June 25, 2010

Government reconsidering plans to impose immigration cap

By Haroon Siddique

The coalition government is rethinking plans to introduce an immigration cap – a flagship Conservative policy during the election campaign – amid fears that it could damage the economy, it was reported today.

The home secretary, Theresa May, will begin consultation with businesses on the policy next week.

Business leaders have warned that an immigration cap could make businesses less competitive and are hoping for a change of mind.

The Financial Times reported that the education secretary, Michael Gove, and the universities secretary, David Willetts, are among cabinet members who have warned that a rigid cap could prove harmful to the City.

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