Before a Potential Brexit: European Immigration to the United Kingdom, its Relative Benefits and Politico-Economic Implications

This background synthesis provides a short overview about the current state of research with regard to European migration to the United Kingdom (UK). According to several studies, EU migrant workers are well-educated net contributors to the UK budget and increase economic performance. Migration does contribute to shortages in housing and schooling, however this shortage is a consequence of political neglect. EU immigration fills job gaps and fixes skill mismatches, is complementary to British labor, and has not affected wages negatively altogether. If EU labor were to be markedly reduced, this would cause serious labor shortages for some industries. After a Brexit, Britain would not likely be able to decrease EU labor movement significantly if it chooses to rejoin the common market because of political precedents and coercions. Moreover, migration policy will have to remain relatively liberal post-Brexit were it not to hurt economic performance. A solution might be a flexible, balanced visa policy adjusted not only to skills needed but also open to those who have a job offer before finding their way to the UK.