Proposed £1,000 a year levy for EU workers ‘toned down’ by No 10

By Sara Hussein

- Last updated on GMT

A proposal to charge operators £1,000 for each EU worker has been 'toned down'
A proposal to charge operators £1,000 for each EU worker has been 'toned down'

Related tags: Hospitality sector

The Government has “toned down” proposals to charge £1,000 a year to operators who employ EU workers in their business. 

The levy was suggested by immigration minister Robert Goodwill yesterday (Thursday 12 January) ahead of Brexit negotiations.

The levy, which was to be introduced in April 2017, could have added more pressure to pubs, restaurants and hotels.

 ‘Very worrying’ for the industry

British Hospitality Association (BHA) chief executive Ufi Ibrahim said: “The suggestion is very worrying for the hospitality and tourism industry.”

Ibrahim claimed the suggestion would increase costs for the hospitality and tourism business, particularly small and medium-sized (SME) businesses.”

She added: “The Government must work closely with businesses in industries such as ours, to develop robust, sustainable proposals to help navigate Brexit.”

EU nationals should apply for permanent residence or permanent residency card for permanent residence (EEA (PR)), which is £65 per person. 

Challenge for the industry

Last month the Association of Licensed Multiple Retailers (ALMR) claimed that it will tackle “employment challenges” in 2017​ as Brexit negotiations take place.

Speaking of the predictions that are likely to affect the hospitality sector, ALMR chief executive Kate Nicholls said this was “key concern” for employers. 

She said: “Workers from the EU make a huge contribution to our country’s hospitality sector and it is vital that they are allowed to remain and continue the valuable work that they do.”

The ALMR has claimed the hospitality sector could act as an “economic stabiliser” providing jobs, trade and growth across local economies despite the current economic and political climate. 

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