Post-Brexit UK: Visa Doors Open for Non-EU Workers

By Sanwar Ali:

The United Kingdom's shift in immigration policy, following its exit from the European Union, has significantly impacted the nation's workforce and job market. Changes to the points-based system and the Skilled Worker visa programme has opened up opportunities for non-EU workers, leading to a surge in the interest of overseas talent for UK jobs. This article delves into the implications of these changes for UK businesses, the process of obtaining a sponsor licence, and the costs involved.

1. The Era of Post-Brexit Immigration

Post-Brexit, businesses in the UK have had to adapt to significant changes in immigration policies. The UK's departure from the EU led to the launch of a new points-based immigration system in January 2021, radically transforming the landscape for overseas workers. The new points based immigration system has been instrumental in encouraging non-EU nationals to apply for UK visas.

1.1 Points-based System and Skilled Worker Visa

The points-based system is designed to attract skilled workers to the UK. It assigns points to applicants based on various criteria such as language proficiency, age, and job offer details.

The Skilled Worker visa category is a significant part of this new immigration system. It replaced the old Tier 2 route and lowered the skill and salary thresholds, making more roles eligible for sponsorship. Employers are no longer required to prove their inability to fill roles with domestic workers, simplifying the process of hiring overseas talent.

2. The Advent of the Health and Care Worker Visa

In February 2022, the UK government introduced the Health and Care Worker visa, a sub-category of the Skilled Worker route. It was added to the Shortage Occupation List (SOL), making it eligible for sponsorship. In the year ending June 2023, around 50% of visas granted under this category were for care workers and home carers. Indian nationals were the top nationality to be granted a visa in this category, indicating a significant interest from non-EU countries.

3. The Surge in Interest for UK Jobs

According to data provided by Indeed, one of the leading job search platforms, foreign interest in UK jobs has doubled since the launch of the points-based immigration system. The analysis showed that the share of job searches by foreign nationals increased to 5.5% in June 2023, compared to just 2.2% during the pandemic low point in April 2021. The roles attracting the most interest from overseas nationals were in the fields of social care and software development.

4. The Role of the Sponsor Licence in Hiring Overseas Talent

The surge in overseas interest for UK jobs presents an opportunity for UK businesses struggling with domestic labour shortages. However, to hire overseas talent, businesses need to obtain a sponsor licence. This licence allows businesses to sponsor overseas workers to come to the UK under the Skilled Worker and Temporary Worker categories.

4.1 Obtaining a Sponsor Licence

Applying for a sponsor licence requires businesses to demonstrate robust HR systems and processes to meet compliance duties. The process involves nominating personnel to manage the licence and uphold record-keeping and reporting requirements.

4.2 Navigating the Complexities of the Sponsor Licence Process

While the surge in overseas talent interest can be beneficial for businesses, navigating the sponsorship system for the first time can be daunting due to the complex requirements and high immigration fees. The UK's post-Brexit immigration system is expensive, with the government charging various fees that are among the highest globally.

5. The Costs of Hiring Overseas Workers

The exact costs of sponsoring overseas workers vary depending on several factors, including the length of sponsorship, the location of the visa application, and whether the employer intends to use any of the Home Office's priority services.

5.1 Typical Costs Involved

UK businesses need to budget for several costs when considering hiring overseas workers. These include the sponsor licence application fee, Certificate of Sponsorship (CoS) fee, Immigration Skills Charge (ISC), visa fees, and the Immigration Health Surcharge (IHS).

5.2 Keeping Costs Down

With the high Home Office fees set to increase further, many employers are exploring ways to manage costs while still recruiting overseas workers. Some businesses require employees to cover their visa and IHS fees, while others implement "clawback" agreements to recoup costs if employment terminates early.

6. The Rising Trend of Non-EU Migration

The data from Indeed supports the trend towards non-EU migration. The majority of the job searches (4.1% out of 5.5%) originated from non-EU regions, with India, Nigeria, South Africa, and Pakistan being the top locations.

7. The Impact of the Points-based System on UK Businesses

The new version of the points-based system has significantly impacted UK businesses and the job market. It has opened up opportunities for non-EU workers, leading to a surge in the interest of overseas talent for UK jobs. This has been particularly beneficial for businesses struggling to fill roles with domestic workers and considering international recruitment to help plug gaps in their workforce.

8. The Importance of Compliance and Sponsor Duties

Businesses that wish to take advantage of growing interest from overseas talent must ensure they are prepared to meet the strict compliance obligations placed on sponsors. The Home Office takes sponsor compliance very seriously, and unannounced compliance visits to business premises can happen at any time.

9. The Future of the UK's Workforce and Economy

The rise in the interest of overseas talent for UK jobs is an encouraging sign for the future of the UK's workforce and economy. The points-based immigration system and the Skilled Worker visa programme have made the UK an attractive destination for overseas workers, particularly from non-EU countries. This influx of international talent is expected to contribute to the UK's economic growth, diversity, and global competitiveness.

The UK's post-Brexit immigration policies have opened up new pathways for overseas talent, fostering a more diverse and skilled workforce. As businesses adapt to these changes, they are likely to benefit from the unique skills, perspectives, and innovation that international talent brings. However, navigating the complexities of the sponsor licence and the associated costs remains a challenge for many businesses.

How Workpermit.com Can Help with Sponsor Licences

If you need help with employing Skilled Workers and help to apply for a Sponsor Licence, including complying with your Sponsor Licence obligations, HR responsibilities, etc Workpermit.com can help.

For more information and advice, please contact us at 0344 991 9222 or at london@workpermit.com(link sends e-mail)