Immigration update

July 2025

Employment and immigration18.07.20258 mins read

Key takeaways

Higher skill and salary thresholds introduced

New visa rules require degree-level roles and increased pay rates.

Temporary shortage list offers limited relief

Time-bound sponsorship options now available for select lower-skilled roles.

Health & Care Visa route tightens further

Overseas recruitment restrictions will impact care sector planning.

Immigration update - July 2025

The UK government’s Statement of Changes HC 997 effective from 22 July 2025 introduces significant reforms to many routes specifically to Skilled Worker. These immediate changes sit alongside the government’s long term vision to reduce net migration, as outlined in the Immigration White Paper published in May (read more here). 

Employers that depend on international recruitment should take timely action to ensure compliance from 22 July 2025. The checklist below outlines key changes coming into effect next week.

Immediate changes (effective: 22 July 2025)

1. Skill Threshold: 

From 22 July, occupations must be equivalent to least RQF Level 6 (degree level) to be eligible for sponsorship, under the Skilled Worker route. 

Roles previously eligible at RQF Levels 3–5 (equivalent to at least A-Level) will no longer qualify and will not be eligible for sponsorship for new Skilled Worker visa holders. 

Exceptions for RQF 3-5 roles: 

  • Existing Skilled Workers (granted permission before 22 July 2025) can continue in their role and extend if their role falls within RQF Level 3 to 5. This applies to extensions and change of employment applications. 

  • New Skilled Worker visa holders, for roles that fall within RQF Level 3 to 5, must be listed on the Immigration Salary List or on the new Temporary Shortage List. 

2. Salary thresholds: 

The general salary threshold for Skilled Worker application will increase to £41,700 (currently £38,700)
 
Discounted rates are available for:

  • PhD roles: £37,500

  • STEM PhDs, new entrants and roles on the Immigration Salary List: £33,400

There are transitional arrangements in place for those who were first granted Skilled Worker permission before 4 April 2024: 

General salary threshold will be £31,300.

Discounted thresholds:

  • PhD holders: £23,200

  • STEM PhDs, new entrants, and those in listed in the Immigration Salary List: £25,000

Global Business Mobility

  • The general salary threshold will increase to £52,500 (currently at £48.500)

It is important to note that the gross annual salary offered must meet or exceed either the general salary threshold or the specific going rate for the role which have also increased across the board, whichever is higher. These updated salary requirements will apply only when a new Certificate of Sponsorship (CoS) is issued. The UK Government intends to review these thresholds annually, using data from the Annual Survey of Hours and Earnings (ASHE).

3. Introduction of the Temporary Shortage List (TSL): 

The TSL announced in the May White Paper provides time-limited sponsorship options for certain roles at RQF Level 3 to 5, that have been identified as critical to the UK’s Modern Industrial Strategy. 

Key features are: 

  • Available only until 31 December 2026 (subject to review)

  • Includes roles in sectors including business professionals and creative industries 

  • Workers in a TSL role cannot bring dependants (partner and/or children under the age of 18). This does not apply to Skilled Worker already in the UK before 22 July 2025 in RQF Level 3 to 5 roles. 

The Migration Advisory Committee (MAC) have been commissioned with reviewing the roles and salary thresholds for roles on the TSL. 

4. Restrictions on the Immigration Salary List (ISL): 

The Immigration Salary List will now operate alongside the TSL. From 22 July, the roles listed on the Immigration Salary List will only be available until 31 December 2026 (although this may be revised). Specific provisions apply to care workers and senior care workers, whose inclusion on the Immigration Salary List is scheduled to end on the 22 July 2028. 

When a sponsored worker on the ISL next applies to extend their visa, change employment or applies for settlement, they must meet the updated going rates and threshold salary that come into force next week:

  • £41,700 is the general threshold for new candidates from 22 July 

  • £37,500 for relevant PhD holder 

  • £33,400 for PhD in STEM subjects, Immigration Salary List roles or New Entrant  

For Skilled Worker visa holders who were first granted permission before 4 April 2024, and for Health and Care roles using ASHE salary date:

  • £31,300 general threshold

  • £28,200 for relevant PhD holders

  • £25,000 for PhD in STEM subjects, Immigration Salary List roles, or New Entrants

While no immediate payroll changes are required at this stage, salary levels must be reviewed and updated at the time of employee’s visa extension to ensure compliance with the new thresholds.

5. Health & Care Worker Visa to close to new applicants overseas: 

From next Tuesday, occupation codes 6135 and 6136 will no longer be eligible for Skilled Worker visa sponsorship from overseas, in line with the government’s plans outlined in the White Paper.

Applications submitted before 22 July 2025 will still be assessed under existing rules.

Those already in the UK can extend their permission or switch into these SOC Codes until 22 July 2028. Workers must have been legally employed by their sponsor for at least 3 months prior to their application. 

After 22 July 2028, the roles will be removed. 

Planned system downtime

To implement these upcoming changes, both the Sponsor Licence application form and the Sponsor Management System will be temporarily unavailable from 18:00 on Monday 21 July until 09:00 on Tuesday, 22 July 2025. This scheduled downtime will affect all users intending to submit sponsor licence applications or assign or request additional Certificates of Sponsorship. 

In our experience, the systems tend to become less responsive in the hours leading up to the scheduled downtime, which can result in further delays or failed submissions. We therefore recommend completing any urgent actions earlier to avoid last-minute issues and ensure a smooth process. Do take the necessary action before these changes take effect.

End-of-year changes at a glance

Several other immigration changes are still expected before 2025 ends. These include:

  • A 32% increase in the Immigration Skills Charge, impacting long-term sponsorship costs.

  • Stricter English language requirements for both main applicants and dependants.

  • A new family immigration policy introducing tighter relationship criteria, financial thresholds, and language requirements.

For a comprehensive overview of these upcoming changes, please refer to our earlier article.

As the UK immigration landscape continues to evolve, staying informed and proactive is essential for employers and applicants alike. With key changes taking effect from 22 July 2025 and more on the horizon by year-end, now is the time to review sponsorship strategies, update compliance processes and prepare for what’s ahead.

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