Immigration Barristers' Blog

On 15 March 2012, a written ministerial statement was laid in Parliament outlining a number of changes to the Immigration Rules.

From 6 April 2012, the Tier 1 (Post-Study Work) category will close to new applicants.  However, it will now be easier for existing Tier 1 (Post-Study Work) migrants to extend their stay in the United Kingdom by switching into the Tier 1 (Entrepreneur) category.

Whereas most individuals who apply to enter the UK or switch from another category into the Tier 1 (Entrepreneur) category are, with certain limited exceptions, required to demonstrate that they have access to at least £200,000, the funds requirement will be substantially reduced for post-study workers. 

From 6 April 2012, any individual who is currently in the UK with leave to remain as a Tier 1 (Post-Study Work) migrant and who wishes to switch into the Tier 1 (Entrepreneur) category will now only need to demonstrate that they have access to at least £50,000. 

Post-study workers will be able to rely on money that is held in their own account or in someone else’s account, provided that the third-party confirms that the funds are available to the post-study worker for investment in a UK business.  In either case, the money will need to be held in a regulated financial institution such as a bank or building society and be capable of being spent in the UK

Two post-study workers will be able to apply together as an ‘entrepreneurial team’, provided that they both have equal access to the investment funds.

However, applicants should be aware of one potential restriction.  Post-study workers switching into the Tier 1 (Entrepreneur) category will need to have already registered as self-employed or as the director of a business, and be engaged in business activity, other than in the work necessary to administer their business, in an occupation at National Qualifications Framework level 4, at the date of their application for an extension of stay.

New rules will come into force within weeks to ensure that the brightest and the best students can stay and work in the UK, Immigration Minister Damian Green has announced.

Students can currently work in the UK for two years after their studies have finished, under the Tier 1 (Post-study work) route. But from 6th April, a more selective system will come into effect so only the most talented international graduates can apply to stay in the UK for work purposes.

Only those who graduate from a university, and have an offer of a skilled job at a salary of at least £20,000 (or more in some cases) from a reputable employer accredited by the UK Border Agency, will be able to continue living and working in the UK.

The rules are part of a radical overhaul of the student visa system, which will:

• encourage growth - a new Graduate Entrepreneur route will open, with up to 1,000 places for students working on world-class innovative ideas who want to stay and develop them but do not meet the requirements of the Tier 1 (Entrepreneur) route;
• boost the economy - young entrepreneurs or small company directors will get the chance to stay on in the UK after their studies if they have £50,000 to invest in their business;
• ensure that students can support themselves - for the first time since 2008, there will be an increase in the amount of money that students and working migrants (and their dependants) must prove they have to support themselves financially during their time in the UK; and
• tackle abuse - restricting work placements to one-third of the course for international students who are studying below degree level will ensure that those coming to the UK are here to study, not to work (as was often the case in the past). Additionally, the time that can be spent studying at degree level will be restricted to a general limit of five years.