Immigration Barristers' Blog

The Migration Advisory Committee (MAC) has recommended the annual limit on skilled workers from outside of the European Economic Area should remain unchanged for the next financial year.

Following its first review of the limit, which was introduced in 2011 and applies to non-EEA migrants applying to work in the UK under Tier 2 of the immigration system, the MAC recommends it remain at its current level of 21,700. Current estimates suggest that the number of Tier 2 visas issued in the twelve months to April 2012 could be as low as 10,000.

The MAC was also asked to look at the number of intra-company transfers. It has not recommended any changes to the policy, but advises that it should be kept under review and the use of intra-company transfers for third-party contracting should be monitored closely.

In addition the MAC was asked to look at the effect of raising the required skill level for Tier 2 migrants from National Qualification Framework Level 4 to National Qualification Framework Level 6.

It found that raising this level would cut the number of occupations that qualify for Tier 2 visas from 121 to 89 which would exclude occupations such as office managers, IT technicians and health and safety officers. It is estimated that this change would reduce inflows through Tier 2 by 7%.

Finally, the MAC looked at whether some high paid jobs should be exempt from the Resident Labour Market Test (RLMT). It recommends that highly-paid and PhD-level jobs should be exempt from the RLMT requirement to advertise in Jobcentre Plus.

Source: UK Border Agency

As part of the government's commitment to reviewing the immigration system, a consultation was launched last summer proposing reforms to employment-related settlement, Tier 5 and overseas domestic worker routes.

Immigration Minister Damian Green has now announced the government's response to this consultation. The proposed changes will mean that skilled migrant workers coming to the UK under Tier 2 of the points-based system will no longer be able to settle in the UK simply based on the amount of time they have spent in the UK.

A new minimum pay threshold will also mean that only the brightest and best workers, who strengthen the UK economy, will be able to apply to stay in the UK permanently.

The new rules will break the link between coming to the UK to work and staying forever. Exceptionally talented people, investors and entrepreneurs will continue to have the option to stay. Skilled temporary workers wanting to apply for settlement will have to earn at least £35,000 or the going rate for their job, whichever is higher.

Migrants doing jobs which are in shortage, and scientists and researchers in PhD-level roles, will be exempt from the £35,000 threshold. Temporary permission to enter and remain in the UK will be capped at six years, to reinforce the temporary nature of Tier 2.

The government also plans to make changes to the visitor rules to allow a defined group of professionals to undertake specific fee-paid activities for short stays of up to one month without formal sponsorship requirements.

Source: UK Border Agency

The Institute of Directors (IoD) has spoken out against the government's proposed changes to the student visa system.

The Director-General of the IoD, Simon Walker, said: “The Government’s moves to eject foreign students after graduation unless they earn at least £20,000 working for Home Office approved companies are a retrograde step which will continue to diminish both Britain’s higher education sector and its global influence.

“Most non-EU students come from emerging economies where the youth population is growing and education is highly prized. In business and geo-political terms it is particularly vital that future leaders from BRIC nations, the Middle East and other strong economies of the future have had a positive formative relationship with the UK. Other countries welcome such students: Britain makes it difficult and artificially expensive for them to enter, and now proposes to eject them ignominiously when their studies are finished.

“These are misdirected reforms which will produce no benefit for the UK. It is pure sophistry to manipulate immigration figures by shooing to the door highly-trained international students with MBAs to make way for unskilled migrants from the EU.”