The Disposable (U.K Student Visa Policy)

8/14/2019 The Disposable (U.K Student Visa Policy)

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T H E

D I S P O S A B L E

( A L A Y M E N S ’ G U I D E T O U . K S T U D E N T V I S AP O L I C Y )

CONTENTS

*Economic Crisis 2008 * Outer Source

*Visa & Immigration * Economic Effects of Students

The Immigration & Visa debate is very wide. Too many books, journals, articles have already been written aboutit. The spectrum of debate is too wide and a rguments too many.This article will only anal yze the dramatically changing U.K student visa policy and its e ffects on s tudents and U. Keconomy, especially after Economic Recession 2008.

THE DISPOSABLEAt the end of World War II (1945), British casualties exceeded 449,800 (military &civilian) and many more were severely injured and could not perform an activerole in the society and thousands were taken as Prisoner of war (POW) by theenemies. What was devastating for Britain was that nearly all the casualties werestrong men, ranging from teenagers to men in their 30s. As a consequence Britainwas short on workforce to keep the country running. It was then, that Britainopened its doors to immigrants.

At this stage Britain had already sucked too much of the resources of the lands itoccupied in Asia & Africa, and everyday life of a common man was a misery.Poverty, starvation and oppression were flourishing in those lands.

In these oppressed communities, many saw immigration as a way to end their

misery, if not of the whole society but at least their own. They valued it, just as ayoung kid will value “Lifetime free entry to Disney Land”. In 1960s and 1970s U.Kwas desperate for workforce and massive immigration took place.

ECONOMIC CRISIS 2008

Recession (Officially started in Second Quarter of 2008) proved devastating forthe world economies, specially Western economies. U.K was severely hit byrecession and came last in the race to step into the so-called recovery.

This is what happens; Economic Meltdown means money disappearing from themarket. When the ratio between real money and virtual money (debts,speculation trade, shares market, deficit) becomes too much that there is nosufficient real money available for any large economic transaction to be made orif the debtors are not able to pay back their debts. This rapidly but gradually leadsthe whole economy into recession. As all business are interdependent andinterlinked and owe each other, if one goes burst it initiates a domino effect inthe whole economy.



The instant effect of Economic Meltdown is Job Loss. This leads to less publicspending, public sector businesses make less profit, no profit or in severe cases gobankrupt. This leads to more job losses in business sector, more unemploymentmeans more decrease in public spending which effects more businesses andstarts a continuous cycle of job losses, redundancies, pay cuts, unavailability of overtime, reduced working hours and business closures, this continues unless anduntil a source from out of this cycles intervenes.

In the U.K, these newly unemployed people are not able pay rent and they go fora council house and claim Housing benefit, job seekers allowance etc, which is aburden on the Government.

As majority of houses in U.K are on mortgage, An unemployed or tenantlessmortgage holder ends up not paying the mortgage installments, the property iseventually repossessed (taken back to re-sell to other buyer) by the mortgager.The mortgager puts the property back into market but cannot find a buyer,because the uncertainty and chaos in the job sector restrain people from any

long-term financial commitment.

So for the mortgager, the continuous flow of liquid money, in form of monthlyinstallments from mortgage holders, reduces. The repossessed property is inmarket again but without a buyer, this leads to reduced income and to job lossesin mortgage business sector. Real Estate Business, which is the link between thetwo parties in the property business, gets affected severely.

The mortgage holder ends up with nowhere to live and eventually turns to thegovernment for help, ‘Benefits ’.

This continuously increasing unemployment produces an influx of people not ableto stay up to their debt repayments (Mortgage, Credit Card, Loan, Over Draft etc),and eventually leads them to bankruptcy. Banks has to show this debt as BadDebt (money that is uncollectable), which leads to more and more investors orshareholders restraining from doing business with them.

Unemployed youth eventually end up in drugs, prostitution, stress and crime. Itincreases Government expenditure on Police to halt rising crimes. Influx of

patients with Psychological and Physical effects due to stress and drugs increasesexpenditure in health sector. This also serves as a burden for the alreadyeconomically collapsing government. Yet another cycle.

OUTER SOURCE

*The situation is such that the money must be pumped into the economy from

Outer Sources, to slowdown and eventually halt the economic meltdown.

*There must be no or minimum economic cost for the government. No pain Onlygain policy.

Government takes different to pump in money from outer sources with no orminimum cost for the government.

*Military equipment contracts, on pay now receive later basis, Softening the rulesfor Mid/Large Companies to attract foreign investment, Promoting Tourism andothers.

VISA & IMMIGRATION1

In the past two years there were very unprecedented, unexpected and vitalchanges in the U.K visa and immigration policy. Specially from Second quarter of 2008, that is when the 1st recession of 21 st century officially began for U.K. Majorchanges were introduced to Visa & Immigration rules.

It should be noted that political decisions are not made in isolation on a specificissue, every political decision have some declared and many hidden agendas.

Political decisions are influenced by many factors and have a wide range of implications. Only the concerned implications will be discussed here.



Immigration:

* Minimum age for marriage was increased from 18 to 21.

Cutting down the ratio of people obtaining marriage visas to claim permanentstay in the U.K.

* Suggestions that Women seeking an indefinite leave to remain throughmarriage will have to integrate into society, for example; Community work,voluntary work for council and charity fundraising etc.

This will sideline people of some Ethnic groups and religions to obtain settlementstatus in the U.K, which if given, they may claim Benefits.

Overseas Students:

* Changing the minimum education requirement for PSW (Post-Study Work)Visa from Diploma to Degree program.

It prolonged stay as student for 2-3 more years and forced the students to pumpmore money in the education system.

* Severe crackdown on colleges, fake and genuine. As if they didn’t exist beforerecession.

More than 140,000 students were affected by these crackdowns, not even asingle college agreed to refund money. Students, Genuine and Fake all lost theirmoney. Home Office issued a 90 days limit for the students to re-enroll in anyother college, which meant 140,000 students would again pay massive amountsto colleges and would restudy the respective course again. Pumping money intothe economy again and for a longer period of time. The students that lost theirfee and cannot afford to pay for their studies will eventually end up notcomplying with the 90 day limit. Either they go back to their native countries orstay illegally. Then it is the very same Government that chases and deports them.



It is legitimate for a Government to crackdown on anything and everything that isagainst the law, but is it not the same Government under whose nose all thesecolleges were operating? . Eventually, those who end up making money out of itare the Government, Colleges and Visa Agents. Students end up losing theirmoney and time, but nobody seems to care about it.

It was due to the loop holes in the Governments Visa Policy that the colleges were

able to exploit the system. The Plaintiff and the Defendant should be theGovernment and the Colleges respectively, Not the students. The only crime of astudent is to be a student.

*Introducing Points Based System, for visa applications.

Before Points Based System was introduced, it was uncertain that Visa will begranted or not. But Points Based System made it easy and simple. Certain pointsare been allotted for educational background, finances etc, If you got the requiredpoints, you get the Visa.

* Temporary freeze imposed on Tier 4 Student Visas from North India, Nepal &Bangladesh.

Just prior to this freeze, more than 100 colleges were closed within a week. It wasclaimed that these colleges issued more Visa Letters than they were allowed to.And on these colleges most of the Visas were issued in North India, Nepal andBangladesh. As a result, many students were sent back from airports, others whomanaged to come in were shocked by the news that their college don’t existanymore, each student lost between £2500 - £3000 or more in college and VisaAgent fee, and they will have to re-enroll in another college spending thousandsof pounds again. Millions flowed into the U.K economy and the same students willhave to pump money again into the economy by spending millions again on newadmissions, or else they will be treated as Illegal. Government and Collegesearned, and students suffered for being a student.

It feels as if Governments has forgotten all claims of Human Rights, Equality andJustice, just because holding to these values is not in its benefit in this case of overseas students.

*CAS (New system applicable from 22 nd Feb 2010).

This will surely control the number of students entering U.K, but that will notchange much for the students, they will always be exploited, first by the collegesthen by the Government. The only difference it will make is that students willeasily be monitored and their numbers known – for other purposes.

What should be noted is this; Was the government unaware of it? So why thisstep was not taken when the Points Based System was first introduced. And whythese steps were not taken when within a time period of 2 months, more than25,000 students flooded into London alone, from Bangladesh Only. Finding anaccommodation in WhiteChapel became harder than finding a job. So why theGovernment didn’t take any action? Or was it in Government benefit to turn ablind eye to it.

This measure was only taken after it was recorded that U.K has stepped intoEconomic Recovery. These international students were used as one of the fuels topull U.K out of Recession, British government adopted a use and throw policy.

*Labor proposed to reduce the working hours from 20 to 10 per week and theirdependents will not be allowed to work at all , this rule won’t apply to degreelevel students. The Conservatives proposed that any student who wishes tostudy in U.K would deposit £5000 before the application is considered valid.

Conservative’s proposal was mainly focused on economic recovery, as everyapplicant depositing £5000 will generate £8 – £12 Billion each year. Labor’sproposal was approved:

Labor’s proposal will have some major effects, As student’s working hours arereduced – more job slots would be vacant, British citizen will fill in the vacanciesand government will be eased on its benefit scheme, will receive more income taxand the overseas students will have to bring more money into the country tomeet their expenses. Student’s dependents – that were allowed to work fulltime,now will not be able to work at all, creating more vacancies for British citizens – putting more financial burden on overseas students.



ECONOMIC EFFECTS OF MASSIVE INFLUX OF STUDENTSBETWEEN SECOND QUARTER OF 2008 AND DECEMBER 2009.

(THE GAME)

U.K starts benefiting the very moment a person overseas starts thinking of Studying in the U.K. Each step taken pumps more and more capital into U.K

economy.

ADMISSION: Admission fee is paid in Pounds. Capital is being transferred fromapplicants’ Native country’s economy to U.K economy. Exchanging any currencyfor £Pound, means £Pound is being consumed more, means there is moredemand. This increases the value of £Pound as compared to other currencies.

VISA PROCESSING FEE: This fee is paid to U.K embassy in applicant’s country forVisa processing.

CURRENCY (For initial expenses in U.K): As explained above, exchanging anycurrency for £Pound will increase the market value of £Pound. Liquid moneyflows into U.K market in form of Cash, Travelers Check etc.

TICKET:Government taxes on any means of travel (Land, Sea, Air) from overseasvaries from 25% - 40%. This is also a direct source to Fuel the economy.

TRANSPORT IN U.K (Public / Private): Means of travel are necessary for everyindividual. Users of public transport directly benefit the public transport sector.Private transport users spend more on MOT, Road Tax, Insurance, Fuel,Congestion charges and Penalties, pumping money into Government revenue

from transport sector.

ACCOMODATION:As a result of recession – Many mortgage holders are not ableto keep up to monthly mortgage installments, properties repossessed, andmortgage holders left without accommodation, this push them to claim housingbenefit or apply for a council house, and become a burden on government. Acycle of ‘Job Loss – No payment – Repossession – Job Loss – No Payment –

Repossession – Job Loss……’ continues . This is very damaging as more than 80%houses/flat in U.K are on mortgage.

Overseas students rent accommodations, large number of students entering U.Kmeans more and more properties are rented, and mortgage holders couldgenerate money to pay mortgage installments - less repossession – lesserbankruptcies, lesser claim housing benefit and council houses.

FOOD & ENERGY SECTOR (Electricity, Gas, Water): Food and Energy sectorsbenefit as money flows into these sectors, specially food sector.

BANKING: It’s a necessity. Students deposit money into bank accounts, which isthe most severely affected sector in any recession; the impact of these depositscan be defined as a ‘mini bailout’ for banks.

JOB SECTOR:It will be bias to claim that the capital overseas students pump intothe economy create any new jobs, but, what is established is that it decreases the

job losses, bankruptcies, pay cuts etc.

According to official figures, the revenue U.K generates from overseas studentsis more than £10 billion a year.

NHS: Every overseas student is granted free medical treatment in the U.K.Practically not many students really use the service. Nearly half of them are noteven registered with a G.P (General Physician). The service is one of the poorestin Europe. Even if taken into account that students are provided with free medical

– it is in no way near to the amount of exploitation they face.

What is really surprising is that only 3% of the students studying in the U.Kuniversities pass their exams every year. Is it that the rest of the 97% are reallynot capable to meet the criteria of universities? Or, It is to make them staylonger and spend more money?



JOBS FOR OVERSEAS STUDENTS

It is well known that in the third quarter of 2008, special instruction werecirculated throughout every job sector that applicants for any job vacancy shouldbe prioritized in this sequence; British citizen, Indefinite leave to remain, WorkingVisas and then Overseas students.

Between third quarter of 2008 and December 2009 only an insignificant numberstudents were able to secure a job.

As U.K claims to be ‘officially out of recession’ and believes that now is the timefor new jobs to be created, there is a threat that the overseas students maysecure a share in newly created jobs. To eliminate this threat, Visa policydramatically changed overnight. Crackdown on colleges, CAS, Police is conductingStop & Search – it is common, but what is surprising are the questions they areasking; Visa status, Job/Working hours, College etc – this was not the case before,Working hours for students reduced from 20 to 10 hours per week. Proposed

£5000 deposit rule by Conservatives. It is simply to dispose the overseasstudents that are not required anymore , as the U.K economy has alreadystepped into recovery.

We should know that U.K visa and immigration policy is not to help any nation orindividual, since its birth it is designed just to achieve U.K’s national benefits atthe cost of Time, Money & even Life of other nations and individuals, it holds highno other value except its own benefit and greed. Human rights, equality & justiceonly exist when there is some materialistic gain in holding onto these values.

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Source: UKBA

Harris Amin

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The Disposable (U.K Student Visa Policy)