Immigration Rules Statement of Changes: time is ticking for employers…

This blog was co-authored with associate, Hayley Ainsworth - Burges Salmon. 

On 1 July 2025, the government published a Statement of Changes and Explanatory Memorandum which set out various amendments to the Immigration Rules. The key changes, which are due to come into effect from 22 July 2025, include:

Skilled Worker route

1. For new applications and extensions (where immigration permission was granted under the Immigration Rules in place from 04 April 2024):
   • The general salary threshold for applications under the Skilled Worker route will rise from £38,700 to £41,700. 
   • The ‘discounted’ general salary threshold that applies to ‘new entrants’ to the job market will rise from £30,960 to £33,400. For those who hold a relevant non-STEM PHD, the salary threshold will increase from £34,830 to £37,500.  
   • Employees who were sponsored under the Skilled Route prior to 22 July 2025 should benefit from transitional arrangements allowing them to continue being sponsored in their existing role, even where this role no longer meets the required skill level. The Home Office has indicated that these transitional arrangements will not apply indefinitely and will be reviewed in due course.
2. For anyone who was granted immigration permission under the Immigration Rules in place before 4 April 2024, the ‘transitional’ minimum salary threshold will rise from £29,000 to £31,300 (and for those who hold a relevant PHD, from £26,100 to £28,200).
3. The going rates are also due to increase in line with the 2024 Annual Survey of Hours and Earnings (ASHE) data.
4. The minimum skill level threshold for Skilled Workers will increase from RQF 3 (equivalent to A-level) to RQF 6 (equivalent to degree level). This change means a reduction of around 180 eligible occupations.  This change will apply to new applicants under the Skilled Worker route. 
5. The Immigration Salary List will be replaced by a ‘Temporary Shortage List’. This may include roles below skill level RQF 6; however, anyone sponsored in a role which is skilled below RQF 6 will not be able to bring dependants to the UK.

Other routes

1. Salary thresholds will be increased across the Global Business Mobility (GBM) routes. The general minimum salary threshold under the Senior/Specialist Worker and UK Expansion Worker GBM routes will rise from £48,500 to £52,500. The general salary threshold under the Graduate Trainee GBM route will rise from £25,410 to £27,300.
2. The salary threshold under the Scale-Up route will increase from £36,300 to £39,100.

These changes mark some of the first steps the government has taken to implement its White Paper, Restoring Control over the Immigration System. 

How can employers prepare?

• Ensure that you are fully up-to-date on the changes that will be implemented on 22 July 2025, including: 
  • in the immediate term, ensuring any upcoming visa applications or renewals will meet the new minimum salary thresholds and skill levels;
  • undertaking some long-term planning in respect of visa renewals expected to take place over the next couple of years. It is likely that thresholds will continue to rise, and organisations should review workforce and budgetary plans to ensure there is no disruption to business continuity.
• Familiarise yourself more broadly with changes proposed in the government’s White Paper that may impact your workforce. In particular, the White Paper proposes to reduce the standard length of the Graduate visa from 2 years to 18 months, which will impact employers who have 2-year graduate schemes;
• Employers with a sponsor licence should review their licence management processes and record-keeping.  A recent conference run by the Westminster Legal Policy Forum and held shortly after the Statement was released on 3 July 2025, highlighted the significance for employers of the recent and upcoming changes, compliance with immigration rules and, where relevant, sponsor duties.  In light of the government’s increased focus on compliance, employers seeking to obtain or maintain a sponsor licence will need to be more vigilant, with stricter scrutiny expected around sponsorship duties and compliance.

If you need support in managing your sponsor licence, sponsoring workers or preparing for a compliance visit, please do get in touch.