No recourse to public funds (NRPF) is pushing migrants into poverty and failing in its own stated policy objectives, this report shows
What’s this?
This report, carried out by the Centre for Social Policy Studies and funded by Trust for London, explores the economic and social impacts of ‘No recourse to public funds’. It finds a clear link between NRPF and poverty.
No recourse to public funds (usually shortened to NRPF) is a condition added to the visas of many migrants to the UK. It means that they can’t access a range of financial support – such as housing benefits, child benefits, and universal credit. This means that even if you’re working and paying taxes you’re blocked from accessing many public funds.
Why does it matter?
NRPF puts migrants on low incomes – who have often come to the UK to fill vital skill gaps – in precarious positions, with no safety net. This results in thousands of families being pushes into poverty.
On top of this, NRPF is expensive. One of the aims of the policy is to save the taxpayer money – but it fails in this. Instead, the financial burden of supporting migrants in need who have NRPF is passed onto over-stretched local authorities, and ultimately the local taxpayer.
Key findings
Current NRPF rules are contributing to poverty and homelessness
- New estimates show that 208,000 households covered by an NRPF condition are at risk of needing support to avoid destitution and 64,000 households are likely to be covered by NRPF conditions and already be living in poverty.
- The impacts are especially stark in the capital, which has a higher proportion of migrant workers. The research estimates that 120,000 households are subject to the NRPF condition and are at risk of destitution and that 36,900 households are in poverty in London while being subject to the NRPF condition.
- Those at risk include essential workers, particularly those who have been accepted into the UK on a work visa with a reduced minimum income requirement because they are fulfilling roles where there is a shortage of skills or labour supply.
It disproportionately affects women and children
- NRPF can be devastating for children, even those who are British citizens. When their parents can’t access vital support, it impacts their lives can trap them in a cycle of poverty.
- It also disproportionately affects women, who are more likely to be in precarious work. It also makes it more difficult for women to leave abusive relationships, as a lot of refuges rely on public funding which is inaccessible to those on NRPF.
It puts additional strain on overstretched local authorities
- One of the policy’s stated aims is to reduce the burden on the taxpayer. But by restricting the public funds provided by central government that many migrants can access, the burden is simply passed on to local authorities, who have a responsibility to support people who are in need in their borough.
- In total, the policy cost 30 London boroughs almost £50m in 2022/23.
- NRPF Network data on households currently receiving local authority support suggests that 58% of all households subject to NRPF who are receiving local authority support due to destitution are found in Greater London.
Key recommendations
The report argues that NRPF is failing to meet its policy objectives and should be reformed, putting forward a package of recommendations to support the most vulnerable while retaining the principle of NRPF.
The recommendations include:
- Ensuring a level playing field for those workers that the UK is actively encouraging into the UK workforce, by providing benefits to shortage occupation list workers.
- Allowing British children with parents covered by NRPF to receive the same support as their school friends.
- Abolishing the automatic imposition of the NRPF condition on visa renewals.
The package of reforms would deliver economic and social benefits while strengthening the principle of reciprocity and being fairer for children who are (or could be) British citizens.
