Nottingham Business School at Nottingham Trent University has provided original analysis on the impacts of migration for a report published by East Midlands Councils (EMC), the representative organisation for Local Government in the region.
Chris Lawton and Professor Rob Ackrill from Nottingham Business School's Economics Division carried out independent analysis and a literature review of the latest official statistics on the economic, fiscal and labour market impacts of migration for the report entitled The Impact of International Migration on the East Midlands.
Also incorporating input from Local Government practitioners, it provides an authoritative evidence base to inform policy and planning and makes recommendations to central Government to enable Local Authorities to provide responsive services in the future.
There has been notable recent increases in migration from recession-hit southern European countries, particularly Spain and Italy.
The findings of the report demonstrate that, although net migration to the UK increased very significantly immediately after the enlargement of the EU in 2004, it has been consistently lower in more recent years. Migrants from non-EU countries continue to account for the largest proportion of annual net migration, but migration from EU countries has grown significantly – with notable recent increases in migration from recession-hit southern European countries, particularly Spain and Italy.
Migrants make up a lower proportion of the resident population in the East Midlands compared to the national average, but GIS mapping of migrant populations undertaken by Nottingham Business School shows that different groups are concentrated in different areas.
The largest proportions of non-EU migrants are resident in urban areas, particularly Leicester, whilst migrants from Central and Eastern European countries are concentrated in the districts of Boston and South Holland in Lincolnshire – which had very low proportions of non-UK born residents prior to 2004. Boston has experienced the largest increase in Eastern European migrants of any English Local Authority District – demonstrating the need for local flexibility to respond to rapid population changes.
Research on impacts suggests that migration has generally been beneficial for the UK in economic and fiscal terms, with migrants making a significant contribution to economic output and making a net fiscal contribution, for example contributing more in taxes than they take out in benefits or services. Research on labour market impacts presents more of a mixed picture, with national research providing some evidence that low-skilled UK-born workers may have been displaced during the recession, but both non-migrant and migrant employment has significantly recovered from 2012.
It is very encouraging to see local authorities in the East Midlands engaging with migration, which is of such importance to the local economy.
Research in the East Midlands suggests local experiences have been more positive, with no evidence to suggest migration has resulted in either displacement or lower wages alongside strong evidence of a significant contribution to regional GDP – of around 10%.
This research will now be circulated around Local Authorities across the East Midlands and to regional MPs and relevant Government Departments.
Professor Rob Ackrill said of Nottingham Business School's contribution to this report: "It is very encouraging to see local authorities in the East Midlands engaging with migration, which is of such importance to the local economy, and drawing on research provided by the Division of Economics in Nottingham Business School as a key input into their policy and practice.
"Nottingham Trent University is keen to continue to work as a strategic partner, providing an academic perspective on these issues, supporting the evidence-based policy making of East Midlands' local authorities in the future."
The full report can be viewed on the East Midlands Councils website.
Professor Rob Ackrill is Professor of European Economics and Policy and Jean Monnet Chair in European Economic Studies at Nottingham Trent University.
Chris Lawton is Senior Research Fellow in the Economic Strategy Research Bureau at Nottingham Trent University.
Additional research by Nottingham Trent University and Nottingham Business School can be found on the University’s Institutional Repository.