Reeves pushes for EU youth migration scheme ahead of Budget
Rachel Reeves put pressure on a “ambitious” young migration agreement with the EU to improve the appearance of public finances in front of the autumn budget.
Chancellor times A change plan for young workers will be “good for the economy, good for growth and good for work”.
In May this year, the UK agreed to work with the EU for a “youth experience visa”, but the characteristics of the plan are still negotiated.
Reeves also called on the Budget Responsibility Office (OBR) to direct the potential economic impact of such a plan to its predictions in front of the budget, which he hopes would reduce the need for expenditure cuts or tax increases.
The proposal had previously been criticized by the conservatives and reform, which means that Britain meant a partial return to the freedom of movement that ended when the EU left the EU.
Such a scheme may mean that those between the ages of 18-30 may remain for two or three years, but the details will be negotiated.
In an interview with Times before the Liverpool conference this week, Chancellor refused to specify how many visas can be given annually within the scope of the plan.
The UK has similar plans with 11 countries, including Australia, New Zealand and Japan, and people can stay up to three years depending on where they are applied.
In accordance with these agreements, England issued more than 24,000 youth mobility visas in 2024.
Obr reduced the UK growth by 4% due to the original Brexit agreement.
The chancellor believes that a precedent determines, and that OBR should include the predicted economic rise of a youth mobility plan in the upcoming forecast.
Reeves referring to the agreement between London and Brussels earlier this year, Times told Times: “In May, we think that the economy will be stronger as a result of this reset. We also want OBR to score it.”
Obr will send its first economic forecast to the treasury on Friday, which will include the gap that the chancellor should compensate in the November 26 budget.
There is much depending on the expected decline for the long -term performance or efficiency underlying OBR’s economy. The gap may be £ 20 or £ 30 billion per year.
On the other hand, a series of measures aimed at helping the economy grow faster, including Chancellor and more trade agreements.
If it is accepted by independent estimates, the inclusion of the proposed EU Youth Mobility Plan may limit the scope of new tax increases theoretically.
Obr has shown policy moves on homemade and child care by helping the economy in recent years.
Although the Labor Party promised to increase the income tax, national insurance or VAT for people working, the chancellor has been speculated that it would have to raise or reduce expenditures to fill the financial hole.
