Last Updated on December 10, 2024
With Brexit now in the rearview, the U.K. is moving forward with its plan to implement a points-based immigration system
In early 2020, the U.K. Government announced its intentions to overhaul the country’s immigration system and move to a new points-based system. Home Secretary Priti Patel announced that the new points-based immigration system would be implemented on Jan. 1, 2021. This date immediately follows the end of the Brexit transition period, which concludes at the end of 2020.
Points-based immigration systems are not new. In fact, quite a few countries have incorporated them over the years, including the U.K. However, the U.K.’s transition to a newer legal immigration process comes with positives, negatives and unanswered questions.
A closer look at the U.K.’s proposed points-based immigration system
What is a points-based immigration system?
From a bird’s eye view, a points-based immigration system is one where individuals must score a certain number of points in order to immigrate to their desired destination. The U.K. government has looked closely at Australia’s points-based immigration system for inspiration.
According to The Guardian, Australia’s system is a general skilled migration ‘programme.’ This means immigrants are selected for visas based on economically relevant characteristics, such as:
- Language skills
- Work experience
- Education
Companies may score for other factors, such as wealth, existing job offers and age. The Migration Advisory Committee (MAC) has strongly reviewed Australia’s system for recommendations, although the MAC only provides recommendations. Canada is another large country that has implemented a points-based system. It was the first country to do so, all the way back in 1967.
Additionally, people often refer to points-based immigration systems as merit-based immigration. Usually—but not always—people discuss immigration economically, indicating that immigrants want to move to a new country to work and live. However, different groups of immigrants, such as refugees and immediate family members, typically need to meet a different point threshold to immigrate.
Looking at the U.K.’s new system
The U.K.’s new system aligns with the end of the Brexit transition. It will apply to both EU and non-EU nationals, except for Irish nationals. This new proposal has several key features.
First, individuals will only be eligible for a visa if they have 70 points. According to the government, an individual applying for a U.K. visa from any country must speak English and have a job offer from an approved employer at an appropriate skill level.
If any individual meets the first two criteria, he/she would already have 50 points. To gain the final 20 points, individuals must either possess higher qualifications (such as a PhD), have been offered a job with a shortage, or earn at least £25,600.
Pros of the U.K. proposal
First, the Home Office’s proposal would remove the Resident Labour Market Test requirement, which would reduce application processing time. Another potential benefit would be the elimination of visa quotas. The U.K. currently caps work visas at approximately 21,000 for individuals outside the EU. BBC News reveals that this quota is rarely met.
“We will also see the required skill level change from RQF 6 to RQF 3, which means that a wider range of roles can be filled by individuals who are not considered Settled Workers in the U.K.,” said Hannah In-Chan, a global immigration manager at Envoy Global.
Cons of the U.K. proposal
One of the worries about the U.K.’s potential new system is that it doesn’t account for low-skilled workers, self-employed or freelancers. How the U.K. navigates its new points-based immigration system will be an interesting case study, and other countries will likely pay close attention.
Additionally, In-Chan explains that each company must have a Sponsor Licence in the UK to sponsor an individual. Companies must apply for a Sponsor Licence before implementing new rules or ensuring their systems and processes are robust enough to manage their employee population.
“We would expect there to be tighter scrutiny of company’s compliance with the immigration rules in the form of immigration audits,” said In-Chan.
The Home Office has also announced that it will continue to levy the Immigration Health Surcharge and the Immigration Skills charge, which continues to make sponsoring an individual to work in the U.K. very expensive.
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Envoy is pleased to provide you this information, which was prepared in collaboration with Hannah In-Chan, who is a Global Immigration Manager at Envoy Global.
Content in this publication is not intended as legal advice, nor should it be relied on as such. For additional information on the issues discussed, consult an Envoy-affiliated attorney or another qualified professional.
