Here's a breakdown of what the UK’s Immigration White Paper means for tech startups hiring from abroad.

Key changes to skilled worker visas

From 22 July 2025, the minimum skill level for new Skilled Worker visas rises from RQF Level 3 (A-level equivalent) to RQF6 (degree-level). While existing Skilled Workers can renew visas, change sponsors, and carry out supplementary work at RQF3+, 111 occupations will no longer be eligible for new sponsorship from abroad.

Fortunately for the tech sector, roles are mostly deemed skilled enough to continue to qualify for Skilled Worker visas. Additionally, the government has published details of a new Temporary Shortage List which includes 52 occupations below RQF6, such as IT operations technicians, electricians and database administrators, which can still apply for new visas of up to five years until at least December 31, 2026. This is subject to reviews over the course of this year into which sectors affected will be able to provide evidence. 

The government expects sectors sponsoring people on the Temporary Shortage List, including tech, to develop strategies for training a domestic workforce to fill these roles in the future. Workers on this list cannot bring dependent family members. Similar curbs to dependant visas have made student and social care visas less attractive.

The Immigration Salary List also allows some occupations under RQF6 to be sponsored. It allows employers to pay a discounted general salary threshold for certain shortage occupations and has been expanded slightly to include 25 jobs. These occupations are currently on the list until 31 December 2026. However, the Immigration Salary List is due to be phased out. You can see which jobs are on the lists and which can still be sponsored on the regular Skilled Worker route here.

Minimum salary changes

From 22 July 2025, the minimum general salary for new Skilled Worker visas is rising from the current £38,700 to £41,700. The hourly rate will rise from £15.88 to £17.13. Minimum salary thresholds for other work visas, including discounts such as PhDs and New Entrants are also increasing by about eight percent due to inflation. There are changes to the going rate of pay that must also be met to sponsor workers.  You can find out more about minimum salary increases here.

The government has commissioned a fuller review of all work visa minimum salaries and discounts in the coming months, so we expect more changes. Any further increases would disproportionately hit startups and firms in regions that don’t pay London wages, but we don’t expect any special dispensations, except perhaps Northern Ireland where wages tend to be much lower.

Other significant changes expected this year

High Potential Individual (HPI) visa: the government has said it will double the number of qualifying universities for this route, which allows graduates from top global universities to work in the UK from the next academic year.

English Language Requirement: the English language requirement for Skilled Workers and settlement (in most cases) is set to increase this year. Family dependants will also face an English language requirement for the first time. Other work visas appear not to be affected by the requirement.

Immigration Skills Charge: employers can expect a hike of 32%.

New family policy framework: the government is reviewing the Minimum Income Requirement for UK citizens and settled people to bring family members to the UK.

Future immigration developments to watch out for

The UK government’s Immigration White Paper proposes other reforms, without any firm timeline.

Timescale to settlement: the most controversial proposal is to double five-year routes to settlement to 10 years. There will be “earned settlement” in shorter time frames for immigrants that contribute to the economy and society. Perhaps this will include much of the talent sponsored in the tech startup ecosystem. I expect Global Talent and Innovator Founder visas would not face longer settlement routes and perhaps other highly skilled work visas too. If employees are not settled after five years, companies may be looking at double the immigration costs otherwise.

Graduate visa: the Graduate visa is expected to be shortened from two years to 18 months. There is no mention of shortening the three years for those with a PhD on the Graduate route.

Highly skilled immigration: promises include increased research intern places, expanding Global Talent visa applications for design and science talent and a review of the Innovator Founder route.

Opening UK offices: the number of workers an overseas business can send to the UK to establish a presence is expected to double, benefiting the Expansion Worker route.

Refugee work routes: the government will explore allowing UNHCR-recognised refugees to apply for employment through existing skilled worker routes.

The Border Bill currently in the House of Lords is set to extend the right to work check framework to gig economy and zero-hour worker employers.

Home Office compliance enforcement and sanctions are increasing, so with all these other changes, keeping on top of compliance and all these upcoming changes will become more important than ever.

For more startup news, check out the other articles on the website, and subscribe to the magazine for free. Listen to The Cereal Entrepreneur podcast for more interviews with entrepreneurs and big-hitters in the startup ecosystem.