Immigrants add £83bn of economic value to London
Migrant workers in London with full time jobs each contribute an additional £46,000 net in gross value added (GVA) per year to the economy, research by PwC and London First reveals.
A combined total of £83bn for all of London’s 1.8m migrant workers is added, making up approximately 22 per cent of the capital’s GVA. The additional value generated by 10 migrant worker jobs will support an additional four jobs in the wider economy, the report finds.
London First chief executive, Jasmine Whitbread said:
As the government debates what the UK’s post-Brexit immigration policy should be, it’s critical we’re informed by the facts.
Global migration is an important part of London’s ongoing success, many parts of our economy would struggle without it.
Mayor of London’s Brexit expert advisory panel and global head of immigration at PwC, Julia Onslow-Cole, agreed:
This research provides businesses with new information to help them assess their future resourcing requirements ahead of the UK’s exit from the EU.
Employers have much to consider from an immigration and skills perspective.
The report highlights how London’s workforce grew from 4.3m people in 2005 to slightly below 5.2m made up of people from the UK, EU and the rest of the world.
Over three million of London’s total workforce were born in the UK, making up the majority of of London’s workforce at just over 60 per cent. A minority of London’s workers, 682,300, were born in the EU, making up 13 per cent of London’s total workforce. Almost doubling the amount of EU workers, people born elsewhere in the world, make up 25 per cent, up from 1m in 2005.
The report indicates that London typically attracts skilled workers, defined as someone with a specific proficiency, training, knowledge and ability in their profession.
Builders, developers, contractors and engineers employ nearly 300,000 people in London, around half of whom were born in the UK, with 30 per cent were born in the EU and 20 per cent born in the rest of the world.