How fears over Romanian and Bulgarian immigration have been exaggerated

A new survey shows that just one per cent of Romanians and four per cent of Bulgarians have begun to look for work in the UK and most will only migrate with a firm offer.

Few subjects have exercised Conservative MPs more in recent months than the subject of immigration from Romania and Bulgaria. Today, ahead of the end of transitional controls on the countries in 2014, parliament will debate an e-petition urging the government to stop "mass immigration from Bulgarian and Romanians" (it has received 145,364 signatures). 

But will there be any "mass immigration" to stop? A Newsnight survey of more than a thousand people in each country, the first to be conducted in recent years, suggests not. Asked to pick their first choice of EU country to move to in either 2013 or 2014, just 4.6 per cent of Romanians and 9.3 per cent of Bulgarians chose the UK. When asked specifically whether they would consider the UK as a destination, these numbers rose to 8.2 per cent for Romanians and 13.6 per cent for Bulgarians. But questioned on whether they have made concrete plans to move to UK, such as searching for accommodation and employment, these figures fall significantly. Just 1.2 per cent of Bulgarians and 0.4 of Romanians have begun to look accommodation and only four per cent of Bulgarians and one per cent of Romanians have started to look for work either with a recruitment agency or independently. In addition, of those looking for work, 65 per cent of Romanians and 60 per cent of Bulgarians said they would only migrate to the UK with a firm offer of employment. 

History shows that when assessing the likely number of migrants, it's important to distinguish between potential and actual plans. Past surveys have shown that as many as 50 per cent of Bulgarians would like to work abroad but in the last decade only around six per cent have actually left. 

It has long been clear that the removal of immigration controls on the countries is unlikely to lead to an influx comparable to that from the eastern European accession countries in 2004 (the Labour government forecast that just 13,000 a year would emigrate to the UK; the actual figure was 300,000). Romanians and Bulgarians have already had open access to the UK, if not its labour markets, since joining the EU in 2007, so many of those interested in living and working in the country have already come.

In addition, unlike in 2004, when only the UK, Ireland and Sweden opened their labour markets to new EU arrivals, in 2014, all EU member states will do so. As many, if not more, Romanians and Bulgarians will migrate to Italy and Spain, where large diaspora populations already exist, as to the UK. Finally, while the combined populations of the 2004 accession countries is around 70 million, Romania and Bulgaria have 29 million people between them, limiting the potential for mass immigration. But with UKIP likely to exploit the issue for all its worth in the local elections, the Tories are unlikely to dial down their rhetoric accordingly. 

A protester waves a Romanian 1989 Revolution flag during a protest at Piata Universitatii square. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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BHS is Theresa May’s big chance to reform capitalism – she’d better take it

Almost everyone is disgusted by the tale of BHS. 

Back in 2013, Theresa May gave a speech that might yet prove significant. In it, she declared: “Believing in free markets doesn’t mean we believe that anything goes.”

Capitalism wasn’t perfect, she continued: 

“Where it’s manifestly failing, where it’s losing public support, where it’s not helping to provide opportunity for all, we have to reform it.”

Three years on and just days into her premiership, May has the chance to be a reformist, thanks to one hell of an example of failing capitalism – BHS. 

The report from the Work and Pensions select committee was damning. Philip Green, the business tycoon, bought BHS and took more out than he put in. In a difficult environment, and without new investment, it began to bleed money. Green’s prize became a liability, and by 2014 he was desperate to get rid of it. He found a willing buyer, Paul Sutton, but the buyer had previously been convicted of fraud. So he sold it to Sutton’s former driver instead, for a quid. Yes, you read that right. He sold it to a crook’s driver for a quid.

This might all sound like a ludicrous but entertaining deal, if it wasn’t for the thousands of hapless BHS workers involved. One year later, the business collapsed, along with their job prospects. Not only that, but Green’s lack of attention to the pension fund meant their dreams of a comfortable retirement were now in jeopardy. 

The report called BHS “the unacceptable face of capitalism”. It concluded: 

"The truth is that a large proportion of those who have got rich or richer off the back of BHS are to blame. Sir Philip Green, Dominic Chappell and their respective directors, advisers and hangers-on are all culpable. 

“The tragedy is that those who have lost out are the ordinary employees and pensioners.”

May appears to agree. Her spokeswoman told journalists the PM would “look carefully” at policies to tackle “corporate irresponsibility”. 

She should take the opportunity.

Attempts to reshape capitalism are almost always blunted in practice. Corporations can make threats of their own. Think of Google’s sweetheart tax deals, banks’ excessive pay. Each time politicians tried to clamp down, there were threats of moving overseas. If the economy weakens in response to Brexit, the power to call the shots should tip more towards these companies. 

But this time, there will be few defenders of the BHS approach.

Firstly, the report's revelations about corporate governance damage many well-known brands, which are tarnished by association. Financial services firms will be just as keen as the public to avoid another BHS. Simon Walker, director general of the Institute of Directors, said that the circumstances of the collapse of BHS were “a blight on the reputation of British business”.

Secondly, the pensions issue will not go away. Neglected by Green until it was too late, the £571m hole in the BHS pension finances is extreme. But Tom McPhail from pensions firm Hargreaves Lansdown has warned there are thousands of other defined benefit schemes struggling with deficits. In the light of BHS, May has an opportunity to take an otherwise dusty issue – protections for workplace pensions - and place it top of the agenda. 

Thirdly, the BHS scandal is wreathed in the kind of opaque company structures loathed by voters on the left and right alike. The report found the Green family used private, offshore companies to direct the flow of money away from BHS, which made it in turn hard to investigate. The report stated: “These arrangements were designed to reduce tax bills. They have also had the effect of reducing levels of corporate transparency.”

BHS may have failed as a company, but its demise has succeeded in uniting the left and right. Trade unionists want more protection for workers; City boys are worried about their reputation; patriots mourn the death of a proud British company. May has a mandate to clean up capitalism - she should seize it.