In 2014-15 a person working a 40 hour week at the National Minimum Wage will earn £13,124 (gross). On this sum they will pay £625 Income Tax and £645 National Insurance. Their employer will pay £720 employers’ NI contributions. Of their £11,800 net pay let’s be extremely generous and suggest that half of that sum is spent subject to VAT, raising around £1,100. Total to the Exchequer: around £3,000.
If the employee has two children Child Benefit of £1,752 will be payable. In addition around £1,700 will be available in Child Tax Credit and around £550 in Working Tax Credit (based on the employee either having no partner or one who does not work). I have not considered Housing Benefit (which might be considerable). Total from Exchequer: around £4,000.
Net loss to the Exchequer: about £1k (before considering what costs are incurred in terms of healthcare, education, etc.)
Yes, it is quite true that we have many people already here placing similar burdens on the public purse and I’m not suggesting that all migrants will show a similar loss to the Exchequer (though I’d wager that more show a loss than show a gain). But just what is the point of importing more people who will do likewise just so that they can undertake unskilled low-paid work that those already here “will not do”.
Perhaps somebody could explain to me just what’s in this deal for the UK.