The UK’s immigration system is changing in 2024, and these changes will impact businesses that want to hire workers from overseas. With the end of free movement from the EU after Brexit, all workers, including those from Europe, will be subject to the same immigration rules. This means that businesses, large and small, must adjust to new visa requirements and processes.
In this article, we explain the new immigration rules and what businesses need to know to hire workers from abroad in 2024.
Key Changes to Immigration for 2024
End of Free Movement for EU Workers
After January 2021, the UK stopped the free movement of people from the EU. This means businesses can no longer hire EU workers without a visa. All workers now need to meet specific immigration criteria to work in the UK.
Points-Based Immigration System
The UK now uses a points-based system to decide who can get a work visa. To qualify, workers must meet specific requirements, such as having a job offer, meeting a salary threshold, and speaking English. To get a visa, applicants need to score 70 points. For example:
- Job offer from an approved employer: 40 points
- English language skills: 10 points
- Salary offer of at least £25,600: 20 points
The goal is to attract skilled workers and ensure UK businesses can hire the “best and brightest” talent from around the world.
The Need for Sponsorship
One of the most important changes for businesses is that they must be on the government’s approved sponsor list to hire foreign workers. To become an approved sponsor, businesses must apply to the Home Office. Only approved businesses can issue Certificates of Sponsorship (CoS) to workers, and workers cannot enter the UK without a CoS.
As of the latest figures, fewer than 32,000 businesses in the UK are on this approved sponsor list. These businesses range from construction companies to healthcare providers and tech firms.
Skilled Worker Visa
The most common visa for businesses is the Skilled Worker Visa. This visa applies to workers filling skilled roles. The threshold for what counts as a “skilled” worker has been lowered. It now includes positions requiring qualifications equivalent to A-levels (NQF Level 3), rather than just bachelor’s degrees. This means more people will qualify for the Skilled Worker Visa, including roles such as nursing home managers and IT technicians.
There is no longer a cap on the number of Skilled Worker Visas issued each year, so businesses can hire as many skilled workers as they need. However, businesses must still meet the required salary thresholds for workers.
Healthcare Worker Visas
There is a specific Health and Care Visa for healthcare professionals, including doctors, nurses, and other healthcare workers. This visa offers fast-track entry into the UK to address the country’s healthcare needs. However, most low-skilled care workers are not covered by this visa.
Global Talent Visa
For businesses in digital technology, research, or academia, there is the Global Talent Visa. This is aimed at leaders or potential leaders in specific fields like digital technology, the arts, and research. If you run a business in these sectors, you may want to explore this option.
Visa Costs and Fees
Employers should be aware of the costs involved in sponsoring workers:
- The cost of a sponsor license for small businesses is £536.
- There is a £199 fee for each Certificate of Sponsorship issued.
- Employers must pay an Immigration Skills Charge of £364 for the first year and £182 for every additional 6 months when sponsoring a worker under the Skilled Worker Visa.
Workers also face costs, including application fees which range from £610 to £1,408, depending on the length of their visa and whether their role is on the shortage occupation list. Additionally, workers must pay a Health Surcharge of £624 per year, unless they are applying for a Health and Care Visa.
Supporting Your Employees
Workers must show they have enough money to support themselves in the UK. This usually means having at least £1,270 in available funds when they apply.
Impact on Small Businesses
Small businesses that have relied on EU workers for roles in sectors like hospitality and healthcare will need to adjust to these changes. The new rules do not allow businesses to hire unskilled workers from abroad, which may lead to shortages in certain industries. For example, hospitality businesses may find it harder to hire waiting staff from overseas.
However, the new system also opens up opportunities for businesses to hire skilled workers from a wider range of industries. The reduction in the skill level required for the Skilled Worker Visa could help fill more roles, and businesses no longer need to advertise vacancies to UK workers first.
The UK’s new immigration rules are a big change for businesses that hire foreign workers. While the system aims to attract talented professionals, it also introduces costs and requirements for businesses. To successfully navigate these changes, businesses should ensure they are on the Home Office’s approved sponsor list, understand the visa routes available to their workers, and budget for the associated fees.
If you need help to understand the new immigration rules or to apply for a sponsor license, Law and Visas can assist. We specialize in guiding businesses through the UK immigration system, ensuring you can hire the talent you need to grow and succeed.
