Immigration points system could 'challenge' small businesses

Plans to introduce a points system for migrant workers could be a "challenge" for small business owners, according to the Confederation of British Industry (CBI).

CBI claims a points-based system (PBS) of assessing workers from outside the EU could impact on small companies with "less HR capacity".

The body says small businesses could be priced out by bigger firms with more resources to deal with new migrant regulations.

"For larger firms the PBS is likely to be a successful innovation, but for smaller firms with less HR capacity, the higher fees and higher responsibilities will be a challenge," CBI policy advisor Neil Carberry commented.

The PBS system - which will be similar to the system used in Australia - will be used to reflect workers skills, qualifications, experience and aptitude.

Factors such as age and the demand for certain skills in the UK will also be taken into account when points are awarded.