How UK tech companies can scale back threat amid reforms to immigration
The IT sector depends on immigration and world mobility to handle abilities shortages, drive innovation, and assist enterprise development. World mobility has facilitated management growth and information switch, serving to firms meet evolving enterprise wants. Latest adjustments to UK immigration coverage threaten to disrupt this stream of expertise.
The Immigration Quarterly Statistics spotlight this impression. Within the yr ending March 2024, 67,703 Expert Employee visas had been granted, however the quantity issued to IT professionals fell by 25% in comparison with the earlier yr. By June 2025, 10,231 such visas had been issued —a decline of round 23% year-on-year. Employers are more and more asking why that is taking place and what could be accomplished.
The Expert Employee route has undergone vital adjustments prior to now 18 months. In April 2024, the minimal wage elevated from £26,200 to £38,700, and “going charges” for particular occupations had been revised to median salaries fairly than the twenty fifth percentile. On 22 July 2025, thresholds rose once more to £41,700, and solely jobs at diploma degree (RQF Stage 6) or above typically qualify. Calculating the right wage, particularly for these switching from Scholar or Graduate Visas, has turn out to be much more complicated.
Excessive sponsorship prices and elevated authorities compliance additional discourage employers. Some employers have suggested that, due to final years’ larger minimal wage required beneath the Expert Employee visa, the price of transitioning pupil or graduate visa holders to Expert Employee standing may improve by at the very least 50%. An evaluation of tech startup staff indicated that 37% wouldn’t meet these new wage necessities.
In the meantime, different international locations are actively attracting IT expertise. The EU Blue Card permits extremely expert non-EU staff to stay and settle in member states. Germany issued 78% of the 89,000 Blue Playing cards in 2023 and set their 2025 IT wage threshold at €43,760. Canada prioritizes tech and AI abilities, whereas Singapore provides aggressive visas concentrating on comparable world expertise. Spain issued 28,000 Digital Nomad Visas in 2024, requiring a minimal month-to-month revenue of €2,700 and distant employment, with Cyprus offering each this, a number of different visa choices and potential revenue tax incentives for tech staff.
Suggestions for UK employers
Regardless of tighter migration insurance policies, there are methods for UK employers to assist these in search of new or renewed sponsorship. Clear communication with current and potential staff is important to stop misinformation. HR groups ought to present well timed, correct updates on immigration adjustments, countering hostile, or deceptive media protection. Recruiters should fastidiously take into account future sponsorship prospects, prone to be restricted to degree-level roles, with calculation of the exact wage thresholds earlier than making provides being important. Various immigration routes, together with the Youth Mobility Scheme and World Expertise programme, also can assist worldwide recruitment.
Lastly, employers unable to recruit as a result of these adjustments ought to make the impression clear to trade representatives and authorities our bodies. Highlighting the results of upper wage thresholds and stricter ability necessities can affect Authorities coverage, significantly when mixed with public consciousness.
The 2024–2025 adjustments tighten entry to sponsorship. Adapting to those adjustments could decide whether or not the UK stays a aggressive vacation spot for world IT expertise.
Simon Kenny is Immigration and World Mobility Associate at Spencer West LLP