Deputy Prime Minister Nick Clegg insisted British society has been shaped by migrant communities, but unveiled tougher action against illegal immigration . Nick Clegg today dramatically admitted he was wrong to offer an amnesty to illegal immigrants. The Lib Dem leader used his first . speech on immigration since the general election in 2010 to ditch his . party’s policy of allowing foreigners to ‘earn’ British citizenship by . living in the UK for a decade without being caught by the authorities. He said the policy, included in his . party’s last manifesto, risked undermining public confidence in the . entire immigration system. The Deputy Prime Minister instead . unveiled new plans to force foreigners arriving in Britain from ‘high . risk countries’ to pay a bond of more than £1,000 which will only be . repaid when they leave. But his attempt to reposition the Lib Dems as taking a tougher line on immigration was at odds with warnings last night from his Cabinet colleague Vince Cable. The Business Secretary claimed attempts to slash net immigration were 'unattainable' and risked causing 'enormous damage' to the economy. David Cameron is due to set out the Conservative approach to immigration on Monday, after Labour leader Ed Miliband admitted his party made mistakes when it was in government. Today Mr Clegg used a speech in central London to set out his vision of a ‘tolerant Britain, zero-tolerant of abuse’. He insisted that if immigrant workers . suddenly ‘downed tools, countless businesses and services would suffer’ and the NHS ‘would fall over’ - but warned borders were ‘grossly . mismanaged’ under Labour. Mr Clegg argued that cash penalties . for unscrupulous employers who knowingly hire illegal immigrants because . they are cheaper must be increased. Currently, the maximum fine is . £10,000 per illegal worker. And he revealed he has asked the Home . Office to work up a ‘system of security bonds’ worth more than £1,000 . for people from ‘high risk’ countries, which could be piloted by the UK . Borders Agency (UKBA) as early as the end of the year. He told the CentreForum think tank: . ‘In certain cases, when a visa applicant is coming from a high risk . country in addition to satisfying the normal criteria UKBA would be able . to request a deposit – a kind of cash guarantee. ‘Once the visitor leaves Britain, the bond will be repaid.’ Scroll down for video . Mr Clegg said the Lib Dem policy of an amnesty risked undermining public confidence in the immigration system . He said the system would ‘need to be . well-targeted’ and he did not want to ‘penalise legitimate visa . applicants who will struggle to get hold of the money’. But the Deputy Prime Minister . dramatically ditched the Liberal Democrats’ long-held  but controversial . policy to offer an amnesty to illegal immigrants. He said: ‘At the last election we . suggested that any illegal immigrant who had been here for 10 years . should be able to earn their citizenship. ‘We called it an earned route to citizenship. Our opponents dubbed it an “amnesty”. British people needed to know that immigration rules are 'reasonable, just, and properly enforced, Mr Clegg told the CentreForum think tank . ‘We felt it was an honest and . pragmatic solution given the chaos in the Home Office and the obvious . failure by Labour to identify where thousands of illegal immigrants . were. ‘Better surely, we asked, to get them . to pay their taxes and make a proper contribution to our society, than . to continue to live in the shadows? ‘But, despite the policy’s aims, it was seen by many people as a reward for those who have broken the law. ‘And so it risked undermining public . confidence in the immigration system - the very public confidence that . is essential to a tolerant and open Britain. ‘That is why I am no longer convinced this specific policy should be retained in our manifesto for the next General Election.’ The speech comes as the Government . toughens its stance on immigration with a range of new measures aimed at . bringing down net migration to the tens of thousands. UKBA . officials will conduct interviews with more than 100,000 student visa . applicants from 'high-risk' countries outside the EU to crack down on . bogus students. And a . ;genuine entrepreneur' test has been introduced to tackle the rising . number of foreign nationals attempting to enter Britain by fudging their . bank accounts. But in the . wake of criticism from politicians and the higher education sector, some . immigration rules were recently loosened in a bid to give additional . flexibility to businesses and allow top international students to pursue . careers in Britain. Mr . Clegg said the immigration must 'command public confidence'. He added: . 'For a diverse society like ours to function successfully, for different . groups to integrate and co-exist, British citizens must believe that . the rules by which migrants come and settle here are reasonable, just, . and properly enforced. Prime Minister David Cameron also floated the idea of immigration bonds and Theresa May plans to announce a pilot scheme targeted at 'high risk' individuals . The . Daily Mail revealed in March that Home Secretary Theresa May was . planning immigration bonds as the next stage of reform, having succeeded . in cutting net migration to its lowest level for a decade. The . cash would only be repaid when people leave the country and demonstrate . that they have not drawn on particular services, such as non-urgent NHS . care or elements of the welfare state. Business Secretary Vince Cable warned attempts to reduce net migration were 'unattainable' Mrs . May plans to announce a pilot scheme targeted at ‘high risk’ individuals from ‘two or three nationalities’ starting later this year. They or family members already in the UK would be required to put up a . sum running into thousands of pounds as security that they will abide by . the rules. The 1999 Immigration & Asylum Act allows the UK to require a financial security from temporary migrants, which can be forfeited if they fail to leave the UK after the expiry of their visa. Prime Minister David Cameron also floated the idea of immigration bonds last year. One Tory source said Mr Clegg appeared to be ‘purloining Conservative ideas’ in an attempt to shift perceptions of his party’s position on a key issue. In another blow, Liberal Democrat Business Secretary Vince Cable gave an interview pouring scorn on the Conservative aim of reducing net immigration from the hundreds to the tens of thousands. ‘It isn’t Government policy, it is Conservative policy. And it’s also not true because that policy purely relates to non-EU people. We have obviously no control over the European Union and that is actually where much of the movement comes,’ Mr Cable told The House magazine. ‘The reducing to under 100,000 is not Government policy and it would be unattainable without, if it was attainable enormous damage would be done, notably through overseas students, which is one of the biggest components.’ The Business Secretary said attempts to tighten the visa system had created the impression, particularly in India, that ‘Britain is closed’. Mr Clegg praised the diversity of the country's population and says that Britain is made up of rich and varied backgrounds . ‘We want overseas students, they are . good for us, they are not bad for us. They bring in lots of money. 'We . want to have lots of visitors from all over the world coming here . without hassle, an easy flexible visa system and we have lots of highly . specialised people in engineers, top managers who we need in our . companies and they’ve got to be able to come and go freely otherwise we . are not going to be able to compete internationally,’ Mr Cable added. ‘So I do have to keep banging the drum for that.’ Mr Clegg insisted that the Lib Dems ‘will never seek to outflank our opponents’ on immigration ‘because we think that’s what people want to hear’. ‘That kind of low populism patronises the British people. And it is an insult to the many migrants who have contributed to our country,’ he said. ‘British society has been shaped by migrant communities in ways more profound than any cliché about chicken tikka masala, or Notting Hill Carnival, or Polish builders can ever express. 'I’m the son of a Dutch mother - she, herself, raised in Indonesia; a half-Russian father; husband to a Spanish wife. Like millions of Brits, if you trace our blood lines back through the generations, you end up travelling around the globe.’ But he savaged Labour for leaving an immigration system in ‘disarray’. ‘I cannot stress enough just how chaotic it was. The first thing they did, after coming into office, was stop checking if people were leaving the country. They got rid of exit checks. They weren’t counting people in and they weren’t counting people out either,’ the Deputy Prime Minister added. ‘Since we came into government, net migration has fallen by a third. We’ve capped immigration from outside Europe. And within the EU, we have kept the transitional limits on Romania and Bulgaria, until the point where every member state has to remove them.' A Home Office source said: ‘We look forward to support for all our immigration policies and getting down to the tens of thousands.’
Deputy PM abandons giving UK citizenship to anyone here for 10 years .
Admits policy risked undermining confidence in entire immigration system .
Home Office to draw up plans for £1,000+ bonds for migrants .
Bigger fines for employers who knowingly hire illegal immigrants .
But Lib Dem Vince Cable puts himself at odds with policy .
Deputy Prime Minister Nick Clegg insisted British society has been shaped by migrant communities, but unveiled tougher action against illegal immigration . Nick Clegg today dramatically admitted he was wrong to offer an amnesty to illegal immigrants. The Lib Dem leader used his first . speech on immigration since the general election in 2010 to ditch his . party’s policy of allowing foreigners to ‘earn’ British citizenship by . living in the UK for a decade without being caught by the authorities. He said the policy, included in his . party’s last manifesto, risked undermining public confidence in the . entire immigration system. The Deputy Prime Minister instead . unveiled new plans to force foreigners arriving in Britain from ‘high . risk countries’ to pay a bond of more than £1,000 which will only be . repaid when they leave. But his attempt to reposition the Lib Dems as taking a tougher line on immigration was at odds with warnings last night from his Cabinet colleague Vince Cable. The Business Secretary claimed attempts to slash net immigration were 'unattainable' and risked causing 'enormous damage' to the economy. David Cameron is due to set out the Conservative approach to immigration on Monday, after Labour leader Ed Miliband admitted his party made mistakes when it was in government. Today Mr Clegg used a speech in central London to set out his vision of a ‘tolerant Britain, zero-tolerant of abuse’. He insisted that if immigrant workers . suddenly ‘downed tools, countless businesses and services would suffer’ and the NHS ‘would fall over’ - but warned borders were ‘grossly . mismanaged’ under Labour. Mr Clegg argued that cash penalties . for unscrupulous employers who knowingly hire illegal immigrants because . they are cheaper must be increased. Currently, the maximum fine is . £10,000 per illegal worker. And he revealed he has asked the Home . Office to work up a ‘system of security bonds’ worth more than £1,000 . for people from ‘high risk’ countries, which could be piloted by the UK . Borders Agency (UKBA) as early as the end of the year. He told the CentreForum think tank: . ‘In certain cases, when a visa applicant is coming from a high risk . country in addition to satisfying the normal criteria UKBA would be able . to request a deposit – a kind of cash guarantee. ‘Once the visitor leaves Britain, the bond will be repaid.’ Scroll down for video . Mr Clegg said the Lib Dem policy of an amnesty risked undermining public confidence in the immigration system . He said the system would ‘need to be . well-targeted’ and he did not want to ‘penalise legitimate visa . applicants who will struggle to get hold of the money’. But the Deputy Prime Minister . dramatically ditched the Liberal Democrats’ long-held  but controversial . policy to offer an amnesty to illegal immigrants. He said: ‘At the last election we . suggested that any illegal immigrant who had been here for 10 years . should be able to earn their citizenship. ‘We called it an earned route to citizenship. Our opponents dubbed it an “amnesty”. British people needed to know that immigration rules are 'reasonable, just, and properly enforced, Mr Clegg told the CentreForum think tank . ‘We felt it was an honest and . pragmatic solution given the chaos in the Home Office and the obvious . failure by Labour to identify where thousands of illegal immigrants . were. ‘Better surely, we asked, to get them . to pay their taxes and make a proper contribution to our society, than . to continue to live in the shadows? ‘But, despite the policy’s aims, it was seen by many people as a reward for those who have broken the law. ‘And so it risked undermining public . confidence in the immigration system - the very public confidence that . is essential to a tolerant and open Britain. ‘That is why I am no longer convinced this specific policy should be retained in our manifesto for the next General Election.’ The speech comes as the Government . toughens its stance on immigration with a range of new measures aimed at . bringing down net migration to the tens of thousands. UKBA . officials will conduct interviews with more than 100,000 student visa . applicants from 'high-risk' countries outside the EU to crack down on . bogus students. And a . ;genuine entrepreneur' test has been introduced to tackle the rising . number of foreign nationals attempting to enter Britain by fudging their . bank accounts. But in the . wake of criticism from politicians and the higher education sector, some . immigration rules were recently loosened in a bid to give additional . flexibility to businesses and allow top international students to pursue . careers in Britain. Mr . Clegg said the immigration must 'command public confidence'. He added: . 'For a diverse society like ours to function successfully, for different . groups to integrate and co-exist, British citizens must believe that . the rules by which migrants come and settle here are reasonable, just, . and properly enforced. Prime Minister David Cameron also floated the idea of immigration bonds and Theresa May plans to announce a pilot scheme targeted at 'high risk' individuals . The . Daily Mail revealed in March that Home Secretary Theresa May was . planning immigration bonds as the next stage of reform, having succeeded . in cutting net migration to its lowest level for a decade. The . cash would only be repaid when people leave the country and demonstrate . that they have not drawn on particular services, such as non-urgent NHS . care or elements of the welfare state. Business Secretary Vince Cable warned attempts to reduce net migration were 'unattainable' Mrs . May plans to announce a pilot scheme targeted at ‘high risk’ individuals from ‘two or three nationalities’ starting later this year. They or family members already in the UK would be required to put up a . sum running into thousands of pounds as security that they will abide by . the rules. The 1999 Immigration & Asylum Act allows the UK to require a financial security from temporary migrants, which can be forfeited if they fail to leave the UK after the expiry of their visa. Prime Minister David Cameron also floated the idea of immigration bonds last year. One Tory source said Mr Clegg appeared to be ‘purloining Conservative ideas’ in an attempt to shift perceptions of his party’s position on a key issue. In another blow, Liberal Democrat Business Secretary Vince Cable gave an interview pouring scorn on the Conservative aim of reducing net immigration from the hundreds to the tens of thousands. ‘It isn’t Government policy, it is Conservative policy. And it’s also not true because that policy purely relates to non-EU people. We have obviously no control over the European Union and that is actually where much of the movement comes,’ Mr Cable told The House magazine. ‘The reducing to under 100,000 is not Government policy and it would be unattainable without, if it was attainable enormous damage would be done, notably through overseas students, which is one of the biggest components.’ The Business Secretary said attempts to tighten the visa system had created the impression, particularly in India, that ‘Britain is closed’. Mr Clegg praised the diversity of the country's population and says that Britain is made up of rich and varied backgrounds . ‘We want overseas students, they are . good for us, they are not bad for us. They bring in lots of money. 'We . want to have lots of visitors from all over the world coming here . without hassle, an easy flexible visa system and we have lots of highly . specialised people in engineers, top managers who we need in our . companies and they’ve got to be able to come and go freely otherwise we . are not going to be able to compete internationally,’ Mr Cable added. ‘So I do have to keep banging the drum for that.’ Mr Clegg insisted that the Lib Dems ‘will never seek to outflank our opponents’ on immigration ‘because we think that’s what people want to hear’. ‘That kind of low populism patronises the British people. And it is an insult to the many migrants who have contributed to our country,’ he said. ‘British society has been shaped by migrant communities in ways more profound than any cliché about chicken tikka masala, or Notting Hill Carnival, or Polish builders can ever express. 'I’m the son of a Dutch mother - she, herself, raised in Indonesia; a half-Russian father; husband to a Spanish wife. Like millions of Brits, if you trace our blood lines back through the generations, you end up travelling around the globe.’ But he savaged Labour for leaving an immigration system in ‘disarray’. ‘I cannot stress enough just how chaotic it was. The first thing they did, after coming into office, was stop checking if people were leaving the country. They got rid of exit checks. They weren’t counting people in and they weren’t counting people out either,’ the Deputy Prime Minister added. ‘Since we came into government, net migration has fallen by a third. We’ve capped immigration from outside Europe. And within the EU, we have kept the transitional limits on Romania and Bulgaria, until the point where every member state has to remove them.' A Home Office source said: ‘We look forward to support for all our immigration policies and getting down to the tens of thousands.’
illegal immigrants. The Lib Dem leader used his undermining public confidence in the . entire immigration system. The Deputy Prime Minister on immigration was at odds with warnings last cash penalties . for unscrupulous employers who knowingly hire illegal immigrants because . they he revealed he has asked the Home . Office to risked undermining public confidence in the 10 years . should be able to earn their Business Secretary Vince Cable warned attempts to