The Home Office has announced significant new measures to reduce legal migration to the UK, following the latest round of statistics showing record net migration figures for 2023. These proposed changes are likely to be implemented during Q2 2024, although the exact timeframe is yet to be finalised.

UK Home Secretary, James Cleverly, announced a five-point plan to cut immigration numbers, promising to reduce net migration figures by approximately 300,000 people.

Alongside the forthcoming increase in the Immigration Health Surcharge (IHS), these changes shall significantly increase the costs to employers who wish to sponsor overseas workers, as well as to British citizens, settled individuals and those with status under the EU Settlement Scheme (EUSS) who wish to bring their family members to the UK.

The five changes announced by Cleverly are as follows:

1. Skilled Worker Route

The minimum salary threshold for work-related visas is proposed to be increased from the current threshold of £26,200 to £38,700, marking a 48% increase.

Specific ‘going rate’ salary thresholds for different occupations shall also be raised in line with the general salary threshold.  The Health and Care sub-category will be exempted from these changes, in light of continuing worker shortages in these sectors.

1. Health Care Visa

Care workers will, however, no longer be entitled to bring their dependent family members to the UK. Furthermore, care providers located in England will only be permitted to sponsor migrants if they are undertaking activities regulated by the Care Quality Commission, a change which is intended to target  a perceived lack of sponsor compliance within the care sector.

1. Shortage Occupations

Roles in shortage occupations will no longer benefit from a reduced going rate salary threshold, making it more difficult for migrants in shortage occupations to satisfy the salary requirement.

The Migration Advisory Committee will be commissioned to review the occupations in the shortage occupation list with the aim of reducing the number of professions on the list.

1. Dependants of British Citizens, settled people or people with status under the EUSS

The Minimum Income Requirement for family members who come to the UK to join British citizens, settled people or individuals with status under the EUSS shall be increased from the current level of £18,600 to £38,700. This represents a more than doubling of this income threshold.

1. Graduates and Students

Cleverly has additionally announced a review of the Graduate immigration route, to be carried out by the Migration Advisory Committee ‘to ensure it is fit for purpose and to prevent abuse.’ Specific policy changes to this route have not yet been announced.

It is worth noting that separate restrictions on Students are already scheduled to come in to force from January 2024, including preventing most postgraduate students from bringing dependants to the UK and removing the ability for international students to switch onto work routes in the UK before their studies are completed.

Planning ahead

Whilst we are yet to see the detail nor do we have confirmation on exact timing of these changes, the announcement will no doubt raise concerns as to the wider impact for businesses, staff and individuals in the UK.

Employers who intend to sponsor overseas workers from Spring 2024 may wish to bring forward recruitment plans to minimise the initial impact of these proposed changes, as well as consider early extensions and alternative UK immigration options that provide individuals with the right to work in the UK. British citizens, settled individuals or those with EUSS status who wish to have family join them in the UK should also consider prioritising immigration applications for their family prior to the implementation of these changes.