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Downing Street has insisted that the prime minister has achieved his target of clearing the legacy backlog of asylum claims, despite the government’s own data showing that 4,537 remain.

Rishi Sunak pledged in December 2022 that he would “abolish” the legacy backlog of asylum claims made before 28 June of that year, with the Home Office being given the target of the end of 2023.

On Monday, the department said the pledge had been “delivered”, having processed more than 112,000 asylum claims overall in 2023.

There were more than 92,000 asylum claims made before 28 June 2022 requiring a decision, but 4,537 remain, according to the government’s official data.

Analysis: Sunak's asylum backlog claim isn't true - according to the government's own statistics

Analysis: Sunak’s asylum backlog claim isn’t true – according to the government’s own statistics

It seems the government has shot itself in the foot by misleadingly focusing on a specific promise made by the PM which hasn’t quite been met.

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Speaking to journalists this morning, the prime minister’s spokesperson said the legacy backlog of asylum claims has, in fact, been cleared as promised because all cases have been reviewed, and the remaining ones simply “require additional work”.

The spokesperson said: “We committed to clearing the backlog, that is what the government has done. We are being very transparent about what that entails.

“We have processed all of those cases and indeed gone further than the original commitment. We’re up to 112,000 decisions made overall.

“As a result of that process, there are a small minority of cases which are complex and which, because of our rigorous standards, require further work.

“But nonetheless, it is a significant piece of work by Home Office officials to process such huge numbers in a short period of time while retaining our rigorous safety standard.”

The government has said that the remaining 4,537 more complex cases typically involve “asylum seekers presenting as children – where age verification is taking place; those with serious medical issues; or those with suspected past convictions, where checks may reveal criminality that would bar asylum”.

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Home Secretary discusses government’s work to process asylum claims

However, the CEO of the Refugee Council, Enver Solomon, said it is “misleading for the government to claim that the legacy backlog has been cleared as there are thousands still waiting for a decision”.

And Labour’s shadow home secretary Yvette Cooper labelled the claim that the backlog has been cleared “totally false”.

She told broadcasters: “They made a whole series of promises about clearing the asylum backlog and they haven’t delivered them.

“Instead, the asylum backlog is still nearly 100,000 cases, and we’ve still got thousands of people, record numbers of people in asylum hotels. So, the government’s just failing on all counts.”

The policy is central to government plans to stop small boat crossings
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Rishi Sunak’s spokesperson has rejected accusations that the government has made “misleading” claims

The prime minister’s spokesperson was also asked about an apparent suggestion from Home Secretary James Cleverly on LBC radio this morning that the government’s goal is to stop small boat crossings entirely in 2024.

Downing Street said they are “not going to set out a deadline”, but said the Rwanda bill – that is due to return to the Commons “this month” – is a “key part” of stopping small boat crossings.

Mr Cleverly did not make the suggestion that boats would be stopped this year elsewhere, and a source close to him said: “Tackling illegal migration is by virtue of what it is, a product of criminal people smuggling gangs, should always be a mission to zero, and as quickly as possible.

“We’ll do what it takes, using a whole range of tactics to get to zero to break the business model of these ruthless smugglers who don’t care if people live or die, just as long as they pay.”

It comes after Mr Sunak admitted to parliament’s Liaison Committee just before Christmas there is no “firm date” to stop small boat crossings entirely.

Up until today, there had been fears for months that the prime minister’s target would not be achieved, and in an appearance before the Commons Liaison Committee in December, the prime minister was unable to say when the remaining overall backlog of asylum claims would be cleared.

In February last year, the Home Office said thousands of asylum seekers would be sent questionnaires which could be used to speed up a decision on their claims, and about 12,000 people from Afghanistan, Syria, Eritrea, Libya and Yemen, who had applied for asylum in the UK and were waiting for a decision, were understood to be eligible under the policy.

In June, the National Audit Office (NAO) said efforts to clear the backlog needed to significantly increase to clear the backlog and questioned whether the plans were sustainable.

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The spending watchdog also estimated £3.6bn was spent on asylum support in 2022-23, which amounted to almost double the previous year.

More caseworkers had been tasked with processing applications, which the Home Office has previously said was “tripling productivity to ensure more illegal migrants are returned to their country of origin, quicker”.

But the department’s top civil servant, Sir Matthew Rycroft, revealed in a letter to MPs that just 1,182 migrants who had crossed the Channel had been returned to their home country since 2020, out of a total of more than 111,800 who arrived in that time period.

The majority of those returned were from Albania, with whom the UK has a returns agreement.

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Crypto industry, trade unions clash over multi-trillion dollar retirement funds

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Crypto industry, trade unions clash over multi-trillion dollar retirement funds

A growing rift has emerged in Washington, D.C., between the cryptocurrency industry and labor unions as lawmakers debate whether to ease rules allowing cryptocurrencies in 401(k) retirement accounts.

The dispute centers on proposed market structure legislation that would allow retirement accounts to gain exposure to crypto, a move labor groups say could expose workers to speculative risk. In a letter sent on Wednesday to the US Senate Banking Committee, the American Federation of Teachers argued that cryptocurrencies are too volatile for pension and retirement savings, warning that workers could face significant losses.

The letter drew immediate pushback from crypto investors and industry figures. “The American Federation of Teachers has somehow developed the most logically incoherent, least educated take one could possibly author on the matter of crypto market structure regulation,” a crypto investor said on X. 

Retirement, Pensions
The AFT letter to Congress opposes regulatory changes that would allow 401(k) retirement accounts to hold alternative assets, including cryptocurrency. Source: CNBC

In response to the letter, Castle Island Ventures partner Sean Judge said the bill would improve oversight and reduce systemic risk, while enabling pension funds to access an asset class that has delivered strong long-term returns.

Consensys attorney Bill Hughes said the AFT’s opposition to the crypto market structure bill was politically motivated, accusing the group of acting as an extension of Democratic lawmakers.

Retirement, Pensions
Funds held in US retirement accounts by type of account plan. Source: ICI

Related: Atkins says SEC has ‘enough authority’ to drive crypto rules forward in 2026

Opposition to crypto in retirement and pension funds mounts

Proponents of allowing crypto in retirement portfolios, on the other hand, argue that it democratizes finance, while trade unions have voiced strong opposition to relaxing current regulations, claiming that crypto is too risky for traditional retirement plans.

“Unregulated, risky currencies and investments are not where we should put pensions and retirement savings. The wild, wild west is not what we need, whether it’s crypto, AI, or social media,” AFT president Randi Weingarten said on Thursday. 

The AFT represents 1.8 million teachers and educational professionals in the US and is one of the largest teachers’ unions in the country.

According to Better Markets, a nonprofit and nonpartisan advocacy organization, cryptocurrencies are too volatile for traditional retirement portfolios, and their high volatility can create time-horizon mismatches for pension investors seeking a predictable, low-volatility retirement plan.

Retirement, Pensions
Bitcoin and Ether volatility compared to other asset classes and stock indexes. Source: US Federal Reserve

In October, the American Federation of Labor and Congress of Industrial Organizations (AFL-CIO) also wrote to Congress opposing provisions within the crypto market structure regulatory bill.

The AFL-CIO, the largest federation of trade unions in the US, wrote that cryptocurrencies are volatile and pose a systemic risk to pension funds and the broader financial system.

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