UK plan to extend settlement wait to 10 years raises retention challenge for AI employers

UK plan to extend settlement wait to 10 years raises retention challenge for AI employers

N
News Editor
2026-09-15 07:31:10
The UK government is preparing a proposed reform to its points-based settlement system, due to be released in November 2025, that would extend the standard path to permanent residency for most skilled migrants from five years to 10 years. Some lower-skilled roles could face a wait of as long as 15 years. If adopted, the proposal would apply retrospectively, affecting engineers, researchers and data scientists already working in the country who had expected to qualify for settlement after five years under current rules. The proposal comes as the Home Office expects about 1.6 million people to settle in the UK between 2026 and 2030 under the existing framework, with the government seeking to slow that pace. Data cited in the report shows that in the year to December 2025, UK work visa issuance fell 19% year over year, while visas for IT professionals dropped 18%. With fewer new arrivals, retaining existing technology staff has become more important for employers. Yash Dubal, chief executive of immigration law firm AY&J Solicitors, said employers have already begun reviewing which workers could be affected before the rules are finalized, with priority given to those who may still qualify for settlement under the current system. The proposal also includes a mechanism allowing higher earners to shorten the waiting period based on salary level.

The UK government is set to publish a proposed overhaul of its points-based settlement system in November 2025, with plans to extend the standard waiting period for permanent residency for most skilled migrants from five years to 10 years. For some lower-skilled roles, the wait could stretch to 15 years.

Proposal would affect workers already in the UK

If approved, the reform would apply retrospectively. That would affect engineers, researchers and data scientists already working in the country who had expected to qualify for permanent residency after five years under the current rules.

Home Office forecast sits behind the policy push

The proposal comes against a Home Office estimate that about 1.6 million people would settle in the UK between 2026 and 2030 under the current framework. The government is seeking to slow that trend.

Falling visa numbers sharpen retention pressure

Data cited in the report shows that in the year to December 2025, the number of UK work visas issued fell 19% from a year earlier. Visas granted to IT professionals were down 18% over the same period. With fewer skilled workers entering the country, keeping existing technology staff has become more important for employers.

Law firm says employers are already reviewing exposure

Yash Dubal, chief executive of immigration law firm AY&J Solicitors, said employers had already begun assessing which staff members could be affected before the rules are finalized, and were prioritizing workers who may still be able to apply for permanent residency under the current system.

The proposal also includes a mechanism that would allow higher earners to shorten the waiting period based on salary level.

The report was cited by Techub News and attributed to Artificial Intelligence News.

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