Ministers have been accused of "burying their heads in the sand" about the potential benefits of a youth mobility scheme with the EU.
Despite repeatedly citing economic growth as a number one priority, the Treasury and Home Office have refused to conduct an assessment of how a deal for young people to live and work across the bloc could boost the economy.
Despite repeated requests, Sir Keir Starmer’s cabinet have refused to look into the potential economic benefits of a deal with Brussels, or with the countries Britain has already signed agreements with.
Liberal Democrat EU spokesman James MacCleary said: “It’s astonishing that ministers are burying their heads in the sand over the potential benefits of a youth mobility scheme with the EU. Such a scheme would not only deliver economic benefits but also help businesses address labour shortages in key sectors such as hospitality.
“Young people contribute significantly to the economy while living and working here, and for a government that claims to prioritise growth, refusing even to assess this opportunity is deeply disappointing.”
Asked to conduct an impact assessment of the UK’s existing youth mobility schemes, which include ones with Japan, Australia and New Zealand, Home Office minister Seema Malhotra declined. She said the schemes are “not designed, nor intended, to be a route for economic growth or to address any specific labour shortages”.
It comes after the EU’s former chief negotiator piled pressure on Sir Keir to strike a deal with Brussels that would allow young people to live and work in Europe as part of his much-hyped post-Brexit reset.
In a policy brief setting out the potential future EU-UK relationship, Ignacio Garcia Bercero called on the prime minister to strike an agreement on youth mobility and cultural facilitation as part of a series of deals with Brussels to complement the existing trade and cooperation agreement (TCA), which currently governs trade with the bloc.
Sir Keir has so far ruled out agreeing to such a scheme, which would let under-30s live, study and work across the bloc for a period, despite it being one of the EU’s top priorities in renewed talks. When Britain was part of the EU, freedom of movement allowed people to live and work freely across the bloc.
The deal on offer from Brussels would let British people live and work in Europe, with Europeans welcome to do the same in Britain, for two or three years.
Emma Knaggs, Deputy CEO, European Movement UK, said: "The potential benefits of a Youth Mobility deal are huge. There is no price you can put on the opportunity for young people to experience cultural, educational and social exchanges by living and studying in other countries. That does not mean there aren’t also measurable economic benefits for the UK to be found in such a scheme, and it’s right that the Government should assess the potential economic boost that reaching an agreement with the EU could bring.
“The UK has youth mobility schemes with 13 other countries - including Australia and Japan - so it makes sense to have one with our nearest neighbours and closest partners. And it makes sense to analyse the boost that could bring to our struggling economy. Dismissing the idea of reciprocal youth mobility simply means letting down British young people who face all sorts of difficulties and have seen their horizons curtailed by Brexit. Young people want and deserve the chance to study or work in Europe. The government owes it to them to make sure they get that chance."
A government spokesman said: “There are no plans for a Youth Mobility Scheme and we will not return to freedom of movement.”