Economy fears spark consultation on UK immigration cap plans

June 25 2010 by Liam Clifford

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The Conservatives are rethinking their immigration cap policy, after the coalition government was warned that a more rigid policy on the awarding of tier 1 UK visas could damage the British economy.

Home Secretary, Theresa May, is to launch a consultation on the plan next week to see how it can be made more business friendly, heeding concerns raised by business and industry leaders.

Senior party members, including schools secretary, Michael Gove, and universities secretary, David Willetts, are said to be among those who have warned that a clamp-down would cast doubt on the government's assertion that 'Britain is open for business'.

A Lib-Dem insider has criticised the turnaround by these leading figures, particularly Gove, who was integral to the drawing up of Tory policy in the election campaign.

“We lost thousands of votes to the Tories because of this policy – it was very popular,” he said. “It is ironic to hear some of them criticising it now for exactly the same reasons we criticised it during the election.”

The consultation demonstrates the lengths to which Ms May is prepared to go to maintain the favour of business leaders who are crucial to keeping the nations's economic recovery on track.

An ally of hers said, “We understand the need to attract the brightest and the best which is why we are having this consultation – we have to get it right."

The Liberal Democrats famously said that they would have a UK immigration amnesty if they were to gain office.

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