Immigration update - winter 2026

Proposals for earned settlement – November 2025

The most significant development over the last six months was the release of the government’s proposals for “earned settlement”. These measures are likely to increase the qualifying period for settlement from five years to 10, 15, or even 30 years, depending on an individual’s circumstances.

It is important to remember that these remain proposals at this stage. The Home Office has launched a consultation seeking feedback, which will remain open until 12 February 2026. However, the intention is for the proposals to begin to be implemented in the first half of this year, meaning that this system - albeit potentially with some amendments - is expected to become law in the near future.

Our article details the main points within the proposals. By way of reminder, these include:

• An intention to create a new baseline for settlement, increasing it from the current five-year requirement for certain workers to potentially 10, 15, or even 30 years
• Treating main applicants and dependants separately for settlement purposes. This would mean that dependants would need to meet the eligibility criteria in their own right
• The introduction of a mandatory earnings threshold for settlement for all applicants. This could mean, for example, that a dependant of a Skilled Worker who does not work due to caring responsibilities may be unable to apply for settlement
• Retaining the five-year route to settlement for workers earning above £50,270
• Introducing an accelerated route to settlement of three years for individuals earning above £125,140
• Implementing a baseline settlement period of 15 years for individuals working in roles at RQF levels three to five
• The option to apply these measures to individuals already in the UK on a Skilled Worker visa, or alternatively to introduce a series of transitional arrangements

Action point for employers

These measures will impact a large number of workers who currently hold temporary visa status and will understandably cause anxiety and concern. As employers, it would be prudent to consider the following:

• Do you need to provide details of the proposals to your workforce to ensure they are aware of what lies ahead?
• Do you need to remind your workforce that, if they are currently eligible for indefinite leave to remain (ILR), they should consider applying now?
• Have you considered the potential additional compliance burden and financial implications of sponsoring workers for longer periods?
• Could these measures dissuade potential applicants and negatively affect your talent pipeline?
• Do you wish to respond to the consultation to provide your thoughts and concerns as an organisation? The Home Office is keen to hear from employers about how these measures may affect recruitment and workforce planning.

If you would like further details about these proposals, guidance on supporting your workforce, or assistance with responding to the consultation, please get in touch with Joanna Hunt.

Statement of changes to the Immigration Rules – October 2025

A further statement of changes to the Immigration Rules was published in October, setting out the framework for implementing additional proposals from the Immigration White Paper.

The key changes include:

• An increase to the English language requirement for the Skilled Worker route from level B1 under the Common European Framework (approximately GCSE-level English) to level B2 (approximately A-level English). This change came into force for applications made on or after 8 January 2026.
• The Graduate visa route will be reduced to 18 months for applications made from 1 January 2027. The visa will remain three years in length for PhD holders.
• The High Potential Individual route has been expanded so that graduates from the world’s top 100 universities (rather than the top 50) will be eligible to apply for a two-year UK work visa. A yearly cap has been introduced, set at 8,000 applications.

Action point for employers

Employers recruiting sponsored workers into roles that do not require advanced language skills should be mindful that the higher English language threshold may prevent some candidates from securing visas.

For employers operating graduate recruitment programmes, the reduction in the length of the Graduate visa to 18 months from 2027 onwards is also a key consideration. Where programmes exceed this length, international graduates are likely to require sponsorship in order to complete them. This may influence early hiring decisions, particularly where the role does not meet the relevant salary thresholds for sponsorship.

Right to work checks for self employed and gig economy workers – October 2025

Last year, the government announced plans to extend right to work checks to cover gig economy workers and certain self-employed individuals. The legal framework for these changes is now in place, set out in the Border Security, Asylum and Immigration Act 2025, which received Royal Assent in December 2025.

Section 48 of the Act broadens the definition of a “person employing another” to include:

• Businesses engaging individuals under a contract for services
• Businesses engaging subcontractors directly
• Individuals hired via online platforms or matching services

It is now clear that the requirement to carry out right to work checks to avoid potentially liability for a fine for illegal working will extend to a wider range of working relationships, including self-employment. These measures may also result in employers being held responsible for illegal working carried out by workers supplied by third parties.

However, many practical details remain unclear. A public consultation was carried out last year, and we are now awaiting secondary legislation and updated guidance to clarify how these measures will operate in practice. A publicity campaign on this is also expected. We should hear further details on this as the year progresses.

Action point for employers

Once in force, these measures will significantly extend the risk of a civil penalty for illegal working - up to £60,000 per individual - across a broader range of working arrangements, including forms of self-employment and non-traditional engagements previously considered outside the scope of right to work checks.

Employers should begin preparing by:

• Reviewing the different worker categories and engagement models used within the organisation
• Assessing whether additional right to work checks may be required once the measures take effect
• Ensuring that existing right to work processes and systems are robust enough to support compliance under the new regime
• Considering if additional training is required to increase knowledge within your business or organisation

Need advice or help?

The immigration landscape is once again undergoing a significant period of change which will have wide ramifications for all employers. Please don’t hesitate to contact us if you have any questions or require tailored advice on any of the topics covered above.