British PM to be quizzed over immigration cap on Indian expats as he arrives for three day visit

As British Prime Minister David Cameron settles down today for his first trip to India with the largest UK delegation since the end of the Raj in 1947, he is likely to be quizzed by officials about the new cap restricting expats from non European Union countries.

Although the issue may not be at the top of Cameron’s agenda – he is much more interested in mutual trade and business opportunities, he will not escape demands for a re-think as tens of thousands of Indians have found themselves caught out by the new temporary cap on immigration which began earlier this month.

Not even his own supporters approve of the situation. On the visit to India is Jo Johnson, the Conservative MP for Orpington, who has said the UK is restricting access for Indian entrepreneurs right at a time when it should be competing strongly to attract them.

He points out that the US has a start up visa programme that is deliberately targeting the Indian entrepreneurial classes, offering residency rights for those who start businesses that create jobs but the UK visa cap, which is set to become permanent next April, is sending a contradictory message.

The temporary cap applies to all new applicants under Tier 1 (General), except for extension applications and in-country applications. While applications under Tier 2 (General) will be limited by the number of employer sponsorship licences that are issued.

The Indian Government has already complained directly to the Prime Minister about the cap on non-EU immigration saying the policy affects professionals needed by the UK economy including doctors, engineers and nurses.

It is a high power visit with the delegation including the foreign secretary, William Hague, the Chancellor of the Exchequer, George Osborne, and business secretary Vince Cable, together with a host of captains of British industry including the Barclays chief executive, John Varley.

‘The US is genuinely throwing open its doors to Indian entrepreneurs, creating a pool of entrepreneurial talent there which we certainly should envy. I think there is a contradictory message to a certain extent. We need to be competing for the Indian entrepreneurial classes. We must encourage them to come and invest here,’ said Johnson.

In remarks that threatened to overshadow Cameron’s three day visit to Bangalore and Delhi this week, the Indian commerce minister, Anand Sharma, claimed UK economic growth depends on highly skilled Indian workers.

Among deals expected to be hammered out during the visit is a £500 million agreement for BAE to supply an extra 57 Hawk trainer jets. India ordered 66 of the jets in 2004. The new jets will be built at BAE’s Indian partners, Hindustan Aeronautics Ltd, near Bangalore.

Cameron has said that he believes the last government failed to acknowledge the extraordinary potential of India, whose economy is growing at 9% a year. Of the Bric emerging economies – Brazil, Russia, India and China – India has the strongest historical links to Britain.

‘British growth over the next few years will depend to a great extent on our ability to jump on to the emerging markets’ bandwagon, to hitch ourselves to the rapid growth that is taking place in countries such India and China,’ said Johnson.

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Tagged as: immigrant cap, non EU member nations, Prime Minister, uk