In your corner: REC Campaigns and Policy news – 9 September 2021

Just like that, it’s officially Autumn and as children go back to school and many office workers navigate a new hybrid normality, the long-awaited summer sunshine has, predictably, made an appearance, albeit a brief one. Autumn also marks the end of summer recess and the first week back to Parliament hasn’t been without controversy.

The social care levy
On Tuesday, the Prime Minister announced that health and social care reform will be funded through a 1.25% point increase in National Insurance, as well as an increase in taxes on share dividends. The so-called ‘social care levy’ is expected to generate £12bn annually. The levy aims to increase the NHS capacity to 110%, addressing the backlog and tackling lengthy waiting lists. It is set to begin in April 2022, receiving the backing of MPs on Wednesday night. But we know this new levy presents yet another challenge for members - you can read the REC’s response here.

Labour and skills shortages campaign
The return of Parliament also signals the next step in our campaign on labour and skills shortages. For the last four weeks, we’ve been running a survey of members so that you can share your experiences and views. That survey closes tomorrow – so this is your final chance to help us take your experience directly to government.

As evidenced by our latest Jobs Outlook, employers’ confidence in their ability to hire new staff and make investment decisions has remained high over the summer. That picture looks set to continue, and though it’s a welcome indication of economic recovery, the number of vacancies is now at an all-time high and still rising. Acute skills and labour shortages now are affecting every industry in the UK. Next week, we will be taking the information gathered from our survey to government.

We began the campaign before summer recess, when a number of parliamentary questions were tabled on our behalf, and we plan to secure more from September onwards. We’re also producing an easy guide, including a template letter, which members can use to engage with their local MPs – you’ll be able to find this on our website next week. While there is no silver bullet, we have developed several ‘asks’ in dialogue with members and industry trade bodies which will help to address this issue, both in the short and long-term. Many of those asks are sector specific as we know that some problems are unique to different occupations. If the UK is truly to recover from the pandemic, then we have to get this right and recruiters are brilliantly placed to offer support here.

If you’d like to share any case studies or additional insights about how skills and labour shortages is affecting you, please get in touch with us on policy@rec.uk.com.

Home Office Digital RTW research sessions
The Home Office has arranged two research sessions to find out more about the use of digital RTW checks and invited REC members to participate. A Home Office researcher will explore your experience of Right to Work checks. Two sessions have been arranged for the 14 and 15 September. To register, or to express interest in participating in other Home Office research on this, please go to: Home Office research- Right to Work checks.

New skills training for Drivers
Following a meeting last week between the REC and the Department for Education (DfE) on the urgent skills shortage in the UK, the DfE is set to announce new driver training programmes. These training schemes will allow candidates to earn their category C and E licences more quickly and will also likely allow retired or former drivers to re-train without redoing their full licence. Further details will be published shortly, we will let members know as soon as announced.

EU, EEA, and Swiss citizens will no longer be able to use ID card to enter the UK, unless exempt
From 1 October 2021, EU, EEA, and Swiss citizens will only be able to travel to the UK using a valid passport. ID cards will no longer be accepted. These changes apply to those who don’t have the right to enter/remain in the UK (such as settled or pre-settled status, for example).

Anyone with protected rights under the EU Settlement Scheme, and those whose rights are protected under the Citizens’ Rights Agreements will continue to be able to use their national identity cards until at least 2025. Please read our update on the Brexit Hub for further details.

Autumn Budget date confirmed
The Chancellor will announce the conclusions of the 2021 Spending Review in an autumn Budget on 27 October.

The three-year review will set UK Government departments’ resource and capital budgets for 2022-23 to 2024-25 and the devolved administrations’ block grants for the same period.  As always, the REC will explain any announcements made by the Chancellor that matter for recruiters.