report,
Theresa may is planning to stop Eu migrants from claiming benefits as part of negotiations in
Brexit and it has also been reported. As per government sources, senior authorities are making
plans to deny migrants to claim benefits like tac credits and housing benefits etc. It will provide
an estimated affects on 316000 people in UK who are currently in receipt of them. According
bank of England, more immigrants arriving doest not have small impact on average wages in
Britain and this has influenced semi skilled or unskilled service workers the most. It also stated
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claiming benefits will also provide a negative impact and creates problems for government to
manage the revenues. They have also a stated that apart from the contribution towards the tax,
Immigrants are more likely demand the tax return which is considered as negative influence on
economy of UK.
On contrary to this, David Cameron has told that EU nations are considered as drain on
benefits of British sub system. It has stated in his report that 43% of EU migrants has drawn
benefits in their first year within UK. It is also considered as in research that these people pay
more in taxes than they take in state benefits, contributing an estimated amount of 2 billion per
annum and provided major growth to economy of UK (Dearden, l., 2016). London school of
economics have stated that Immigrants are younger and better educated than UK born counter
parts. They usually help to fill the gaps in labour markets by taking talking jobs where there is
currently shortage. This will ultimately lead to reduction in claim amount of Job seeker
allowance up to £6.8billion and they will also contribute equal to 8.5 billion for public welfare
like defence and basic research. As per the arguments, many academic researchers and scholars
have also stated that this immigration of people from European union countries will not provide
a negative on economy as they are no coming to claim benefits, they are coming to work here
which has increased the development of economy (Dustmann and Frattini, 2014).
By effective research, the ruling court of justice has also confirmed that EU rules on free
movements do not prevent Britain and other member states on blocking welfare to immigrants if
they unemployed and unable to support themselves (UK Immigrants and State Benefits, 2017).
These arguments have provided a support to government and they will stop the welfare benefits
for unemployed migrants in UK. This will tend to reduce the revenue expenditure which was
made by government on unemployed immigrants. After this statement of court, government HM
revenue spokesman has stated that UK Welcomes the judgement of justice as it has supported
their view that only those EU migrants can claim benefits who have the right to be in UK.
Further, government has been working to strict access to benefits for migrants from European
union countries. They will only allows the benefits to those immigrants who are currently
employed and providing contribution to government in the form of tax.
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CONCLUSION
From these arguments, it has been analysed that rise in Immigration due to Brexit is considered
as major problems for economy of UK. Although, various statements of authors, authorities and
researcher has provided an understanding about various economic influences which are presently
faced by government due because of rise in number of migrants from non-EU countries. Other
than this, Arguments of David Cameron has also provided an understanding that there is major
contribution of Immigrants in providing growth to economy as they contributing more to
government in the form in comparison to claim of welfare benefits. It is also understood that
these immigrants can only claims benefits after residing for 3 months in UK. Further, the
argument of justice has also provided an understanding that EU cannot raise questions on actions
of Britain and other member states on removing welfare benefits for EU migrants.
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REFERENCES
Books and journals
Geisler, C., 2013. Academic literacy and the nature of expertise: Reading, writing, and knowing
in academic philosophy. Routledge.
Dustmann, C., Frattini, T. and Halls, C., 2010. Assessing the Fiscal Costs and Benefits of A8
Migration to the UK. Fiscal Studies. 31(1). pp.1-41.
Dustmann, C. and Frattini, T., 2014. The fiscal effects of immigration to the UK. The economic
journal. 124(580).
Online
UK can refuse benefits to unemployed EU migrants, judges rule, 2017. [Online]. Available
through:<https://www.theguardian.com/uk-news/2016/jun/14/uk-can-refuse-benefits-to-
unemployed-eu-migrants-judges-rule>
Dearden, l., 2016.UK migration: Six myths about immigration debunked as latest figures show
fall in non-EU arrivals. Available
through:<http://www.independent.co.uk/news/uk/home-news/uk-migration-six-myths-
about-immigration-debunked-as-latest-figures-show-fall-in-non-eu-arrivals-
a6895341.html>
UK Immigrants and State Benefits, 2017. [Online]. Available
through:<http://www.aboutimmigration.co.uk/uk-immigrants-state-benefits.html>
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