Home » Posts tagged 'UK immigration'

Tag Archives: UK immigration

Are British Women to Blame for High UK Immigration?

by John Brian Shannon

It’s a proven fact, men can’t bear children. Ask anyone.

Therefore, any children born in a country are going to be born to women. And before World War I, British females of child-bearing age were having 3.2 children on average which created a constant, but manageable population growth rate.

This translated into a healthy economy — all those new mouths to feed, clothe, educate and shelter — and such birthrates form the basis of every domestic economy.

In economies with a high national birthrate per fertile woman, a significant domestic economy exists and consequently, sending raw resources or manufactured goods to other countries *isn’t* required to prop up the economy.

When more people are being born than are dying every year, you have the perfect domestic economy — and exports are merely the icing on the cake — and what a ride it is when the domestic economy is growing and exports are growing every year! Woot!

That’s how Britain prospered for centuries, until WWI and WWII changed all that.


Let’s Skip Over the War Part and Get to the Results

Enough has been written and filmed about Britain’s part in WWI and WWII to fill entire libraries (as it should, and to every living and long-dead veteran, thank you again for our freedom!) but for our discussion today, let’s look at how two world wars changed the demographic picture of Britain.

Women entered the formal workforce and began to earn money.

This was done because the men were away fighting a war and the country was in a desperate labour shortage. Anyone who could turn a shovel, milk a cow, assemble a rifle, or ‘man’ a telephone exchange, was put to work immediately. Some workers were barely in their teens and had plenty of responsibility on their shoulders. The British people of the last century were truly an adaptable and amazing people who rose to every challenge and succeeded. Often at great personal cost.

With most of the men away, women worked up to 16-hour shifts on farms or in factories, and still cared for their household and any children that had been born prior to the war, and Britain’s birthrate fell precipitously. In fact, the birthrate per fertile woman fell below replacement levels and the population of the country as a whole, began to fall.

No country can sustain such a falling birthrate, however due to the extremely high wartime demand for weapons and other war matériel the economy continued to function. Not as well as prior to the war mind you, but it still functioned — and apart from borrowing money on the international markets to fund the war machine — Britain’s economy remained sound. The last payment on Britain’s WWI and WWII $120 billion war debt was recently repaid in 2006.


Economic Recovery and Birthrate in the Postwar Era

The result of all this war was that there was a postwar baby boom and Britain’s economy once again began to thrive.

Two profound things changed the British economy forever in the postwar era: 1) British women were likely to put off having children and continue working, and 2) in 1961 birth control pills became available to married women and were later made available to single women.

As a result, the birthrate per fertile woman in Britain again plummeted (replacement levels in Western countries is at 2.2 babies per fertile woman) and employers were eager to employ women who were happy to work for less than half of what men earned. In some cases, women were paid only 40% of what their male counterparts earned and no one thought anything about the discrepancy — not even the women.

Women’s participation in the workforce increased, and beginning in the 1970’s the rates of pay for women began to rise and even fewer babies were born to British women who were too busy earning income to want children.

Consequently, the government was informed by industry-centric economists to open the floodgates to foreign workers (starting in 1999) to meet the demand for labour in the country (which is a different way of saying, ‘bring in the kind of workers who will work for what we used to pay the women’ e.g. 40% of the wage rate for male workers) and British profits will rise again. Indeed they did, but unemployment among British citizens rose and downward pressure on wages began to be a measurable factor.

Company profits rose, British GDP rose, productivity fell but later recovered as the foreign workers became more proficient at their jobs and had a better understanding of the English language, and domestic demand for goods and services (which every economy is built on) skyrocketed.

All of it is an astonishing success story, Britain with its wartime partners winning two world wars, rebuilding its economy in the postwar era, adding millions of women to the workforce, the introduction of pharmaceutical birth control, near-parity for women’s wages in recent years, high profits for companies and a respectable GDP growth curve.

The downside for some is that it took millions of foreign-born workers migrating to Britain to sustain growth in the UK economy because British-born women would rather work than have babies. (Just like women in other developed countries)

Which brings us to the present moment.


Would UK Women Prefer to Have Babies, or Would They Prefer to Work?

The simple answer is, if they could afford to stay home and have babies, they would. Many studies support this finding although a certain percentage of women would continue to work until their 40’s before having children.

Even in this era of cheap birth control and relatively plentiful work for women, many women would prefer to stay home and raise children. But due to lower wages as a result of massive immigration many families cannot afford to have one wage-earner staying at home to raise children.

And we all know how enormously expensive raising children can be these days.


Are There Any Solutions?

There are always solutions. The question is, are they affordable and acceptable to the majority of citizens?

  1. Wages rise enough for one wage-earner to support the entire family and have enough money left over to take a nice, 3-week family vacation per year (like it used to be in the ‘old days’) OR,
  2. British citizens willing to go through the effort and expense of raising children must receive some kind of assistance paid by an incremental increase in the national taxation rate.

Eventually, everyone who pays taxes would be able to recoup the additional portion of the taxes paid when they themselves decide to have children.


Using a Parental Guaranteed Basic Income to Boost the UK-born Birthrate

Let’s say that UK-born ‘Richard’ and ‘Anne’ want to have children. But because of the high costs of food, clothing and shelter in the UK (which you can partially blame on high immigration loads that force-up prices) they decide they must remain working until they can afford to have children. Many Britons are caught in this trap.

Why is it a trap? Because every year they remain working, the cost of everything continues to rise and they’re no further ahead after ten hard years of effort.

Both people working + one recession = no kids. It happens over and over. Working couples barely reach a point where they feel they can afford to start a family, and BOOM! along comes a financial crisis. Bad for the baby-blanket business!

It’s typical for recessions to occur every 15-25 years. So British-born couples like ‘Richard’ and ‘Anne’ may never reach their goal of having children, like millions of other Britons. And if they finally get to the point where they feel they can afford a family — they’re 100 years old like Abraham and Sarah of ancient Mesopotamia.

And everyone wonders why Britain has a 1.89 birth rate per fertile woman, which is far below population replacement levels. As mentioned above, 2.2 births per fertile woman is considered replacement level in developed nations. If you want to grow the population and not just maintain the present number, then the birthrate value must rise above 2.2 births per fertile woman.

The UK has a long way to go to meet replacement levels, let alone begin to increase the population!

If that’s true, why does the UK population continue to increase? One word: Immigration.

Again, the solution if you don’t want ever-increasing immigration to prop-up your population and eventually replace the UK-born people;

  • Raise wages dramatically so that one wage-earner can afford to provide for the entire family, OR,
  • Families with children receive some kind of payment from the government financed by an incremental tax increase.

For those who don’t like higher taxes, hey, that’s your right. But don’t complain when your children are the last native-born Britons in the country!

Assuming you don’t want to hand Britain over to foreigners (even though some of them are very nice) UK-born women will need to be compensated for leaving their career and raising children.

A monthly payment can make the difference between a falling or rising birthrate.

If ‘Richard’ continues to work and ‘Anne’ receives a Parental Guaranteed Basic Income (PGBI) of £1088 per month, it might be enough for middle class families to get by with only one wage-earner.

In this way the negative birthrate problem in the UK will eventually be righted and massive immigration loads will no longer be required to sustain the UK population / and consequent domestic economy.

More UK-born children = fewer immigrants moving to the UK

Assuming both ‘Richard’ and ‘Anne’ have worked since leaving school and paid their fair share of taxes, when they are ready to start a family they will do so secure in the knowledge they will be able to afford it due to the PGBI system. ‘Richard’ will earn his wages and ‘Anne’ will receive £1088 per month.

At income-tax time, they simply combine their income (let’s assume £80,000/yr for ‘Richard’ and £13,056 for ‘Anne’) and pay the normal amount of tax on their combined income of £93,056.

If they keep their expenses low, that’s enough annual income to raise one child until he/she reaches 18 years of age.

Which is certainly cheaper for the UK than paying double that amount to host one immigrant who will send much of his/her earned money to his home country to help his or her family for as long as he/she remains in the UK.

If we’re paying thousands per month for each immigrant (directly and indirectly) to sustain the UK population, why can’t we pay ‘Anne’ less than half that monthly amount to raise a UK-born child?

Eventually, ‘Richard’ and ‘Anne’s’ child will grow up to become a worker and he or she won’t be sending thousands of pounds sterling off to a foreign country every year (yes, the immigrants work very hard for their money — they can do what they like with it) but the UK-born child will simply spend their earnings in the UK economy, except for his/her vacations outside of the UK.

For as long as ‘Anne’ stays at home raising her children, she can continue to collect the £1088 per month PGBI until she returns to the workforce and begins earning more than that monthly amount, or when her child hits 18 years of age, her PGBI payments will be discontinued.

Obviously, the easiest way to run this programme is via a ‘reverse income tax’ where a person’s income, their partner and their child, all appear on the same income tax form. After filing their combined tax form, couples would be notified of their eligibility for PGBI and monthly payments would begin.

Caveat: As long as ‘Anne’ is receiving any amount of income over £1088 per month, either via unemployment insurance payments, annuity payments, inheritances, lottery winnings, gifts from family members, or from whatever other source, ‘Anne’ will not qualify for the PGBI payment. If she is earning less than £1088 per month (from all sources) the PGBI programme would top-up her personal income to £1088/month.

Although it sounds expensive, it would still be cheaper by half compared to the present method of paying immigrants to keep the UK population at a sustainable level and thereby keeping consumer demand high in the overall economy.


How to Pay for This?

Britons are already paying for it… TWICE OVER!

Each immigrant represents a significant cost to the British taxpayer, (and yes, they do work very hard to earn a living in the UK, no one is denying that) but in addition to using infrastructure and services in the country just like everyone else, there is a cost differential of about £100,000 per immigrant over their lifetime.

The Home Office / Border Force must devote considerable time and effort to immigrants with some costs happening even before the migrant lands in Britain.

Immigrants receive the same benefits as UK citizens such as welfare payments, and cost the government in other ways, including police, court, and incarceration costs, higher than average security and certain administration costs that are unique to immigrants — and they displace UK-born workers as they’re willing to work for lower wages.

In addition, they send billions of pounds sterling home every year. The figure of £20 billion per year is most often used — but it is likely much higher. Forget about official statistics, the UK government (like most governments) only records those foreign remittances that people volunteer (£3.2 billion) to share with the government. Banks and wire transfer services like Western Union know the real deal on foreign remittances.

And that’s costly to the UK economy. Just divide £20 billion by the 8 million foreign-born residents in the country and you’ll see how costly ‘foreign remittances’ are for the United Kingdom.

The final note on foreign remittances is terrifying. Such payments are notoriously difficult to prove, but the standard number of £20 billion/yr is a guesstimate. It’s widely acknowledged that UK foreign remittances may be double that amount, and could in the very worst-case scenario top £56 billion per year. And you don’t want to know the grand total of foreign remittances since 1999. No matter the number, it’s a lot of money leaving the UK that will never, ever, return.

What could those billions have done for the UK economy? We’ll never know.


‘Cutting Our Losses’ Covers Half of the Cost of a Parental GBI, but More Tax?

In addition to lowering immigration to low levels because UK-born women would be having more babies — there would need to be an incremental tax increase.

A Tobin Tax is simply a tax on all financial transactions in the country. It’s called an ‘invisible tax’ because banks and retailers simply add an internal 1% tax to each and every financial transaction and remit the revenue to the government annually.

  • Buy or sell some stock, it costs you 1% more than at present.
  • Buy a beer, it costs you 1% more than at present.
  • Take £100 from the ATM (yes, that’s a financial transaction) and the bank charges you 1% on the total amount.
  • Buy some petrol and 1% is automatically added to the cost.

Basically, whatever you purchase is going to cost you 1% more unless it’s something that costs more than £100,000 — because you pay the Tobin Tax only on the first £100,000 on any individual purchase. Which is nice when you’re buying an Airbus A380 or other large purchase.

Yes, nobody likes higher taxes that’s for certain. But there’s no rule that the Tobin Tax must be set as high as 1%. Some Tobin Tax proponents suggest it could be used to fund special projects like a GBI for UK parents only — in which case it could be set at .2% on individual purchases.

It’s your choice.

Does lower immigration, lower foreign remittance levels, more UK-born children to keep the population stable, and more jobs for Britons matter to you? Or does a Parental GBI funded by a .2% Tobin Tax nullify those gains?

Let us know in the comments!


Population & Density Charts for the United Kingdom 1950 – 2020


UK population pyramid information 1950 - 2020. Images courtesy of PopulationPyramid net

UK population pyramid information 1950 – 2020. Images courtesy of PopulationPyramid.net

 

 

Getting the Brexit that Britons Want: Theresa May’s Brexit Essentials

by John Brian Shannon

What results can Britons hope for during the next two-years of Brexit negotiations?

In the aftermath of the UK General Election 2017, Prime Minister Theresa May has her work cut out for her.

With the whole country and indeed the world looking on, Brexit negotiations are set to begin next week. One note that inspires some early confidence is the mild but useful cabinet shuffle announced by PM May at the weekend.


PM Theresa May must gain control of borders and the numbers of people allowed into the UK

It’s become clear over many months that immigration levels are seen by many citizens as too high and that far too much ‘catering’ to the needs of refugees and economic immigrants has been allowed to occur.

Of course it makes sense to take care of people new to the country and few would begrudge decent treatment for people looking for a better life free from persecution in the case of refugees, and in the case of economic migrants, having the ability to earn a living and have a shot at a real life.

However, when the migrants seem to be doing better than the 13 million Britons who make up the bottom economic quintile group it’s a sign that adjustments are in order.

NOTE: The UK’s bottom economic quintile group report average incomes of £6146 (original income) £13,841 (final income) and £11,883 (disposable income) — UK.gov stats

Either because of entry-level or part-time work for younger workers, or diminishing opportunities for mid-career workers, or poor opportunities for higher education during their younger years in the case of older workers — this quintile suffers from lower-income, poorer health, poorer housing, and lower life satisfaction index scores.

They also die younger, spend more time in hospitals, and as a quintile have more dealings with police and security agencies. Through no fault of their own (as offshoring of jobs isn’t their fault, nor is increased immigration where lower paying jobs are taken by cheaper labour immigrant workers) this group costs the UK economy billions of pounds sterling every year.

If there were jobs available for the people in the bottom quintile they would take them, and no longer find themselves in the bottom fifth with all the attendant costs to themselves, their families, and to UK society

But the simple fact is, in the UK there are many more people looking for work, than there are jobs available — and this is particularly true since the beginning of the influx of eastern European immigrants and refugees from other regions.

This means ‘hard’ borders with real border guards and guns. It means people must be turned away if they don’t meet all of the requirements to enter the country and it means that those non-UK-citizens presently in the country must register their status with the Home Office by January 1st of each year, with updated address, phone number, employment details, or if a student their university details, etc. and pay an annual fee of 100 pounds sterling to the Home Office.

It really isn’t much to ask when the positive is that they get to live in one of the best countries on the planet.


PM Theresa May must insure that all offshore areas presently under EU jurisdiction and formerly under the jurisdiction of Great Britain, must be returned to the UK

UK fishers, those in the undersea resource extraction field, and corporations that build wind turbine installations in the North Sea were under the nominal authority of the EU while the UK was a member of the European Union, however, now that the UK is leaving the EU, maritime borders must revert to their previous status.

Not only will jurisdiction revert to the United Kingdom, but the responsibility to patrol and protect those waterways will once again fall to the Royal Navy and the RAF.

The primary responsibility of every government on the planet is to protect its citizens, and that means spending significant time and resources to protect the land, sea, and air boundaries of the country. Real countries don’t ‘contract it out’ to other nations. If you want it done right, do it yourself.

I hope Theresa May won’t get shouted down by EU negotiators on this primary and important aspect of statehood.

Not only are the fishing zones rich, but so are the undersea resources, as are the wind resources for corporations that spend billions to build offshore wind farms.

In their entirety, UK marine zones represent almost uncountable riches, and the European Union can’t be happy about losing their claim on these abundant waters.


PM Theresa May must negotiate a reciprocal expat agreement that works for both UK and EU expats

At present, 1.3 million British citizens live in the EU, while 3.3 million EU citizens live in the United Kingdom.

But neither the European Union nor the United Kingdom has any particular obligation to host the others’ citizens after Brexit.

For example, EU citizens living in the UK have no special status and the UK isn’t obligated to allow them to continue to live or work in a post-Brexit Britain. The same is true for Britons presently living in the EU whether they are working on the continent, attending university there, or have retired in the European Union.

One would like to think a standardized agreement for reciprocal expat rights can be signed immediately between the two blocs.

But it’s a situation where the benefits to politicians are relatively small, as only tiny numbers of voters are involved out of Europe’s total population of 504 million.

In the (hypothetical) worst-case scenario, three times as many EU citizens would be required to return to the EU while only 1.3 million Britons would be required to leave the European Union following Brexit.

Wouldn’t it be great if politicians could agree on a standardized bill of rights for all European expats?

Instead of the usual tug-of-war where the only eventuality is a ‘Win-Lose’ outcome, all European leaders should broaden their worldview and seek a pan-European ‘Win-Win’ agreement that works for all expats.

Goodwill and a ‘Win-Win’ attitude will be everything in regards to successful Brexit negotiations

Without those two ingredients, leaders on both sides will buy themselves years of misery and bad polls: But by employing those ingredients in generous measure, European leaders on both sides of the Brexit negotiations will prove their world-class credentials and abilities to 7.4 billion onlookers.