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THE UK has agreed to tighten its cap on migration from outside the UK, but committed not to limit intra-company transfer of qualified employees.

From 2011 onwards the number of skilled and highly skilled workers from outside the European Economic Area allowed to move to the UK will be capped at 21,700 – that is 22.5% fewer than the equivalent figure in 2009.

However, in a victory to multinational companies who had been lobbying hard against limits on their ability to transfer staff between global offices, there will be no limit on intra-company transfer of staff earning £40,000/y or more.

The limit is the highest of a range of options recommended to the government by independent migration advisors. Advisors had recommended curbing immigration at 43,700. That is 6300 less than the 50,000 skilled immigrants from outside the EU who arrived in the UK in 2009. However, the 50,000 arrivals also included 22,000 who were transferred between company offices, hence these 22,000 were subtracted from the maximum.

Andrew Green, of the Migration Watch think tank, told BBC Radio 4’s Today programme that the cuts are made from a low baseline, as 2009 had seen far fewer non-EU migrants than the preceding years. He added that the cap would reduce the number of people travelling the UK without a job in hand, while the minimum salary would make a big difference to companies, ensuring only very skilled people who are being adequately paid would be able to transfer to the UK office of a multinational.

Business representatives and professional bodies including IChemE have argued long and hard that UK-based companies rely on their ability to bring in people with relevant skills from around the world, and that an overly-tight migration cap would interfere with companies’ ability to compete internationally.

Ministers have previously suggested that a special exemption could also be made for skilled scientists, though no details of the plans have been announced as yet.

Meanwhile, home minister Theresa May is expected to launch a consultation on proposed sharp cuts to the number of visas offered to non-EU students every year. While the government is keen to protect legitimate universities and wants to safeguard their ability to attract undergraduates and graduates from around the world, the government is keen to curb the number of immigrants entering the UK to attend fake universities or non-degree language courses.