Three million more refugees expected to reach EU by end of 2017

Three million more refugees and migrants are predicted to arrive in the EU by the end of next year, the European Commission has said.

More than 700,000 people have come to Europe seeking sanctuary or jobs so far this year, overwhelming reception centres and border authorities.

However, forecasts released on Thursday said the crisis could have a small, positive impact on European economies in a few years.

EU autumn economic forecasts indicated that based on current entry levels and a "technical assumption" about future flows, arrival rates are unlikely to slow before 2017.

The report said: "Overall, an additional three million persons is assumed to arrive in the EU over the forecast period."

It added that the refugee crisis has resulted in additional government spending but the increased labour supply could have a positive effect.

"While in the short run, additional public expenditure increases GDP, an additional positive impact on growth is expected in the medium term from the increase in labour supply, provided the right policies are in place to facilitate access to the labour market," it said.

"For the EU as a whole, the growth impact is small, but it can be more sizeable in some member states."