The Home Office is going to apply the changes to all existing visa holders. The reforms mean some sponsored workers may be able to settle earlier than the current 5 years, some will remain at 5 years and others may face longer routes to settlement and additional visa costs. Implementation is planned during 2027, but detailed Immigration Rules and guidance are still awaited, as well as the official timeline.
What has been announced?
Workers who can settle at the same period or earlier. A five-year settlement route is intended to remain available to eligible workers who have earned more than £50,271 in 3 of the last 5 years. For those who earn over £125,142 (for at least 3 years), it may be possible to settle after 3 years. The precise eligibility and evidence requirements will be set out in the Rules when they are published.
Longer routes for other workers. Those who earn under £50,271 in 3 of the last 5 years fall within the new ten-year baseline, unless another reduction applies. This could mean additional visa extensions and sponsorship costs for care businesses.
Dependent partners and children. Dependants will need to meet the same qualifying period as the sponsored worker. The new mandatory criteria will require applicants to have been earning at least £12,571 for 3 years before applying and this will apply to dependent partners as well. However, where the sponsored worker is earning above £25,142, they will be able to use this income to meet their partner's earning requirement if they are not working.
What this means for your business
Unfortunately, the changes will mean staff members have different paths to indefinite leave depending on their income. Some employees may settle after three years, some may retain a five-year route, while others may need longer-term visa support, which will increase business costs.
Three steps to take now
Map your workforce. Review each worker’s salary, employment history and permission expiry date. Identify who may need support beyond five years and factor potential extensions into workforce budgets.
Communicate clearly. Explain what has been announced and what remains unconfirmed. Avoid promising settlement dates; encourage staff to obtain advice on their individual circumstances.
Check compliance. Review right-to-work checks, sponsor records and reporting processes. Keep existing obligations under review while awaiting the new Rules and guidance. The Home Office regularly audits and inspects care businesses, and licence revocations are at an all-time high.
How we can help
Our immigration team advises care businesses on workforce visa planning, right-to-work checks and sponsor compliance. Please get in touch to discuss the implications for your organisation.
This factsheet provides general information, not advice on any individual’s eligibility. The final Rules and guidance should be checked before decisions are made.
