Increasing number of asylum seekers being granted work permits due to backlogs
An increasing number of migrants who may be in the country illegally are getting the right to work in the UK, Sky News can reveal.
Asylum seekers living in migrant hotels are being granted work permits before a decision is reached on their asylum claims, due to the length of time they have been waiting.
The Home Office backlog in processing claims means almost 100,000 people had been waiting more than a year for an initial decision on their asylum claim at the end of June this year – an almost 80% increase from this time last year, according to the latest data.
Under UK immigration rules, anyone who has been waiting more than 12 months through no fault of their own can receive a work permit and apply for any job on the country’s shortage occupation list.
Hussein, 34, who lives in a hotel in Staffordshire, is now working full-time for a charity after his work permit was granted in October this year.
He is still waiting for a decision on his asylum status, having arrived in the UK on a small boat at the beginning of July 2022.
Hussein, 34, who lives in a hotel in Staffordshire
He told Sky News he fled Iraq because he was concerned that previous work he’d done for Western armies was putting him and his family in danger.
On his phone are pictures of his young daughter back home, who he wants to help financially once he’s earning a regular salary.
He said the £9-a-week given to asylum seekers by the government simply isn’t enough to live on.
“We are getting very, very little money as financial support,” he said.
Although he has his meals paid for by the taxpayer and served in his hotel, he insists it is not enough.
“In the end as a human being, as a person…life is not only sleeping and eating – you might need clothes, you might need shoes, you might need maybe if you have some habits like smoking or anything, so all of this needs money.”
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He is certain that the other men living with him are given hope by watching him find full-time employment.
“Everybody who is seeing me in the hotel, they are also excited because of my job.”
“They are seeing what I’m doing and they want to be the same way,” he added.
Dozens of other migrants at his hotel arrived on the same route as Hussein – on small boats across the Channel.
They, too, are now reaching the threshold for finding paid work.
‘I didn’t choose to come and stay in [a] hotel’
Khalid, 30, from Syria, has been waiting for a decision on his asylum claim for 14 months.
“Many guys here they feel like in prison,” he said.
His work permit has just arrived. He said he will do any job, and doesn’t want to remain living at the expense of the taxpayer.
In broken English he told us: “This is the wrong from the government, not from me. I didn’t choose to come and stay in [a] hotel.
“I start work, I will not stay in the hotel, I can buy, rent or do something, from my business, from my job.”
But not all asylum seekers who are eligible want to get to work before they know what their future holds.
Khater, 30, from Sudan, said that without the Home Office declaring his asylum claim valid he will not attempt to find work.
He said he also wants to study more: “I want to improve my language first and speak fluently, and then I’m going to get a job.”
In November 2022, 51,189 asylum seekers had been waiting more than a year for an initial decision on their claim according to figures released to the Refugee Council
Another asylum seeker from Sudan – Elamin, 30 – admited the reason he came to the UK is to earn money.
“I want to be independent more – to help my family [in Sudan].”
According to figures seen by Sky News, around 91,000 people were waiting more than a year for a decision on their asylum claims by the end of June 2023.
That figure makes up more than half (52%) of the entire backlog of asylum claims at the Home Office.
‘I can understand why the public would be outraged’
In November 2022, 51,189 asylum seekers had been waiting more than a year for an initial decision on their claim according to figures released to the Refugee Council following a Freedom of Information request, meaning the backlog is growing at an alarming rate for some immigration solicitors.
Monira Hussain, an immigration lawyer in Oldham, said that enquiries from asylum seekers requesting help with their applications for work permits are now a daily occurrence.
Immigration lawyer, Monira Hussain
She told Sky News she does not know why decisions have slowed: “I can understand why the public would be outraged.”
“Ultimately what I would like to see the immigration system doing is processing their applications quicker, then we wouldn’t have this situation”, she added.
Some believe the rules need to be changed now the backlog of claims is so large.
Karl Williams, Deputy Research Director at the Centre for Policy Studies, said knowing they can get the right to work simply by waiting long enough makes Britain more attractive to migrants.
“There was perhaps a case for it when there were far fewer people in the asylum system. But at the moment it’s clearly acting as a massive pull factor for people coming here.”
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He believes for the British public, the fact that asylum seekers are working legitimately “will just enhance that fundamental sense that this is unfair”.
“These people are coming here illegally, they’re jumping the queue ahead of people who are using proper systems, and they are taking advantage of the taxpayer and the kindness and generosity of the public.”
The Home Office told Sky News: “The pressure on the asylum system has continued to grow, which is why we have taken immediate action to speed up application processing times and cut costs for taxpayers.
“Between the end of November 2022 and August 2023, the backlog of legacy cases has fallen by over 35,000.”
The government insists asylum seekers do not need to make perilous journeys in order to seek employment in the UK – and admits that Britain’s wider immigration policy could be undermined if migrants bypassed work visa rules by lodging unfounded asylum claims here.
Despite more and more asylum seekers legitimately making a living, it is still unlikely their uncertain status would satisfy the requirements for moving out of their hotel accommodation.
Whether the public likes it or not, a growing number of asylum seekers are now legally part of Britain’s workforce – but with no guarantee they will be allowed to continue their life here.
Additional reporting by Nick Stylianou.
Billionaire Sir Jim Ratcliffe has told Sky News that Britain is ready for a change of government after scolding the Conservatives over their handling of the economy and immigration after Brexit.
While insisting his petrochemicals conglomerate INEOS is apolitical, Sir Jim backed Brexit and spent last weekend with Labour leader Sir Keir Starmer at Manchester United – the football club he now runs as minority owner.
“I’m sure Keir will do a very good job at running the country – I have no questions about that,” Sir Jim said in an exclusive interview.
“There’s no question that the Conservatives have had a good run,” he added. “I think most of the country probably feels it’s time for a change. And I sort of get that, really.”
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Sir Jim was a prominent backer of leaving the European Union in the 2016 referendum but now has issues with how Brexit was delivered by Tory prime ministers.
“Brexit sort of unfortunately didn’t turn out as people anticipated because… Brexit was largely about immigration,” Sir Jim said.
“That was the biggest component of that vote. People were getting fed up with the influx of the city of Southampton coming in every year. I think last year it was two times Southampton.
“I mean, no small island like the UK could cope with vast numbers of people coming into the UK.
“I mean, it just overburdens the National Health Service, the traffic service, the police, everybody.
“The country was designed for 55 or 60 million people and we’ve got 70 million people and all the services break down as a consequence.
“That’s what Brexit was all about and nobody’s implemented that. They just keep talking about it. But nothing’s been done, which is why I think we’ll finish up with the change of government.”
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UK needs to get ‘sharper on the business front’
Prime Minister Rishi Sunak has indicated an election is due this year but Monaco-based Sir Jim is unimpressed by the Conservatives’ handling of the economy.
“The UK does need to get a bit sharper on the business front,” he said. “I think the biggest objective for the government is to create growth in the economy.
“There’s two parts of the economy, there’s the services side of the economy and there’s the manufacturing side. And the manufacturing, unfortunately, has been sliding away now for the last 25 years.
“We were very similar in scale to Germany probably 25 years ago.
“But today we’re just a fraction of where Germany is and I think that isn’t healthy for the British economy… particularly when you think the north of England is very manufacturing based, and that talks to things like energy competitiveness, it talks to things like, why do you put an immensely high tax on the North Sea?
“That just disincentivises people from finding hydrocarbons in the North Sea, in energy.
“And what we need is competitive energy. So I mean, in America, in the energy world, in the oil and gas world, they just apply a corporation tax to the oil and gas companies, which is about 30%. And in the UK we’ve got this tax of 75% because we want to kill off the oil and gas companies.
“But if we don’t have competitive energy, we’re not going to have a healthy manufacturing industry. And that just makes no sense to me at all. No.”
‘We’re apolitical’
Asked about INEOS donating to Labour, Sir Jim replied: “We’re apolitical, INEOS.
“We just want a successful manufacturing sector in the UK and we’ve talked to the government about that. It’s pretty clear about our views.”
Sir Jim was keener to talk about the economy and politics than his role at struggling Manchester United, which he bought a 27.7% stake in from the American Glazer family in February – giving him an even higher business profile.
Old Trafford stadium in Manchester. Pic: AP
Push for stadium of the North
He is continuing to push for public funds to regenerate Old Trafford and the surrounding areas despite no apparent political support being forthcoming. Sir Keir was hosted at the stadium for a Premier League match last weekend just as heavy rain exposed the fragility of the ageing venue.
“There’s a very good case, in my view, for having a stadium of the North, which would serve the northern part of the country in that arena of football,” Sir Jim said. “If you look at the number of Champions League the North West has won, it’s 10. London has won two.
“And yet everybody from the North has to get down to London to watch a big football match. And there should be one [a large stadium] in the North, in my view.
“But it’s also important for the southern side of Manchester, you know, to regenerate.
“It’s the sort of second capital of the country where the Industrial Revolution began.
“But if you have a regeneration project, you need a nucleus or a regeneration project and having that world-class stadium there, I think would provide the impetus to regenerate that region.”
Marks & Spencer’s website and app has not been working for several hours, with a message telling shoppers “you can’t shop with us right now”.
“We’re working hard to be back online as soon as possible,” it adds.
All the menus and images have disappeared apart from one showing a model in a green jacket.
Customers trying to use the app got the message: “Sorry you can’t shop through the app right now. We’re busy making some planned changes, but will be back soon.”
The site is understood to have been down for several hours.
Replying to one customer on X, the retailer said: “We’re experiencing some technical issues but we are working on it.”
M&S is the latest high street name to have technical issues – last month some Sainsbury’s shoppers had problems with their online orders.
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The outage comes a few days before M&S is expected to reveal a big jump in annual profits.
It’s been a successful year for the brand, with strong sales across the business following a turnaround plan that has included store closures and cost cutting.
Bosses at Revolut, Britain’s biggest fintech, are drawing up plans to allow employees to cash in with a sale of stock valued at hundreds of millions of pounds.
Sky News has learnt that the banking and payments services provider is lining up investment bankers to coordinate a secondary share sale worth in the region of $500m (£394m).
Morgan Stanley, the Wall Street bank, is expected to be engaged to work on the proposed stock offering, which will take place later this year.
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City sources said this weekend that Nik Storonsky, Revolut’s co-founder and chief executive, was determined to seek a valuation of at least the $33bn (£26bn) it secured in a primary funding round in 2021.
“This will not be a down-round,” said one person familiar with Revolut’s thinking.
Although the fintech, which has more than 40 million customers, is not planning to raise new capital as part of the transaction, any sizeable share sale will still be closely watched across the global fintech sector.
It is expected to be restricted to company employees.
Revolut ranks among the world’s largest financial technology businesses, with revenue virtually doubling last year to around £1.7bn, according to figures expected to be published in the coming months.
Founded in 2015, it has experienced a string of regulatory and compliance challenges, with reports last year highlighting its release of funds from accounts flagged by the National Crime Agency as suspicious.
The company’s growth has taken place at breakneck speed, with customer numbers soaring from 16.4m at the point of the Series E fundraising nearly three years ago.
The company’s growth has taken place at breakneck speed. Pic: Revolut
Insiders argued that despite the protracted downturn in tech valuations over the last two years, Revolut’s relentless expansion would easily justify it maintaining its status as Britain’s most valuable fintech.
Monzo, the UK-based digital bank, recently confirmed a Sky News story that it had closed a funding round worth nearly £500m, including backing from an arm of Google’s owner, Alphabet, and a Singaporean sovereign wealth fund.
Elsewhere, however, the funding landscape has been bleaker, with a growing number of tech companies which had attracted unicorn valuations of more than $1bn now struggling to stay afloat.
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Revolut has allotted stock options to many of its 10,000 employees as part of their compensation packages, although it was unclear how many would be eligible to dispose of equity in the transaction later this year.
A source close to the company said it had had numerous expressions of interest from prospective investors.
Revolut’s current shareholders include SoftBank’s Vision Fund and Tiger Global.
News of the proposed share sale comes as Revolut’s investors continue to await positive news about its application for a UK banking licence.
Revolut applied for a UK banking licence more than three years ago. Pic: Reuters
The company applied to regulators to become a bank in Britain more than three years ago, but has so far failed to secure approval.
Mr Storonsky has been publicly critical of the delay, and last year questioned the approach of British regulators and politicians, as he suggested that he would not contemplate a listing on the London Stock Exchange.
An initial public offering of Revolut appears to still be some way off, although it would not surprise investors or industry peers if it initiated a listing process in the next couple of years.
One person close to Revolut said board members were among those expected to participate in the secondary share sale, although further details were unclear this weekend.
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The company is chaired by Martin Gilbert, the City veteran who has faced governance and performance challenges at Assetco, the London-listed asset manager he runs.
Its other directors include Michael Sherwood, the former Goldman Sachs executive who was jointly responsible for its operations outside the US and who was regarded as one of the most skilled traders of his generation.
An external shareholder in the company said the exclusion of non-employees from the deal could draw criticism from some investors.
Revolut has conducted secondary share sales of this kind in the past, including after its 2021 Series E round.
This weekend, Revolut declined to comment.
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