- with readers working within the Insurance industries
In the forthcoming overhaul of UK immigration, major changes will affect the rules on indefinite leave to remain or settlement. Implementation of the proposed "earned settlement" framework is planned to begin in April 2026. There is an open public consultation on the reform which will close at 11:59pm on 12 February 2026.
Substance of the reform
Following the 2025 Immigration White Paper, the government announced reform of the settlement system increasing the standard qualifying period for indefinite leave to remain from the current 5 years to 10 years. The reform will not affect partners of British citizens who already have the two distinct 5 and 10-year routes, or British Nationals (Overseas) from Hong Kong who will continue to qualify for settlement after 5 years of residence.
The "earned settlement" framework will work as a points-based system, giving additional credits to high earners and people employed in the core public services (such as education and health) and penalising those who are on low income, claimed from public funds, had been in breach of immigration laws or had been given permission to stay after arriving in the UK as visitors. The system will also give some credit to native English speakers and those who pass the English language test at C1 level.
Positive Attributes reducing the qualifying period
The table below shows how the proposed 10-year baseline period may be reduced by up to 7 years
| Pillar | Attribute | Adjustment to baseline qualifying periods |
| Integration | Applicant has competency in English language at C1 Level under the Common European Framework of Reference for Languages | Minus 1 year |
| Contribution | Applicant has earned a taxable income of £125,140 for 3 years immediately prior to applying for settlement | Minus 7 years |
| Contribution | Applicant has earned a taxable income of £50,270 for 3 years immediately prior to applying for settlement | Minus 5 years |
| Contribution | Applicant has been employed in a specified public service occupation for 5 years | Minus 5 years |
| Contribution | Applicant has worked in the community (volunteering, etc) | Minus 3-5 years |
| Entry and residence | Applicant holds a permission as the parent/partner/child of a British citizen and meets core family requirements Not subject to consultation | Minus 5 years Not subject to consultation |
| Entry and residence | Applicant holds a permission granted under the British National Overseas route Not subject to consultation | Minus 5 years Not subject to consultation |
| Entry and residence | Applicant has 3 years continuous residence as the holder of a permission as a Global Talent worker or Innovator Founder | Minus 7 years |
| Entry and residence | Acknowledgement of specific and vulnerable groups having a reduction | Subject to consultation |
Negative attributes increasing the qualifying period
Negative considerations that will increase the baseline qualifying period by up to 20 years. Note: only one of the listed considerations (i.e. the one that causes the largest increase) would be applied in the case of any single application. This will take precedence over any reduction to the baseline.
| Pillar | Attribute | Adjustment to baseline qualifying periods |
| Contribution | Applicant has been in receipt of public funds for less than 12 months during route to settlement | Plus 5 years |
| Contribution | Applicant has been in receipt of public funds for more than 12 months during route to settlement | Plus 10 years |
| Entry and residence | Applicant arrived in the UK illegally e.g. via small boat/clandestine | Plus up to 20 years |
| Entry and residence | Applicant entered the UK on a visit visa | Plus up to 20 years |
| Entry and residence | Applicant has overstayed a permission for 6 months or more | Plus up to 20 years |
Consultation points
A consultation is underway seeking pubic views on how the proposed positive and negative criteria for earned settlement should be assessed and who should be exempt from the assessment.
In particular, the proposal does not mention dependants of workers and other qualifying visa holders and the consultation seeks public views as to whether they should be allowed to settle with the main applicant or should score points for settlement in their own right.
The proposal does not specifically address victims of domestic abuse or bereaved partners who are granted settlement on application, but public view is sought as to whether this should remain without changes.
Public opinion is also sought with regard to the settlement period for people who worked in occupations below RQF level 6 and whether the standard qualifying period should be increased for them to 15 years. The consultation paper is characteristically vague and doesn't specify if this part of the consultation refers to sponsored skilled workers in occupations below RQF level 6 or to anyone in general (with the exception of partners of British citizens and BNOs from Hong Kong.
The government has not given details of any transitional arrangements and public view is sought as to whether any such arrangements should be put in place.
Another question concerns whether settled persons should be allowed to claim public funds or whether this should be a privilege reserved for citizens settled in the UK.
The new minimum mandatory requirements for settlement
| Pillar | Requirements |
| Suitability | The applicant must meet suitability requirements for an
application, as set out in Part Suitability of the Immigration
Rules) – for example, not having a criminal conviction.
The applicant has no current litigation, NHS, tax or other government debt. |
| Integration | The applicant must be able to evidence that they meet English
language requirements, which will be at B2 level under the Common
European Framework of Reference for Languages.
The applicant must be able to evidence that they have passed the Life in the UK test. |
| Contribution | Applicant has contributed to the Exchequer by having annual earnings above £12,570 for a minimum of 3 to 5 years (subject to consultation), in line with the current thresholds for paying income tax and National Insurance Contributions (NICs), or an alternative amount of income. |
These minimum income requirements will raise the benchmark for applicants on ancestry route, private life route and those applying under the long residence rule, as there are currently no specific requirements related to income in these categories.
The existing work related categories already have a higher minimum earnings requirements, but the new baseline 10-year period will affect those earning below £50,270 unless they are working in a core public sector.
Currently available routes which will be affected by the "earned settlement" scheme
In the table below X represents current requirements
| Route | Time in UK prior to settlement (years) | Continued Residence | Knowledge of English language | Life in the UK |
| Skilled Worker | 5 | X | At entry clearance | X |
| T2 minister of religion | 5 | X | At entry clearance | X |
| Representative of an overseas business | 5 | X | X | X |
| UK Ancestry | 5 | X | X | X |
| Global Talent | 3-5 | X | X | X |
| Scale Up worker | 5 | X | At entry clearance | X |
| Innovator Founder | 3 | X | At entry clearance | X |
| International Sportsperson | 5 | X | X | X |
| Private Life (adult) | 10 | X | X | X |
| Protection | 5 | |||
| Long Residence | 10 | X | X | X |
| Discretionary leave | 10 |
Summary: practical implications of the earned settlement framework
It is clear that the new rules on settlement will affect current visa holders including those whose 5-year route status confirms their legitimate expectation to settle after 5 years of sponsored work.
It is expected that skilled workers who entered the route with a promise of settlement after 5 years should be covered by transitional arrangements, but this has not been confirmed and it is possible that this may not be the case.
The changes will have particularly harsh implications for applicants relying on the private life route as the basic qualifying period for them may become as long as 30 years and even so, subject to the minimum mandatory requirements as specified above. There are no provisions for those who do not meet the basic requirements and many people may never be able to qualify and will remain on temporary visas, or in a limbo status, forever.
The changes will not come into effect before 13 February 2026 (the first day after the consultation ends) and are unlikely to come into effect before March or April 2026 (allowing time for the consultation results to be taken into account).
It is recommended that those who qualify for indefinite leave to remain should make the application at the earliest opportunity. Whether the application is made using priority service or not will not have an impact on the outcome of the application. However, it should be noted that the standard processing time for ILR applications is up to six months and with a large influx of applications may be extended to even longer. The application is considered as withdrawn if the applicant leaves the country, so applicants are unable to travel while the application is pending. Nor is there an option of adding priority option to an application already submitted as standard.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
