Understanding the Government’s consultation on earned settlement

The UK Government’s Earned Settlement consultation proposes a fundamental shift in how migrants achieve Indefinite Leave to Remain (ILR). Instead of a time-based system, settlement would be earned through measurable contributions and integration. For the tech sector – one of the UK’s fastest-growing industries – these changes could have far-reaching consequences. If someone has ILR it means that there is no time limit on their ability to stay in the UK. They can work and study without restrictions and they are eligible for welfare benefits. For some people ILR is a step towards applying for British citizenship, usually one year after being granted ILR.

The immigration white paper published on 12 May 2025 included a broad range of proposals. A central part of the white paper was the concept of earned settlement. The white paper stated that the government wished to “reform the current rules around settlement through an expansion of the principle behind the Points-Based System, that individuals should earn their right to privileged immigration status in the UK through the long- term contribution they bring to our country.” The idea is that ILR applicants will need to show certain contributions to the economy and society. The standard qualifying period for ILR will be doubled from 5 to 10 years. For some people the qualifying period will be shorter than 10 years. For others it will be even longer. There are some other major changes being proposed. One is that the current 10-year long residence route to ILR will be abolished. Another is that in future people who are granted ILR will not be eligible for welfare benefits. They will need to become British citizens to become eligible. The white paper said that the government would consult on the proposals. The consultation was launched on 20 November 2025 with an accompanying press release.

Why this matters for Tech

1. Retention of high earners

Senior engineers and tech leaders may still access accelerated settlement routes (by earning a taxable income of at least £50,270 or £125,140 for a period of three years prior to the date of application), but mid-level professionals could face longer waits—potentially up to 10 years—before qualifying for ILR.

2. Employer costs and planning

Longer settlement timelines mean extended sponsorship obligations, higher visa renewal costs, and continued payment of the Immigration Skills Charge. This will impact workforce planning and budgets.

3. Talent attraction

Countries with simpler settlement routes may become more appealing, creating competition for global tech talent. The UK risks losing its edge if these proposals are not balanced with industry needs.

What is the deadline to respond?

The deadline to respond to the consultation is Thursday 12 February 2026.

We are pleased to share our guide to completing the earned settlement consultation survey questions. We strongly oppose the Government’s proposals and expect you will want to share your views by answering the survey questions before the 12 February deadline. Your particular circumstances and what you think of the proposals will determine your answers. Our guide is there to support you in understanding the questions and how best to answer them for your business. our guide to completing the earned settlement consultation survey questions.