Our recent blog confirmed the key dates on which important UK immigration changes will take effect. As expected the new rules were published yesterday.
For employers the key date is 4 April 2024. This is when the new salary rules for Skilled Worker visas will come into force.
A summary of the newly published Skilled Worker and family visa rules is set out here. There are also details below on how to sign up to our lunchtime webinar next Tuesday 19 March which will explain all the changes.
Skilled Worker salary increases from 4 April 2024
Currently, Skilled Workers must be paid the higher of: the general salary threshold; the going rate for the role; and an overall minimum hourly rate (£10.75).
Changes for new hires on or after 4 April 2024:
- General salary threshold. The general salary threshold is increasing from £26,200 to £38,700.
A lower salary threshold will remain for “new entrants” (including students switching to Skilled Worker; those under 26 years old; and those working towards registration/becoming chartered such as architects, accountants and solicitors). The general salary threshold for new entrants will be £30,960, up from £20,960. New entrants can be sponsored for up to 4 years on the lower salary threshold.
- Going rates. The going rates are also increasing and will be set at the 50th percentile (median) of the salary range for the role, rather the 25th percentile as has been the case to date. Our recent blog explains how the going rates will be calculated and shows what the new amounts will be.
As is the case under the current rules, new entrants can still be paid 70% of the full going rate.
The new higher going rates for all jobs are shown in Table 1 of the new rules from page 80 here (Option A is for standard applications and Option E is for new entrants).
The overall minimum hourly rate is increasing from £10.75 to £15.88 but it will no longer be a separate requirement. Instead it is to be incorporated into the new going rates.
Changes for existing (pre-4 April 2024) Skilled Workers:
Where someone has been sponsored as a Skilled Worker under the rules before 4 April 2024, in order to extend their stay, change employer/sponsor, or apply for settlement (indefinite leave to remain) the following rules will apply.
- General salary threshold. The general salary threshold will increase from £26,200 to £29,000.
The lower general salary threshold for new entrants will be £23,200, up from £20,960.
- Going rates. As expected, the going rates will increase but not by as much as for new hires. Existing Skilled Workers will need to meet the updated (higher) going rates but only at the same 25th percentile, not the median. Again, our recent blog mentioned above has more details. The new higher going rates for all jobs for pre-4 April 2024 Skilled Workers are shown in Table 2 of the new rules from page 124 here (Option F is for standard applications and Option J is for new entrants).
Shortage occupation changes from 4 April 2024
Under the current rules, where a job is on the current shortage occupation list, this has meant the UKVI application fee is slightly lower and the salary threshold is slightly reduced because it needs to be the higher of £20,960; 80% of the going rate for the role; or £10.75 per hour.
Following the Migration Advisory Committee’s (MAC) report last month on the shortage occupation list, the following changes will come into force on 4 April 2024:
- Change of name. The shortage occupation list will be renamed the Immigration Salary List.
- Jobs on the list. Due to the significant increase in the Skilled Worker salary requirements, there will now only be 23 jobs on the Immigration Salary List (see the full list in the table from page 230 here). The MAC will carry out a full review of the Immigration Salary List before the end of the year.
- General salary threshold. The lower general salary threshold for jobs on the list will increase from £20,960 to £30,960.
- Going rates. The current 20% discount on going rates will be removed. The new higher going rates for all jobs are shown in Table 1 of the new rules from page 80 here (Option D is for Immigration Salary List jobs. However the rates shown appear to be incorrect as they still refer to a 20% discount so presumably the going rates shown in Option A will apply. We expect this error to be corrected in due course).
- Existing Skilled Workers. Pre-4 April 2024 Skilled Workers sponsored in a shortage occupation list role will need to meet a slightly higher general salary threshold of £23,200 and a slightly increased going rate (see Table 2 from page 124 here – Option I).
Other sponsored worker changes from 4 April 2024
- Senior or Specialist Worker. For Senior or Specialist Workers (previously known as Intra-Company Transferees (ICT) where an employee of a group company outside the UK is transferring to the UK group company) the general salary threshold is being updated from £45,800 to £48,500, and going rates are being increased.
- Graduate Trainee. For Graduate Trainees (applying to transfer from an overseas group company to work at a UK group company as part of a structured graduate programme) the general salary threshold is being updated from £24,220 to £25,410, and going rates will remain based on 70% of the 25th percentile.
Family visa changes from 11 April 2024
New family visa applicants
On 11 April 2024 the minimum income requirement will first increase from the current level of £18,600 to £29,000. There will no longer be an additional income requirement where children are also applying.
It will increase again at some point (the government has not said when) to around £34,500 and then finally to around £38,700 “by early 2025”.
Existing pre-11 April 2024 family visa holders
The current £18,600 minimum income requirement will continue to apply to existing family visa holders and to those who have applied before 11 April 2024.
Review of the Graduate visa route
Overseas students who complete a degree course in the UK can apply to the Graduate visa route for a 2-year visa (or 3 years if they are studying for a PhD).
On 11 March 2024 the Home Secretary asked the Migration Advisory Committee (MAC) to review the Graduate route to “prevent abuse, protect the integrity and quality of UK higher education and ensure it works in the best interests of the UK.”
The MAC is due to publish its report by 14 May 2024.
Submission of applications before the rule changes
Given the rule changes above you may wish to submit any Skilled Worker or family visa applications before the rule changes to avoid the salary increases.
For Skilled Worker applications please bear in mind the timescales to receive a Certificate of Sponsorship (CoS) explained here. The key date is when the CoS is assigned, not when the application is submitted. If the CoS is assigned before 4 April 2024 the pre-4 April rules will apply even if the application is submitted on or after 4 April.
Our lunchtime webinar on the changes next Tuesday 19 March
At lunchtime (12.30 – 13.30 GMT) on Tuesday 19 March we are running a webinar on the new rules and what they mean for your business. Please email EAllen@kingsleynapley.co.uk to register and hear more about the policy background to the changes and a summary of the key Skilled Worker and family visa rule changes on your current staff and future recruits.
Timeline of business immigration changes in 2024
We recognise that there are many immigration changes going on at the moment. Our 2024 business immigration changes timeline should assist you in keeping track. There are also some links to further content that should help you to understand what is happening and when.
Further information
If you have any questions about this or any other immigration matter please contact a member of the immigration team.
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