Changes in Immigration Rules – December 2023
Understand the impact of the UK's 2024 immigration plan: This article details the new rules and their implications for your business.
In a landmark move, the UK government has unveiled its comprehensive plan, aimed at achieving a substantial reduction in net migration and addressing concerns surrounding the misuse of the immigration system. With net migration reaching an all-time high of 745,000 in 2022, the government anticipates that these measures will lead to the most substantial cut in net migration, estimating a reduction of 300,000 individuals annually.
These new measures build on previous actions by the Home Office to curb migrants bringing dependents to the UK, prevent abuse of certain visa routes and increase revenue generated from immigration fees.
Skilled Worker Visa
From April 2024, the minimum salary requirement for the Skilled Worker visa will experience a significant increase from £26,200 to £38,700, aiming to reduce reliance on overseas labour and encourage businesses to tap into the local talent pool.
Individuals already on the Skilled Worker route prior to the Immigration Rules changes, should be exempt from the new minimum salary requirements when they change sponsors, extend or settle in the UK. However, the Home Office still expects their pay to progress at the same rate as settled workers.
Exceptions to this increase include those on Health and Care Worker visas and individuals on national pay scales, such as teachers. These exemptions apply to continue to attract international talent to these sectors.
Removal of 20% Salary Discount for Shortage Occupations
The Shortage Occupation List comprises of roles deemed by the UK Government to be in short supply within the UK resident labour market. These roles are afforded more relaxed eligibility criteria for sponsored work visa applications.
The government now intends to remove the 20% 'going rate' salary discount for shortage occupations to eliminate the practice of 'cut-price labour' from overseas.
The Shortage Occupation List will be replaced with an Immigration Salary List to align with increased salary thresholds in January 2024. The current Shortage Occupation List will remain in place until the new minimum salary requirement is implemented in April 2024.
Changes to Visitor Visa Rules
The Spring Budget 2023 introduced amendments to the Business Visitor Visa, expanding permitted business activities. Notable changes include:
recognition of remote work as a permitted activity (i.e. the work done remotely in the UK should be related to the visitor’s overseas employment and must not be the primary reason for the visit to the UK);
the removal of restrictions on working directly with clients in an intra-corporate contract, allowing foreign employees to engage directly with UK clients; and
the broadening of activities for legal professionals, scientists, researchers, and academics.
Permitted Paid Engagements (where you have been invited as an expert in your profession by a UK-based organisation or client) will be incorporated into the Standard Visitor Visa. However, visitors must have arranged the permitted paid engagement before travelling to the UK and must undertake said activity within 30 days of arrival to the UK.
Youth Mobility Scheme
The Autumn Statement outlined changes to the Youth Mobility Scheme. This visa route allows individuals aged 18 to 30 (18 to 35 for those from New Zealand) to reside and work in the UK for up to two years without the need for sponsorship from an employer.
The objective of this initiative is to ensure that the upcoming generation of talent has ample opportunities to live, work, and experience diverse cultures abroad.
Starting in 2024, individuals from Australia or Canada will benefit from the extension of the age range, now spanning from 18 to 35. Additionally, individuals from Andorra, Japan, South Korea, and Uruguay can apply if they are between 18 and 30, subject to meeting other specified requirements.
Overseas Care Workers
Concerns regarding compliance, worker exploitation and abuse in adult social care have prompted the government to refine the Health and Care Worker Visa. As outlined in the new measures announced on 4 December 2023, applicants will no longer be entitled to bring dependant family members into the UK.
Additionally, care providers wishing to sponsor overseas care workers are required to become regulated by the Care Quality Commission.
These changes are expected to take place ‘as soon as possible’ in early 2024.
Impact on UK Businesses
These changes pose challenges for certain industries, particularly those with lower-wage roles as the
increased immigration fees and the rise in the Immigration Health Surcharge from £624 to £1,035 per year (from January 2024) will result in higher costs for those still eligible for a Skilled Worker visa and other relevant routes.
Navigating the changes in the immigration rules requires a clear understanding of the rules and their implications. It is crucial that you, as a visitor, business traveller, business owner or professional, stay informed of these immigration changes and how they can impact you and your business. For in-depth guidance and support, get in touch with our immigration solicitors to see how we can help you.