Reform UK’s Proposed Levy on Overseas Workers Faces Strong Opposition from Health and Education Sectors

LONDON: Reform UK’s proposal to impose a levy on employers hiring overseas workers has drawn widespread criticism from leaders in the healthcare, social care, education and research sectors, who warn the policy could worsen staffing shortages and place additional strain on essential public services.

Under the proposal, employers recruiting non-UK nationals would face an annual levy alongside higher National Insurance contributions. The measure would apply to most foreign workers, including many European Union citizens with settled status, while Irish citizens would be exempt. Reform UK says the policy is intended to encourage businesses to recruit more British workers.

Healthcare experts argue that the policy could significantly affect the National Health Service (NHS), where around one in five employees is a non-UK national. The King’s Fund and the Royal College of General Practitioners cautioned that increased employment costs could make it more difficult to recruit and retain healthcare professionals, potentially affecting patient care and increasing pressure on an already stretched workforce.

Leaders in the social care sector also warned that the proposed levy could reduce access to care services by making it more expensive for providers to employ overseas staff. They said the added financial burden could force some care providers to reduce services or face financial difficulties at a time when the sector continues to experience persistent workforce shortages.

Education and university representatives expressed similar concerns, saying schools rely on international teachers to fill vacancies in key subjects, while universities depend on overseas academics and researchers to maintain teaching and research excellence. They warned that the proposed charges could further strain institutions already facing financial pressures and undermine Britain’s competitiveness in higher education and research.

Reform UK has not publicly responded to the latest criticism. Analysts say the proposal is expected to remain a key point of debate as political parties continue to outline their immigration and labour market policies ahead of future elections.