Contribution
Absolutely, and that reflects the feedback I have received from the people who are trying to increase productivity and modernise. Such arbitrary frameworks do not help.
As I have said, the challenges for northern mushroom farms are exacerbated by the differential in investment in similar farming businesses in the south, where a bespoke visa is available for the mushroom sector that permits workers from across the globe to remain for two years. Given those additional subsidies and things like energy costs—it is a high-energy business—how can we expect to achieve the goal that we all share of locally grown food with a low-carbon footprint and profitability? A key aspect of supporting a thriving industry lies in the Government’s hands, and they must ensure that it has access to labour.
Fishing is similarly impacted. My colleague and constituency neighbour, the hon. Member for Strangford (Jim Shannon), will touch on the plight of the fishing sector. We worked together consistently on this issue under the previous mandate, as it affects a lot of rural and coastal communities, which depend very much on fishing. The recent paper from the sectoral body, Seafish, assessed the impact of the skilled worker visa changes, and gave a fairly comprehensive breakdown of reliance on overseas crews, along with the sector’s operating losses and reduced profits, which suggests that there are only a few months of viability for a lot of those vessels.
It is not just the food supply that is at risk but infrastructure. Ferries are essential trade routes, as well as moving tens of thousands of people between our islands weekly. Since Brexit, non-national seafarers have no automatic right to work on GB-NI routes, which has impacted companies like Stena Line, which operates crucial routes into Belfast and Warrenpoint. It has augmented its UK and Irish crews using frontier working permits, but those are not being issued any more, which poses a serious risk to service levels. Those seafaring jobs are highly skilled and well renumerated, but the workforce are traditionally global and there has been less of a defined merchant navy pipeline in recent years. This is another industry that has a solution ready to go, and it suggests—similar to the 2022 offshore well boat workers—a targeted and potentially even timebound ferry worker concession that could avert disruption to the passenger and trade lifeline, with almost no cost or impact on the taxpayer, which would buy the industry time to adjust to all the post-Brexit frameworks and skills deficits.
I will turn briefly to the nearly 50% uplift in the skilled worker visa salary. Silotank is a Belfast-based manufacturing business that, among other things, is helping Northern Ireland Water to update its antiquated infrastructure safely and sustainably. Across Northern Ireland, development has come to a halt. Thousands of houses in planning have been delayed for the want of modern drainage. That business is investing heavily in decarbonising its products, with alternative energy sources to its west Belfast plant, but growth is limited by a lack of access to qualified technicians, with no adequate engineering pipeline in Northern Ireland.
Manufacturing NI, the sectoral body, has highlighted a perfect storm for its members: rapid expansion in manufacturing is one of our success stories, I am pleased to say, but we are not making it easy for the industry in many ways, as that is accompanied by a low skill pool and low net migration. Manufacturing NI says that some 80% of its members have low confidence in their ability to fill skilled roles. We lament our sluggish productivity, but it is hard to invest in an economy with labour shortages. The organisation advocates resurrecting a sector-based scheme from the last time Labour was in government, as that would allow temporary 12-month opportunities with a plausible £26,200 minimum salary.
Another recent change was the rise in the minimum salary for sponsoring a spouse or partner, which has gone up to £29,000 and is set to increase. The Migration Observatory called that the most restrictive family reunion policy of any high-income country, citing the existence of thousands of Skype families who are unable to be together because of these rules.
Before the changes, family reunion accounted for some 60,000 people. By definition, those people were joining established and earning family units. Having such a high threshold—if it continues to go up, it will be much higher than average earnings—is forcing many people to choose between their families and their career, which will have a disproportionate impact on women and create an environment in which only the wealthy can choose who they fall in love with.
Those examples across sectors are the top-line problems. There are fixes and willing partners in industry, including some low-hanging administrative fixes as the Government work through new policies. Unlike the current policies, however, those new policies need to be based in the economic reality of the world we live in, as well as the environment in which businesses are operating in Northern Ireland, which is qualitatively different to England in many ways.
Northern Ireland Chamber of Commerce and Industry’s latest quarterly economic survey confirms that access to skills is a challenge for local businesses across sectors, with three quarters reporting difficulty recruiting and nearly 40% highlighting a negative impact from the changes. Workers face barriers to sustaining and progressing in their employment, and sometimes face less-than-decent treatment at work. The Equality Commission for Northern Ireland highlights that migrant workers are over-represented in low-paid jobs, certainly in their early years. Too much change and a tightening of the rules has created uncertainty, which is a deterrent for some employers who are unsure of the legal framework, and real difficulties for many in changing jobs.
On a separate issue—before I finish and while I have the opportunity—the reform of work-related visas should finally address the unreasonable delay in the right to work for those trapped in a chaotic asylum system. I appreciate that that is a different matter entirely, but we know that it delays integration, increases the cost to the public purse of supporting those people in that time, deprives that person of the dignity of work, and deprives our economy of often incredibly skilled and entrepreneurial people, whom we could absolutely do with.
That reform is in line with the Migration Advisory Committee’s recommendation. It would help to address labour market gaps and would surely give people the right start to a needed new life. I thank you, Mr Pritchard, and the Minister for facilitating this debate, which is brought in the spirit of constructive feedback and hopefully fairer and more pragmatic rules in future.