Mon 02 Nov 2026

Earned Settlement: what Food and Drink businesses need to know

The Home Office has announced significant changes to its approach to settlement, also known as Indefinite Leave to Remain (ILR). It is moving towards an "earned settlement" system, which could extend the time that many visa holders need to spend in the UK before becoming eligible for ILR.

For Food and Drink sector businesses that rely on international talent, these changes may have important workforce planning and cost implications.

What has been announced

  • Those earning at least £121,141 per year, and Global Talent, Innovator Founder and Sportsperson visa holders, will have a three-year qualifying period for ILR

  • Those earning at least £50,271 per year or who have a British connection, e.g. those who are the partner of a British citizen, will have a five-year qualifying period

  • Everyone else will have a ten-year qualifying period (with some exceptions)

  • Anyone with any form of criminal record will be refused ILR, although detailed eligibility criteria are awaited

  • The English language requirement will be at level B2

  • Applicants cannot have any unpaid government debt**. This** includes NHS debt

  • Applicants must have at least three years of National Insurance contributions

  • Eligible couples can combine their income to meet the household income threshold of £25,142 on the ten-year route to settlement

What this means for your business

It will no longer be the case that most visa-holding employees will be able to settle after five years. For sponsored employees, you will need to factor in the costs of sponsorship for a longer period. This is likely to have a particular impact on the hospitality industry and roles such as chefs, where salaries are often below £50,271.

Steps to take now

  • Map your workforce: Review each worker's salary, employment history and visa expiry date. Identify who may need support beyond five years and consider additional visa costs when budgeting.

  • Communicate clearly: Let your affected workforce know what has been announced and what is yet to be confirmed. Encourage employees to seek advice on their own personal circumstances. Those who will be eligible for ILR prior to the rule change may want to take steps to apply as soon as they can, so they will not become subject to the longer qualifying period.

  • Check compliance: Ensure that right-to-work checks and visa expiry monitoring processes are up to date. Sponsor licence holders should also review their sponsor records and reporting processes and update them where necessary. Carry out regular internal audits to ensure that you remain compliant.

Make an Enquiry

From our offices we serve the whole of Scotland, as well as clients around the world with interests in Scotland. Please complete the form below, and a member of our team will be in touch shortly.

Are you contacting us as an individual or business? *


Are you an existing client? *


How would you like us to contact you?


Morton Fraser MacRoberts LLP will use the information you provide to contact you about your inquiry. The information is confidential. For more information on our privacy practices please see our Privacy Notice