UK Immigration Law Changes 2025: Labour’s white paper and the future of settlement
- Constantine Law
- Sep 25
- 3 min read
In the latest episode in our podcast series, our new business immigration team, Alex Finch and Rebecca Tester introduce themselves before going on to discuss recent major changes to the UK’s immigration system. The UK government’s recent white paper on immigration sets out reforms designed to reduce net migration, shift focus towards domestic workforce development, and recalibrate the balance between attracting global talent and controlling settlement.
Among the most significant—and controversial—proposals is a plan to increase the qualifying period for permanent settlement from five years to ten for work-related categories.
4 key immigration law changes on the horizon
The white paper introduces a series of measures affecting businesses and individuals alike, including:
Raising the skill threshold for the Skilled Worker visa to graduate-level roles (RQF Level 6).
Increasing the minimum salary threshold to £41,700, with most roles requiring higher pay.
Strengthening compliance rules for universities sponsoring international students.
Expanding English language testing across more visa categories.
As immigration partner Rebecca Tester explains:
“Its clear aim was to restore control over the immigration system. So, it outlines various proposals aimed at significantly reducing net migration into the UK…But really the crux of it is that the UK government want employers to prioritise skills, training and development from within the domestic labour workforce rather than the reliance on overseas workers.”
Rebecca also highlights that some of these measures are already in force:
“Back in July, we had a major statement of changes to the immigration rules… increase[d] the required skilled level for a skilled worker, reverting back to the pre-Brexit position of requiring the skill level to be at level six, which basically means graduate level.”
The long(er) road to permanent settlement
Currently, migrants in work-related categories can apply for indefinite leave to remain (ILR) after five years of continuous residence. Under the new proposals, this period would extend to ten years, doubling the time before migrants gain long-term security. As Rebecca points out:
“One of the most controversial changes that was mooted within the white paper was the proposal to increase the standard qualifying period for permanent settlement in the UK from the five years it is currently to 10 years continuous residence.”
The government has also left open the possibility of applying the change retrospectively. “As soon as the white paper came out, I published a blog the next day saying it won’t be made retrospective,” immigration partner Alex Finch explains. “That very afternoon, the Home Secretary was asked in Parliament about whether it would be retrospective—and she wouldn’t confirm.”
The wider impact
Moving to a ten-year settlement track could make the UK an outlier internationally. Many countries, including most in Europe and Australia, retain a five-year residence requirement. Prolonging the qualifying period could have several knock-on effects:
Increased financial burden on migrants due to visa fees and surcharges.
Extended periods of uncertainty for families putting down roots in the UK.
Reduced competitiveness in attracting highly skilled workers, entrepreneurs, and innovators.
“To double that length is having a huge effect on [migrants],” explains Alex. “To make them apply for a 10-year period really will be, I think, something that will decrease the attractiveness of the UK as a hub for talent, which it is, and we want it to remain that way.”
What employers should do now
For businesses that rely on international expertise, these proposals demand forward planning. Practical steps include:
Encouraging eligible staff to apply for ILR now if they have already met the five-year requirement.
Reviewing recruitment and sponsorship strategies to ensure roles meet the new thresholds.
Communicating proactively with employees to reduce uncertainty and build trust.
Engaging in the consultation process to ensure the government hears the business perspective on maintaining the UK’s competitiveness.
“Stay informed of the changes. Be proactive in communicating with staff… monitor the legal changes, take advantage of any kind of resources out there to stay on top of the changes and if in doubt, seek some specialist advice.” —Rebecca Tester, Immigration Partner at Constantine Law
Looking ahead
The consultation on the white paper is expected later this year, with reforms likely to be finalised in early 2026. While the fine detail is still to come, the direction is clear: tighter controls, higher thresholds, and a longer path to settlement.
For employers, staying ahead of these developments will be critical—not only to manage compliance but also to reassure and retain the global talent that drives innovation and growth.