U.K. May Impose New Curbs on the Skilled Worker Visa

If you are considering applying for a U.K. Skilled Worker visa it might be sensible to act sooner rather than later since there is no knowing how the prospective changes might impact you

Will the Labour government impose fresh restrictions on the Skilled Worker visa? The route, which British companies use to hire foreign workers, was the biggest contributor to net migration in the United Kingdom last year. And if the government is serious about making a dent on surging immigration it seems likely that some new curbs on the channel will be introduced.

Net migration in the U.K., the difference between the number of people coming to live for the long-term and those leaving, climbed to a record in 2022 and is running at about three times the level before the pandemic. Expectedly, managing immigration turned out to be one of the key debates of the July 4 general election and will likely be a crucial yardstick for judging the performance of the new Labour government.

Net migration to the U.K. was recorded at 685,000 in 2023. Work visas contributed 41 percent to total immigration last year, student visas 37 percent, family visas seven percent, asylum eight percent, humanitarian five percent and others, two percent.

Substantial restrictions were imposed on student visas last year after the government disallowed foreign students, except those in postgraduate research courses, to bring dependants to the country from 1 January.

Visa applications from students in January-July 2024 fell 16 percent from the same period last year to 156,800, according to the Home Office. The number of visa applications from dependants of students fell 81 percent over the same period versus 2023 to 13,100. So, the move is already having an impact. It is unlikely that the government will impose any fresh restrictions on student visas for fear of hurting the U.K.’s university sector, which earns substantial revenue from foreign students and which helps subsidise domestic students.

So, the only other way to make a significant dent on net migration is to impose some restrictions on the Skilled Worker visa route. The Conservative government already introduced more stringent rules towards the end of its term. From 4 April 2024, the government raised the minimum general salary to be able to apply for a Skilled Worker visa to £38,700 a year from £26,200, while the ‘going rate’ minimum salary specific to each job has also been increased.

What next? The Labour Party’s manifesto says its government will reform the points-based immigration system so that it is fair and properly managed, with appropriate restrictions on visas, and link immigration and skills policy. But it is unclear at the moment what kind of reform that would involve.

In July, the Home Secretary ordered a review of a key immigration provision that reflects a shift in strategy by tying foreign worker visas to local skills development.

Yvette Cooper asked the Migration Advisory Committee to evaluate the continuing reliance of key sectors, particularly information technology and engineering, to international recruitment. Cooper said that the trebling of net migration in the U.K. since 2019, driven mainly by skilled workers, reflects a failure over many years to tackle skills shortages and other problems in the U.K. labour market.

We will have to wait for the outcome of the review but it is likely that some hiring restrictions will be imposed on companies.

If you are considering applying for a Skilled Worker visa for the U.K. it might be sensible to act sooner rather than later. There is no knowing how these prospective changes might impact you. One thing is pretty certain: that getting into the U.K. and achieving permanent residency will not get any easier.