There was “no likelihood” that post-Brexit immigration controls would apply to EU workers who were highly skilled and highly paid, Philip Hammond has said.
The chancellor said voters were concerned about foreign workers “taking entry-level jobs” but not about those with high skills and high pay coming into the UK.
His comments go further than previous statements he has made in seeking to reassure financial services firms that they would still be able to employ staff from abroad.
It is also more specific than statements by Theresa May, the prime minister, who has only given assurances that she was not seeking to exclude “the brightest and the best” from coming to work in the UK.
The government has not yet set out how it will devise a new immigration system for the UK after leaving the EU, as May sticks to her target of reducing new migration to the tens rather than hundreds of thousands.
Hammond made the comments in the House of Commons during Treasury questions on Tuesday as he was pressed on the consequences of Brexit for the financial services industry.
“I certainly have been seeking to reassure financial services businesses that we will put their needs at the heart of our negotiation with the European Union,” he said.
“We understand their needs for market access. We also understand their needs to be able to engage the right skilled people. I have said on the record, and I’m happy to say again today, that I do not believe the concerns the British people have expressed about migration from the European Union relate to people with high skills and high pay.
“The problem that people are concerned about is people taking entry-level jobs. I see no likelihood that we will use powers to control migration into the UK to prevent companies bringing highly skilled, highly paid workers here.”
During the debate, Hammond also confirmed he was prepared to authorise more quantitative easing despite May saying in her party conference speech it was the rich who benefited from the Bank of England’s actions since the 2008 financial crash.
Asked by a Tory MP whether he would authorise another round of quantitative easing if requested by the governor of the Bank of England, he replied: “You know that the operation of monetary policy in the UK is independent of government.
“Monetary policy, including measures such as quantitative easing, have been highly effective in supporting the economy.
“Because of the fiscal implications of an indemnity to the Bank, packages have to be formally agreed by the chancellor.
“And although I cannot prejudge any hypothetical request, no request for quantitative easing has ever been refused and I see no reason why circumstances would be different in future.”
