The UK government's problem, going beyond any specific party that happens to be in power at the moment, is that they're accountants. All that they've spent money on lately are things that don't benefit or improve any of us, let alone represent any vision of the future, but would you just look at our lovely databases? The way science has been hit for decades has been, and continues to be a case study in how to perform a labotomy on yourself. Even our defence technology firms are kept afloat by foreign investment. No one here wants to be involved with metal bashers (like acorn, psion ..).
From some statistics I've seen, the entire cost of the ISS to all the partners is about the same as the amount Northern Rock cost our visionary, forward-looking and inspiring government in the space of four months. While that may not include costs like ESA space trucks or that the government wants its money back (funding tech also generates money and associated tax returns), that's a sense of perspective I think is illuminating. Until lately, I figured those sci fi shows that set their date as 2001, 2064, 2258 or such were about 1000 years premature, but my latest thoughts are that if we spent real money on it they'd be spot on, assuming physics would give a helping hand. We're lucky that Europe has countries in it like France and Germany to do some real work while we find more inventive ways to spy on ourselves and think small. In a few decades we (or rather, they; I'll have left.) may need to parasitise them like we have the US.
As for immigrants, people have been blaming them for their problems for 4000 years, i'll not spend much time on that except to say that native americans and aboriginal australasians probably have a case.