The Economic Impact of Immigration on the UK: A Detailed Analysis

This report examines the impact of immigration on the UK economy, analyzing various aspects such as GDP, labor supply, and emigration. It begins by providing a background on immigration trends, including net migration data from 1991 to 2015, and discusses the differences between immigration and emigration. The report then delves into the economic effects, highlighting how increased immigration can lead to increased demand and subsequently boost GDP. A literature review is presented, incorporating viewpoints from Tejwan Pettinger and Dr. Alan Renwick, exploring both positive and negative impacts. Pettinger's perspective focuses on the potential negative effects of high immigration on the economy and culture, while Renwick's viewpoint considers the impact on wages and labor markets. The evaluation section synthesizes these viewpoints, acknowledging the complex nature of immigration's economic effects and presenting a balanced analysis. The report concludes with a list of references, providing a basis for further research and understanding of the subject.

Impact on the Immigration on
the UK Economy

Introduction
Immigration refers to the international movement of people to a specified
destination country that the people are of no native for and they do not
possess citizenship in order to settle as permanent residents. It refers to the
process through which people become permanent citizen of another
country. Immigration has also affected UK economy due to which many
issues got arise. This presentation covers background of the problem
regarding immigration, literature review, evaluation of reliability of
literature sources along with references.

Background of problem
• Net migration to UK from 1991-2015
International migration means that people cross boundaries of their
particular state and stay there for some time period as there are some people
who look for advanced economic opportunities.

Continue...
• Immigration and Emigration in UK
Emigration means to leave resident country in order to live at other place.
Immigration means international movement of individuals where they
have no citizenship.

• Increase in Real GDP
When there are net inflows of people the demand also gets increased due
to which migrants spend more on their economy. As the labour supply
increases the demand also gets increased. The below data set explains
the impact of GDP on economy.
Continue...

Literature review
• From the view point of Tejwan Pettinger, the immigration was
really very high and reduction was needed in this. The international
net migration need to be reduced because it was creating a negative
impact on the society as well as economy. Due to effect of
immigration on UK economy the effect was also put on in context
with change in culture. As there were some areas which got totally
changed due to which the earlier culture in UK economy was
completely ignored.
• From the view point of Dr. Alan Renwick, immigration impacted jobs
as well as wages also. The wages of UK economy got decreased as
employers were not paying much to job seekers especially the people
who belonged from poor countries. Immigration increased both supply
as well as demand of labour.

Evaluation
According to the above literature source it had been analysed that
immigration was important in terms of benefits also but in some cases it
impacted the economy in negative way also. As, there are different view
points of everyone so their perspectives are also different. In accordance
with Tejan Pettinger, economy was affected in the negative way because
immigration was very high. If immigration would be high then problems in
context with unemployment would increase because it is not possible to
tackle all immigrants employment issues. In accordance with Dr. Alan
Renwick, the wages got decreased so they were not paying much to
people. It affected the economy in a negative way because if wages would
be less then UK government would not be able to pay much to all job
seekers but according to some authors immigration was beneficial also.
As, it was leading to productivity as well as innovation was being
improved.

References
• Chang, W.W., 2018. Brexit and its economic consequences. The
world economy .41(9). pp.2349-2373.
• McCombie, J.S. and Spreafico, M.R., 2018. Brexit and its possible
implications for the UK economy and its regions: A post‐
Keynesian perspective. Papers in Regional Science .97 (1).
pp.133-149.
• Portes, J., 2019. What Do We Know and What Should We Do
About Immigration?. SAGE Publications Limited.
• Portice, J. and Reicher, S., 2018. Arguments for European
disintegration: A mobilization analysis of anti‐immigration
speeches by UK political leaders. Political Psychology .39 (6).
pp.1357-1372.

THANK YOU