MOSCOW (Sputnik) — The research gives an insight in the effects of migration on the UK labor market and details possible scenarios for the British economy after it opts out of the free movement of people within the European Union.
"The evidence is that the growth in the migrant population between 2000 and 2015 had a limited effect upon the earnings and employment prospects of natives. Projecting these findings forward suggests that in the immediate future a lower level of migration or even a complete halt will have only a limited effect upon native earnings and employment," the research paper reads.
"Reducing the numbers of migrants allowed to enter the UK will pose a serious challenge in some low-paying sectors such as food manufacturing and domestic personnel, where over 30% of workers are migrants. Such sectors will need to adjust their business models with greater investment in skills and technology, have access to temporary workers, or shrink," the research continues.
In light of the potential consequences and impact Brexit could have on the country's economy, such as a possible rise in temporary workers and a greater risk of illegal migration, the government should rethink its current approach to labor market regulation, the researchers suggest.
