Immigration Bill — House of Lords, 2016-02-01
Topic: Immigration
Michael Bates (Conservative, Centre-right): My Lords, I shall make some general points in response to the amendment from the noble Baroness, Lady Doocey, which we had the opportunity to discuss outside the Chamber a little bit before we reached this stage. I took the opportunity to look into it in more detail with officials For those reading this in the Official Report, it might be helpful if I address the point made by the noble Earl, Lord Sandwich, about the reason for this provision. The total cost of visitors and temporary migrants accessing NHS services in England alone has been estimated at £2 billion per year in 2013. Around £950 million was spent on temporary migrants, such as students and workers, from whom no charge was recoverable. Non-EEA temporary migrants—workers and family—here for more than 12 months had a weighted average cost to the NHS of just more than £800 per head, and a total estimated gross cost to the NHS of more than £500 million per year. Non-EEA students—for any length of stay—had a weighted average cost to the NHS of just more than £700 per head, with a total gross cost to the NHS of £430 million per year Noble Lords will be aware that the Immigration (Health Charge) Order 2015, made under the Immigration Act 2014, requires that non-EEA temporary migrants who make an immigration application to come to the UK for six months or more, or who apply to extend their stay in the UK, make a direct contribution to the NHS via payment of an immigration health surcharge. The Home Office collects the charge as part of the immigration application process and payment of it is mandatory. If the charge is not paid, the applicant is not processed. Temporary migrants pay upfront an amount that covers the entire period of their permission to stay in the UK. Where an application is refused, rejected or withdrawn, the charge is fully refunded The charge has been set at a competitive level of £200 per annum per migrant, and at a discounted rate of £150 per annum for students—well below the true cost to the NHS of treating these migrants, as stated in my opening remarks. It is also set below the rate that migrants expect to pay for health insurance in competitor countries, such as Australia and the USA. For example, a student applying to Harvard in the USA would, in most cases, have to pay a fee of around £600 per year to access basic health services. To access Harvard’s most comprehensive health plan would cost an additional £1,500 per year. In contrast, the surcharge for a foreign student applying to the UK would be only £150 per year Upfront payment of the full amount of the charge covering the length of the visa period is administratively far simpler than requiring migrants to make multiple payments of the appropriate amount to the Home Office and the Home Office enforcing such a requirement. Any movement to an instalment approach would bring with it considerable administrative and operational burdens. An observation has already been made by the noble Baroness, Lady Hamwee, on the administrative costs. The amendment would raise them. Home Office staff would need to ensure that payments were being made. If they were not, they would need to chase payment and, in some cases, enforcement action might be required, which could involve curtailing a person’s leave Payment by instalments would also lead to confusion about entitlement to free treatment and place unnecessary administrative burdens on the NHS, as NHS staff would have to check at each contact with a patient that they were up to date with their payments. There would also be uncertainty about whether our health system would actually receive all the expected income from the surcharge, which would be an unwelcome prospect for the NHS.