Reform UK has unveiled plans to make it more expensive for businesses to hire foreign workers, in a move that has sparked fresh debate over immigration, Brexit and the rights of millions of EU citizens living in Britain.
Speaking as Reform’s Treasury spokesperson, Robert Jenrick said a future Nigel Farage led government would introduce higher employment taxes on firms that recruit overseas workers. The proposal includes a new annual migrant labour levy and changes to National Insurance rules aimed at encouraging employers to hire British workers.
Under the plan, employers would receive tax incentives for hiring British citizens, while paying higher costs for recruiting foreign workers. Jenrick described the policy as a “British workers first” approach and argued that cheap overseas labour has suppressed wages and discouraged investment in the domestic workforce.
The announcement forms part of Reform UK’s wider pledge to reduce migration and tighten visa rules. The party has also previously called for significant reductions in legal migration and stricter controls on low paid work visas.
However, the proposal has drawn strong criticism from campaign groups and immigration experts. Critics argue that the measures could undermine protections granted to millions of EU citizens who secured settled status after Brexit.
Monique Hawkins, acting chief executive of the3million, which represents EU citizens in the UK, warned that the plans risk breaching commitments made under the Brexit Withdrawal Agreement. She said EU nationals were promised their rights would be protected after Britain left the European Union and accused Reform of creating divisions in the workforce.
The group estimates that around 4.5 million people currently hold settled status in the UK, giving them the right to live and work in the country permanently. Any policy that treats employers differently for hiring settled status holders could face legal challenges and raise questions about the UK’s obligations under international agreements.
Business organisations have also repeatedly warned that sectors such as health care, social care, hospitality, agriculture and construction remain heavily dependent on overseas workers. Recent reports from industry groups and the UK’s Migration Advisory Committee have highlighted persistent labour shortages in these sectors despite efforts to increase domestic recruitment.
The proposals come as political parties sharpen their positions on immigration ahead of future elections. With Labour seeking closer cooperation with European partners and Reform pushing a tougher Brexit era immigration agenda, the debate over migration is once again emerging as one of the defining issues in British politics.
Jenrick insisted the policy would ensure that British workers are prioritised and that the tax system rewards firms that employ them. But opponents argue the plans could damage businesses, deepen labour shortages and reopen old Brexit battles over the rights of EU citizens already settled in the UK.
