Regular readers will already be aware of the radical proposed changes to the UK immigration system in the White Paper published in May. On 1 July 2025 a Statement of Changes was published confirming which of these changes will take effect from 22 July 2025. Most changes concern sponsored work visas.
What should our business do?
In light of the impact of the changes outlined below, if you have not done so already, review your future recruitment and retention plans and speak with existing UK based colleagues on temporary visas (that may need sponsorship in the future), to assess your immigration strategy. If your staff will not be eligible for a Skilled Worker visa following the changes, can you accelerate the application to take advantage of the current rules before they change on 22 July?
Return to Graduate Level for most new applications
The minimum skill level for qualifying sponsored Skilled Worker jobs will again increase from RQF level 3 (A-level equivalent) to graduate level (RQF level 6), the level it was at until 2020. This will remove around 180 occupations from qualifying for sponsorship. From 22 July 2025, applicants from overseas, or those applying to switch from within the UK from other routes, will have to follow the new rules, The new rules confirm that existing Skilled Workers in eligible occupations that are below graduate level will continue to be able to renew their visa, change employment and take supplementary employment in roles below graduate level. Also, sponsors that assign a certificate of sponsorship against an eligible RQF level 3 role on or before 21 July 2025 will be able to use it to sponsor a new visa application submitted after 22 July 2025.
Increase in salary levels
Salaries will be updated in line with the 2024 Annual Survey of Hours and Earnings data. Sponsors continue to need to pay the highest of the minimum threshold salary or the occupation code salary when sponsoring a visa.
Key increases include:
Minimum threshold salary up to 21 July 2025 |
Minimum threshold salary from 22 July 2025 |
Visa type |
£38,700 |
£41,700 |
Skilled Worker minimum salary for new applicants (no applicable discount) |
£48,500 |
£52,500 |
Global Business Mobility salary minimum |
£34,830 |
£37,500 |
PhD STEM / Immigration Salary List |
£30,960 |
£33,400 |
New Entrant route |
£29,000 |
£31,300 |
Extensions of pre April 2024 visas |
Note:
- Salaries are still based on a 37.5 hour week.
- The new minimum hourly rate has been set at £17.13.
Transitional arrangements with lower minimum salaries will apply to those who are sponsored under the Skilled Worker route by 21 July 2025 or who have submitted an application which is approved after 22 July 2025. However, the new rules are clear that this relaxation will 'not be indefinite'.
Out with the old (end of Immigration Salary List) and in with the new (Temporary Shortage List)
The Immigration Salary List for shortage occupations will initially be expanded to include RQF level 3-5 roles that have been identified as shortage roles. It will then be phased out.
An interim TSL will be introduced to cover RQF level 3-5 Skilled Worker roles that are key to the UK's industrial strategy or delivering critical infrastructure. In the new TSL there are more than 60 occupation codes for jobs that are below graduate level. Occupations on the TSL will be removed at the latest by the end of 2026, which creates a precarious status for those performing TSL roles after the rules change. The Migration Advisory Committee will advise the Home Office on TSL inclusions and use of the TSL will require a Workforce Strategy to be in place and sponsors to show evidence of recruitment from the UK market and an investment in local training. Applicants under this route will not be able to bring dependants to the UK which raises the question of how attractive this concession will be.
What hasn't been introduced yet?
A lot of the big White Paper proposals are not included in this instalment of the rule changes. We still do not know when they will be introduced. These include:
- The headline grabbing change in mandatory residence for indefinite leave to remain from five to ten years.
- The 32% increase in the Immigration Skills Charge.
- English language level increase…
- … and roll out to dependants.
- Reduction in Graduate visa length.
- Roll out of targeted industry Workforce Strategies.
In each case please see our recent update for more detail. It is likely that some of these proposals will be rolled out towards the end of 2025 or into 2026.
Do continue to watch this space for further updates and contact us at any time if you'd like to discuss what the changes mean for you or your team.