UK Low-Paid Migrant Workers Cost Taxpayers £150,000
UK Low-Paid Migrant Workers Cost Taxpayers £150,000

UK Low-Paid Migrant Workers Cost Taxpayers £150,000

News summary

New research from the Office for Budget Responsibility (OBR) reveals that low-paid migrant workers in the UK cost taxpayers more than £150,000 each by the time they reach state pension age, primarily due to their increased demand for public services like the NHS. Specifically, a migrant arriving at 25 and earning half the average wage is a net drain on public finances from the outset, with costs potentially escalating to nearly £500,000 if they live to 80, and over £1 million at age 100. In contrast, British-born workers are projected to contribute a surplus of £280,000 by age 66, even after factoring in education and health expenditures. The OBR highlights that while low-paid migrants incur significant costs, skilled migrants earning 30% more than the average salary can contribute a net £925,000, benefitting public finances. This report has intensified discussions on migration policy, with calls from political leaders for stricter controls on low-skilled migration. The findings indicate that the characteristics of migrants, such as their earnings and duration of stay, significantly impact their fiscal contributions.

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Last Updated
69 days ago
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