United Kingdom: Migration Advisory Committee Review of Sponsored Work Route Salary Thresholds Published

The situation 

The Migration Advisory Committee (MAC) has published its government commissioned review of salary thresholds across UK sponsored work routes, including the Skilled Worker and Global Business Mobility routes.  

A closer look 

The MAC made the following recommendations: 

• Skilled Worker route:  
  • Occupation-specific salary thresholds should be reduced so that they are based on 25th percentile salary data rather than median data.  
  • The general salary threshold should be maintained at GBP 41,700, with GBP 48,400 noted as a possible alternative level. 
• Skilled Worker salary - discount framework: 
  • A single new entrant salary threshold of GBP 33,400 should be introduced. The MAC also recommends extending the current four-year duration over which new entrant provisions can be relied upon.  
  • The PhD salary discount should be abolished entirely.  
  • If post-doctoral thresholds are retained, they should be subject to a single salary threshold of GBP 41,700, applicable for a maximum period of four years. 
• Global Business Mobility:  
  • For Senior or Specialist and UK Expansion Workers, the general salary threshold as well as occupation-specific thresholds should be set at the median of eligible occupations.  
  • For the Graduate Trainee route, a single salary threshold of GBP 33,400 should apply; while occupation-specific salary thresholds should be removed altogether. 
• Temporary Shortage List:  
  • The general salary threshold should be set at a minimum of GBP 30,900.  
  • Occupation-specific thresholds should be set at the median salary for each eligible occupation.  
  • No salary discounts should apply under this route. 
• Scale-up route. Salary thresholds should be aligned with those of the Skilled Worker route. 

Background 

The MAC’s recommendations are only effective if the government formally accepts them. Until then, employers are bound by current immigration rules. However, the MAC’s recommendations are highly influential and most of its recommendations are typically accepted by the government shortly after they are made. 

Impact 

If the government accepts the MAC’s proposals for the minimum income requirement, this could potentially result in significantly decreased thresholds for several immigration pathways, making it easier for employers to engage foreign talent.  

Looking ahead 

It is now up to the UK government to decide which, if any, of the MAC’s proposed salary threshold reforms it will adopt. We will report on related developments. 

This alert is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen.