The report, prepared by the House of Commons Joint Committee on Human Rights (JHCR) and led by Labour MP Harriet Harman, said "the government must not use human rights as a bargaining chip" and added that attempting to deport EU nationals could lead to months of "significant, expensive and lengthy litigation".
It highlighted the continued uncertainty faced by the 2.9 million EU nationals living in the UK, which include an estimated 25,000 Goans who hold a European passport as a result of their Portuguese ancestry.
"These cases would have the potential to clog up and overwhelm the court system," Harman warned in her report.
According to data from the Election Commission of India, 11,500 Goans surrendered their Indian passports in favour of Portuguese citizenship between January 31, 2008 and January 31, 2013.
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This figure is now estimated to be closer to 25,000. Majority of these Goans have settled in the UK.
The report said the government would not be able to establish a rule that would allow the deportation of EU nationals merely on the grounds that they had only been resident for a fixed period of time.
Other factors, such as family connections and the residence rights of children, would be relevant, and each case would need to be considered on its own facts, it said.
The report also said any changes to the status of EU citizens must be voted on by both Houses of Parliament, and not put through in secondary legislation.
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