Revealed: Government officials miss out on £120million as two thirds of fines issued to firms for hiring illegal immigrants go UNPAID 

  • Since 2009 the Home Office has written off, cancelled, reduced or simply failed to collect more than £120m in penalties
  • Shocking figures spark outrage as critics say fines are essential in acting as a detterent to firms hiring illegal migrants
  • Lib Dem leader Tim Farron, who uncovered the figures, tells the Mail: 'This is the irresponsible face of capitalism but government is at fault for failing do its job'

Two thirds of fines issued to firms for hiring illegal immigrants go unpaid, official figures reveal.

Since 2009 the Home Office has written off, cancelled, reduced or simply failed to collect more than £120million in penalties.

The new statistics – which were published in Parliament – sparked outrage tonight. Critics said if fines weren’t collected they wouldn’t act as a deterrent to firms hiring illegal migrants.

Since 2009 the Home Office has written off, cancelled, reduced or simply failed to collect more than £120million in penalties

Since 2009 the Home Office has written off, cancelled, reduced or simply failed to collect more than £120million in penalties

Lib Dem leader Tim Farron, who uncovered the statistics, told the Mail: ‘This is the irresponsible face of capitalism and businesses who do things like this give every other business a bad name. But the government should not be failing like this. They are at fault.

‘They are not doing their job and collecting the penalties that we are all owed.

‘Obviously fines change on appeal but the agencies are not up to the task and its ministers fault. The blame lies firmly their door, they need to get a grip.’

The statistics showed that since 2009 a total of £179.1 million worth of fines have been issued by immigration officials.

But in the same period only £57.4 million were actually paid. That means two thirds of the total – or £121.7million – have not been paid.

The Home Office said the increase in penalties issued last year showed it was ‘working hard to tackle illegal working’.

Lib Dem leader Tim Farron, pictured, who uncovered the statistics, told the Mail: ¿This is the irresponsible face of capitalism and businesses who do things like this give every other business a bad name. But the government should not be failing like this. 'They are at fault'

Lib Dem leader Tim Farron, pictured, who uncovered the statistics, told the Mail: ‘This is the irresponsible face of capitalism and businesses who do things like this give every other business a bad name. But the government should not be failing like this. 'They are at fault'

Ministers pointed out that the penalties can be reduced or written off for a series of reasons especially if firms cooperate with Home Office investigations or pay promptly.

They can be ‘reduced, cancelled, increased or reissued at the objection or appeal stage’, Immigration Minister Robert Goodwill said.

Firms are required to keep copies of passports or visa documents showing their staff have the right to work in the UK.

If they are found to be hiring undocumented migrants, or cannot produce the documents following a raid by the immigration authorities, they face being fined.

Last year, £46.2m of penalties were initially issued to firms for employing illegal immigrants, whereas only £12.5m was collected.

Figures for the current financial year to September show £24m in fines have been imposed, with £8.5m collected.

The lowest level of fines came in 2012/13, when £10.8m in initial penalties were imposed and £6.3m taken in payment.

Overall, there were 15,115 penalties issued from financial year 2009/10 to September 2016 for firms employing illegal immigrants.

It is understood that the spike in the number of penalties last year, when 2,594 fines were issued, followed a major government crackdown.

Last month Boris Johnson, pictured with US Secretary of State John Kerry and Turkish foreign minister Mevlut Cavusoglu in Brussels today, reportedly renewed his call for illegal immigrants who have escaped detection for 10 years to be granted the right to stay in the UK following Brexit

Last month Boris Johnson, pictured with US Secretary of State John Kerry and Turkish foreign minister Mevlut Cavusoglu in Brussels today, reportedly renewed his call for illegal immigrants who have escaped detection for 10 years to be granted the right to stay in the UK following Brexit

Ministers have introduced measures such as working with insolvency companies to disbar directors who employ undocumented migrants in a bid to deal with the problem. The 2016 Immigration Bill also grants powers to close down businesses who are found to be hiring illegal immigrants.

In November Boris Johnson reportedly renewed his call for illegal immigrants who have escaped detection for 10 years to be granted the right to stay in the UK following Brexit.

The Foreign Secretary suggested to ministers that allowing those who entered Britain illegally the right to stay could generate funds for the treasury as tax income would rise. 

A Home Office spokesman said: ‘Illegal working cheats the taxpayer, undercuts honest employers and denies legitimate job seekers employment opportunities.

‘The increase in the number of penalties issued to employers in 15/16 shows we are working hard to tackle illegal working across the country, and those who abuse the UK’s immigration system.

‘We robustly pursue debts owed by employers of illegal immigrants, and last year collected more than £12 million.

‘At the same time under the Immigration Act 2016 we now have the power to close businesses with a history of non-compliance and to subject them to court-ordered supervision.’ 

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