David Cameron has said that intra-company transfers should not be included in the immigration cap.

Speaking at Prime Minister's Questions, Cameron gave the strongest hint that the Government was prepared to be more flexible, after the announcement of the cap provoked a furious response from businesses. In a bid to show that Britain is still open for business, the Prime Minister said: "We really do believe it is not going to be difficult to achieve much better immigration control without disadvantaging business. For instance, things like intra-company transfers shouldn't be included in what we're looking at." This will be seen as a positive step forward by businesses and also the CBI which argued that intra-company transfers 'enhance the UK's attractiveness as a global location for investment and jobs'.

Damian Green, the Immigration Minister, said however that no specific decisions had been reached regarding the level of the cap and that the Government 'would not be drawn on speculation about specific options'. He added that the Home Secretary had launched a consultation over the summer to obtain a wide range of opinions and views on the matter and that in the meantime Britain will continue to attract the top talent.