Switzerland Faces Vote On Immigration Cap

Switzerland will decide on Sunday whether to curb immigration into the landlocked country, in a referendum proposed by an environmental group.

Ecopop wants to limit the number of foreigners to 0.2% percent of the population annually because it claims a current influx is stretching the nation’s natural resources.

Just under a quarter of the country's eight million people was born abroad which, together with Australia, is the highest percentage of any country in the world.

Even though Switzerland is outside the European Union, it is allowed access to the single market after signing the bilateral Free Movement of Persons Agreement, which means it has to open its borders to EU migrants.

But opponents argue that the number of people entering the country has forced up rents and put pressure on public services.

In February another referendum, introduced by the anti-immigration Swiss People's Party, narrowly passed although the EU has rejected any attempt to renege on negotiated trade agreements.

If Swiss voters support this weekend's poll it could put more pressure on the government to heed the will of its people.

Andreas Thommen, a spokesman for Ecopop, told Sky News that the measure is not motivated by anything other than concern for the country's limited resources.

"It's a question of resources, it's a question of protection of nature," he said.

"It's a protection of the quality of life for the human beings in this country.

"The problem is one of (over) population."

Powerful opponents are ranged against the measure, especially from the hospitality trade which relies on foreign workers.

At the Gstaad Palace hotel, which has hosted international royalty as well as Madonna and Michael Jackson, they warn against any restrictions.

Owner and general manager Andrea Scherz says two thirds of his workforce was born overseas.

He said: "I think I would struggle to find this workforce in Switzerland, people who want to clean rooms, people who want to be waiters.

"The Swiss are not the best waiters. Therefore we have Italians."

Switzerland is often held up by British eurosceptics as an example of how the UK could leave the European Union but negotiate access to its lucrative single market.

There are two other votes also being held this weekend: one which would force the Swiss government to stockpile more gold to withstand global economic turbulence and another which would close tax loopholes for wealthy expats.

All have been interpreted as a new anti-business mood among the Swiss electorate.