Lord Mayor urges federal government to consider effect of cutting immigration on economic growth and diversity

PM Scott Morrison has proposed that immigration be cut to take the pressure off cities like Melbourne and Sydney. But Lord Mayor Sally Capp is not convinced.

Melbourne Lord Mayor Sally Capp is concerned about the impacts that any immigration cut could have on the economy.

Cr Capp said a proposal by Prime Minister Scott Morrison to reduce the permanent intake by 30,000 to 160,000 had to be evidence-based to take account of the effects.

“Welcoming people into this country has been the driver of our economic prosperity and our social diversity, and those elements that go to making this such a fantastic city,” she said.

“We also believe that we have the ability to manage population growth well, and if we’re given the opportunity to do that I’m sure we can succeed.”

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Melbourne’s Lord Mayor Sally Capp is concerned about the impact of any immigration cut on the economy. Picture: Nicki Connolly

Mr Morrison said a cut would take pressure off Melbourne and Sydney, which get the lion’s share of immigration and are increasingly congested.

But Australian Population Research Institute director Dr Bob Birrell questioned Mr Morrison’s push to get the states more involved in setting migration policy.

Dr Birrell said that if re-elected, the Andrews Government was unlikely to support any migration cuts.

“Daniel Andrews understands that that’s what is keeping cranes on the horizon and job growth buoyant, it’s servicing all these extra people,” he said.

“In case of high rise towers in Melbourne — a major source of economic dynamism — most of that housing is being occupied by recently-arrived migrants.”

“It’s not servicing the existing population but rather the growth of the population.”

Mr Andrews said he didn’t have the levers to ultimately control immigration.

“The number of people who come to our country is determined by the federal government, what I’m saying is that I’m happy to sit down with the PM, whether its Scott Morrison or another PM, and go through those issues,” he said.

“I’m not going to be deterred from building the infrastructure in road and rail, hospitals and schools that we need, but I’m more than happy to sit down … and go through those issues.”

Daniel Andrews says he doesn’t have the levers to ultimately control immigration. Picture: AAP Image/Julian Smith

Opposition Leader Matthew Guy said the Coalition’s promised population commission would help him supply recommendations to the federal government on how many migrants Victoria could accommodate.

“The feds want recommendations from the state, we will give them recommendations from our population commission,” he said.

“Not population figures that are devised by the office of the Premier, these will be population figures that are worked out by experts”.

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