Miliband's immigration policy in chaos as the apprenticeships he promised to 'local' workers will be open to anyone in the EU All companies with more than 50 staff would be hit by new rule Business leaders slam 'apprentice tax' which fails to understand industry Labour's flagship immigration policy to force firms to take on British apprentices unravelled within hours today, as it emerged the jobs will be open to anyone from within the EU. To much fanfare Ed Miliband unveiled the plan to compel large firms who bring in skilled foreign workers to also 'train up someone who is a local worker'. Despite efforts to woo business leaders to back Labour's reforms, industry groups lined up to slam the 'apprentice tax' which they warned would create a raft of 'daft' new red-tape at a time when firms were struggling to stay afloat. Top team: Labour leader Ed Miliband (right) chats with shadow chancellor Ed Balls and shadow chief secretary to the Treasury Rachel Reeves backstage, during the first day of Labour's annual party conference in Brighton Mr Miliband said he wanted to reduce low-skill immigration and insisted the party was committed to introducing an immigration bill in its first year of office. He said Labour would force firms to train a British apprentice for every non-EU overseas worker they bring to the UK to help create a 'high wage economy' and ease the cost of living 'crisis'. 'Any firm that wants to bring in a foreign worker from outside the EU will also have to train up someone who is a localworker,' Mr Miliband told the Sunday Mirror. But it emerged that under EU law it is illegal to block other Europeans from apply for jobs, including apprenticeships, in the UK. With youth unemployment running at 50 per cent in Spain and millions out of work across the continent, a two-year placement with high-skilled British employers would be an attractive prospect for many from overseas. Tory skills minister Matthew Hancock said: 'I have been advised by Government lawyers that legislating to require hiring British apprentices would be contrary to EU law.' Tory Education Secretary Michael Gove said: 'This policy was meant to be the centrepiece of Ed Miliband's conference - and it's turned into a shambles. 'If he can't get this right - how can he ever be trusted to run the country?' Labour sources stressed that the vast majority of apprentices in Britain are British, with most taking up posts near to where they live. Under the Labour plan all firms with more than 50 employees will have to train an apprentice for every worker they hire from outside the European Union. John Longworth, Director General of the British Chambers of Commerce, said: 'This is an "apprentice tax" on employers and job creation. It serves neither to control immigration, where we should have a points system linked more strongly to economic benefit, nor young people, who should be encouraged and properly supported rather than being used to control immigration by other means. Simon Walker, Director General of the Institute of Directors, said: 'Several of Labour's proposals are completely removed from reality and betray the fact that their authors can have had no experience of running a business. Compelling companies to take on an apprentice for every non EU employee is a daft policy which would damage many small and medium sized businesses just as they are starting to grow.