The UK's attitude to recruiting staff from the new EU member states has helped beat skills shortages without affecting unemployment, a new report reveals.

The European Commission claims the UK, Ireland and Sweden have all benefited by opening their labour markets to workers from across the continent.

The report shows that migration has had a positive economic effect and helped to fill vacancies, especially in the catering and construction industries.

Most other European nations have imposed tight restrictions on staff from the countries that joined the EU in 2004.

According to the report, the flow of foreign workers has been too small to swamp local markets, but the restrictions in other European countries have led to more undeclared migrant work.

However, some trade unions in Ireland have called for changes to the current immigration policy after large numbers of foreign workers were drafted into the country - now making up about 5% of the workforce.