The UK Skilled Worker minimum salary increased on 4 April 2024

The UK Skilled Worker minimum salary increased on 4 April 2024
Salary
June 07, 2024
The UK Skilled Worker minimum salary increased on 4 April 2024

From April 4, 2024, the minimum salary threshold for skilled worker visa applications raised to £38,700 or higher for that type of role.

 

Roles will be as set out in the SOC (Standard Occupational Classification) 2020, instead of SOC 2010. This will result in changes to the occupation code number for some roles.

 

The Home Office has announced transitional salaries for individuals who already hold a Skilled Worker visa and apply to extend their permission or change employers in the UK.

 

For these individuals, the minimum salary threshold will be the higher of £29,000 (an increase from £26,200) or the going rate for the type of role, which will be based on the 25th percentile of the 2023 ASHE data. In most cases, this amounts to a 10-20% increase to the minimum salary requirement.

 

Salary threshold increases have different standard going rate and lower going rate it depends on occupation code, job type and related job titles. The table can be found on the website gov.uk.

 

Discounts for new members are saved

The Home Office has confirmed that the ‘new entrant’ salary discounts for Skilled Worker visa applicants will remain in certain cases. These include students switching to Skilled Worker, applicants under 26 years old, and those working towards full registration or chartered status.

 

The new entrant discount reduces the minimum salary threshold to either £30,960 per year or 70% of the going rate for the applicable SOC 2020 occupation code. For example, for occupation code 2134, the minimum salary would be £34,580. Both thresholds are significantly higher than before April 4th, 2024. This may exclude many graduate roles from sponsorship.

 

It is important to note that this discount can only be applied for a maximum of four years, including any time spent on a Graduate visa. After this period, individuals must meet the higher salary thresholds.

 

When applying for settlement, the full applicable going rate salary must be paid.

 

Skilled Worker route

Starting from April 4, 2024, there has been a significant increase in both general salary thresholds and going rates for Skilled Workers.

 

It’s important to note that the requirement to meet the minimum hourly rate of £10.75 has been removed. Applicants are now only required to meet either the general salary threshold or the going rate, whichever is higher.

 

1) Increase to general salary thresholds:

  • The general salary threshold will increase for newly sponsored as of April 4th. It will be:
  • £38,700 for those sponsored who do not qualify for a discount
  • £30,960 for new entrants and roles on the Immigration Salary list
  • £34,830 for those holding a relevant PhD
  • £29,000 for those sponsored under the Health & Care SOC route where their Code is not on the Immigration Salary List (ISL)
  • £23,200 for those sponsored under the Health & Care route where the SOC Code is on the ISL
  • £23,200 for those in pay scale occupations

 

  • For those already sponsored as a Skilled Worker prior to April 4, 2024, transitional provisions will apply. They will have a general salary threshold of £29,000 or £23,200 if they are new entrants or their role is on the previous Shortage Occupation List or New Immigration Salary list. The threshold is £26,100 for those with a relevant PhD.

 

2) Increase to going rates:

Salaries for Skilled Workers will rise from April 2024, based on latest ONS data, with significant increases to some SOC Code categories. Existing sponsored workers will also see salary increases. Health and Care visas and national pay scale occupations are exempt. The Shortage Occupation List is replaced by the Immigration Salary List, with a 20% discount for jobs on this list. Salary discounts for new entrants and PhD holders are retained, but against new median rates. National pay scales are also retained.

 

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