UK Government Unveils Updated Salary Thresholds for Skilled Workers

The increment in minimum wage rates is causing concern in the UK construction and hospitality industries. The government has released new salary thresholds for skilled worker visas, with a significant increase in the general rate. Each job eligible for the skilled worker visa is assigned a minimum salary known as the going rate, which will increase from £26,200 to £38,700 for those starting on or after April 4. For existing sponsorships or lower rates, the threshold will rise to £29,000, requiring applicants to secure a higher salary upon renewal. Going rates are updated annually and based on statistical data, with adjustments to be made from 2021 to 2023, resulting in higher rates. Various occupation rates have also increased significantly, like solicitors and lawyers up to £52,300 and accountants up to £46,800.

For certain occupations under the Health and Care Worker Visa, lower rates apply, with rules differing for healthcare and education workers based on national pay scales, such as those set by the NHS. The salary hike is part of the government’s strategy to reduce net migration, as outlined by Home Secretary James Cleverly last year. Furthermore, dependent visas and graduate visa schemes are also set for changes, with income thresholds rising and reviews planned for the graduate visa scheme to address concerns of misuse.

The London Chamber of Commerce and Industry has cautioned that the new thresholds could negatively impact the UK economy, particularly in sectors reliant on foreign workers. Immigration experts have warned that the system is moving too quickly, limiting access to talent and potentially hindering economic growth. Louise Haycock, a partner at the immigration law firm Fragomen, highlighted the contrast with other countries making it easier to hire foreign nationals for growth roles.



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