December 6, 2023
UK announces five-point plan to curb abuse of the immigration system
On 4 December 2023, the UK government announced a five-point plan to curb migration and make its immigration policy “fair, legal and sustainable.” The changes are set to go into effect in spring 2024. The five-point plan proposes the following changes (i) the minimum salary requirement for skilled workers will increase from GBP 26,200 to GBP 38,700; (ii) the authorities will reform the Shortage Occupation List, which is expected to lead to a reduction in the number of applicants eligible for shortage occupations; (iii) the minimum income requirement for the spouse of a British national will increase from GBP 18,600 to GBP 38,700, in line with the increase in the minimum salary requirement for Skilled Workers; (iv) the government will ask the Migration Advisory Committee to review the Graduate Route to “prevent abuse and to protect the integrity and quality of UK Higher Education"; and (v) overseas care workers will not be able to bring in dependents to the UK. Firms that seek to sponsor care workers to come to the UK will need to be regulated by the Care Quality Commission.
A Tax Alert prepared by EY's People Advisory Services group, and attached below, provides additional details.
Full text of Tax Alert