3 January 2020

The Tier 1 (Entrepreneur) category closed to new entrants in March 2019. Those wishing to extend their permission to stay in the UK under this category can now only do so until April 2023. In addition, those wishing to apply for settlement under this category will now only have until April 2025 to do so. There are exceptions for Tier 1 (Graduate Entrepreneur) migrants to whom the deadlines differ.

When applying for an extension or settlement under this route, applicants must be aware of the proposed changes to the national minimum wage levels. The job creation requirement requires applicants to show that they have created or maintained the equivalent of two new full-time jobs for settled workers which have lasted for 12 months each and applicants will need to ensure that staff are being paid a salary which is in line with the national minimum wage at all times.

The Government has recently announced that the minimum wage for employees over 25 years old is to rise from £8.21 to £8.72 from April 2020, reflecting a 6.2% increase. There are also anticipated increases for other age groups: 21-24-year-olds from £7.70 to £8.20; 18-20-year-olds from £6.15 to £6.45; under-18s from £4.35 to £4.55; and apprentices from £3.90 to £4.15.

These rises may mean that businesses will need to undertake a review of staff salaries to ensure continued compliance with both UK immigration and employment legislation. A failure to take action when the increases take effect in April may affect extension or settlement applications.

For further information on our immigration services, please contact your assigned lawyer or email enquiries@lauradevine.com.