LONDON: Deep cuts in the numbers of migrant workers coming from outside Europe to Britain could lead to the loss of British jobs as companies relocate to more immigration-friendly countries, employers warned yesterday.

An internal survey by the Confederation of British Industry (CBI) employers’ group shows that on average companies believe they would each lose 50 British workers if the changes are implemented. Companies claim that the paperwork related to the points system has made it more difficult to recruit skilled overseas workers since it was introduced in February this year.

The planned changes will create even more hurdles, they say. One proposal is that visas should only be given in professions where there is a shortage of British workers and another would extend the time that firms have to advertise vacancies in Britain before recruiting foreigners.

“We could find ourselves in a situation like the US — where companies shift projects to Vancouver because of the tough rules on migrants,” said Neil Carberry, head of pensions and employment policy at the CBI.

Earlier this month, government advisers also recommended against tightening up the regime, saying there was too much ‘turmoil’ in the labour market.

Carberry applauded the migration advisory committee, headed by Professor David Metcalf of the London School of Economics, for opposing changes, particularly to the “intra-company route”. More than 60 per cent of migrant workers come to the UK through intra-company transfers.

Metcalf said, “I think the Home Office — Britain’s interior ministry — feels that with the economic climate being what it is, it is inappropriate to ignore the needs of British workers and make it too easy for companies to recruit migrant workers.”

But the committee decided that while this is

important, the system should act as an automatic stabiliser and not be constantly adjusted in response to the economic cycle.