Kemi Badenoch has warned that taxpayers could face an "astronomic" £200billion bill over Labour's approach to migration.
The warning comes after a Centre for Policy Studies report revealed British households could face costs of £8,200 each to fund services for 800,000 recent arrivals expected to settle permanently in the UK by 2040.
The Conservative leader criticised Labour's "lax approach" to immigration, saying the country "simply can't afford" it.
The think tank's research estimated that of the 801,000 projected settlers, more than 600,000 would be "low-wage" migrants requiring taxpayer subsidies.
According to Office for Budget Responsibility figures, low-wage migrants earning £18,500 or half the average salary cost the state approximately £500,000 if they arrive in their late 20s and live until 80.
The CPS calculated the cumulative bill for extra services and benefits, compared to tax contributions, would reach £243billion over their lifetimes.
Badenoch outlined plans to reduce these costs by proposing changes to indefinite leave to remain (ILR) requirements.
Under her first major policy announcement, migrants would need to wait 10 years rather than five before becoming eligible for ILR.
The proposal would only grant indefinite leave to those who had been working, claimed no benefits and were "net contributors" to the Exchequer over that decade.
A separate report by the Centre for Migration Control projects that a quarter of the UK population will be foreign-born by 2035.
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The think tank found that if current trends continue, first-generation migrants would increase from 11.4 million in 2023 to 18.3 million by mid-next decade.
This would see the proportion of overseas-born residents rise from 17 per cent to 24 per cent of the total population.
Home Secretary Yvette Cooper hit back at the Conservatives, stating Labour was having to "clear up their mess" after net migration reached record levels under Tory leadership.
Cooper accused Badenoch of "siding with criminal gangs" by opposing new legislation on people smuggling.
"It is unbelievable and irresponsible that the Tories are planning to vote against counter-terror style powers this week," the Home Secretary told The Telegraph.
However, some Labour backbenchers are urging Sir Keir Starmer to take a stronger stance on migration, including increased focus on deportation flights.
Graham Stringer MP warned that voters were "really angry" about small boats, stating: "For simply electoral purposes, Labour needs to do something."
Dover MP Mike Tapp defended Labour's record, stating: "Already, in just six months, we've established the Border Security Command and deported a record 16,400 who shouldn't be here."
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The warning comes after a Centre for Policy Studies report revealed British households could face costs of £8,200 each to fund services for 800,000 recent arrivals expected to settle permanently in the UK by 2040.
The Conservative leader criticised Labour's "lax approach" to immigration, saying the country "simply can't afford" it.
The think tank's research estimated that of the 801,000 projected settlers, more than 600,000 would be "low-wage" migrants requiring taxpayer subsidies.
According to Office for Budget Responsibility figures, low-wage migrants earning £18,500 or half the average salary cost the state approximately £500,000 if they arrive in their late 20s and live until 80.
The CPS calculated the cumulative bill for extra services and benefits, compared to tax contributions, would reach £243billion over their lifetimes.
Badenoch outlined plans to reduce these costs by proposing changes to indefinite leave to remain (ILR) requirements.
Under her first major policy announcement, migrants would need to wait 10 years rather than five before becoming eligible for ILR.
The proposal would only grant indefinite leave to those who had been working, claimed no benefits and were "net contributors" to the Exchequer over that decade.
A separate report by the Centre for Migration Control projects that a quarter of the UK population will be foreign-born by 2035.
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The think tank found that if current trends continue, first-generation migrants would increase from 11.4 million in 2023 to 18.3 million by mid-next decade.
This would see the proportion of overseas-born residents rise from 17 per cent to 24 per cent of the total population.
Home Secretary Yvette Cooper hit back at the Conservatives, stating Labour was having to "clear up their mess" after net migration reached record levels under Tory leadership.
Cooper accused Badenoch of "siding with criminal gangs" by opposing new legislation on people smuggling.
"It is unbelievable and irresponsible that the Tories are planning to vote against counter-terror style powers this week," the Home Secretary told The Telegraph.
However, some Labour backbenchers are urging Sir Keir Starmer to take a stronger stance on migration, including increased focus on deportation flights.
Graham Stringer MP warned that voters were "really angry" about small boats, stating: "For simply electoral purposes, Labour needs to do something."
Dover MP Mike Tapp defended Labour's record, stating: "Already, in just six months, we've established the Border Security Command and deported a record 16,400 who shouldn't be here."
Find Out More...