Hiring 101 for start-ups: key legal considerations

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With any start-up, you’ll likely want to build a diverse and skilled team to bring your vision to life and to complement your own skill set as soon as you can.  This article explores some of the key points you’ll need think about as a first-time employer, to ensure that you’re legally compliant and that your business is protected.

1. Classification risk – employee, worker or consultant?

Whether someone is your employee is a matter of substance.  You may hear this called the ‘classification risk’.  In the UK, there are “employees”, “workers” and “consultants”, and the employment rights and tax treatment that attach to each varies.  Establishing which category an individual falls into can be tricky and consideration should be given to various factors.  For example, whether an individual is required to perform work personally, how much control you exert over them and whether they can provide a substitute in their place, will all go towards determining that individual’s employment status.  Generally speaking, the less freedom an individual has over how and when they work, the more likely it is that they’ll be employees.

Investors will be keen to see that you’re managing this risk and that you’re taking it seriously, as it goes towards some fundamental matters, such as accounting for tax, enforceability of terms and ownership of work product. (Generally speaking, IP created by an employee in the course of their employment belongs to the employer, whereas the contract will determine the position for contractors.)

2. Your obligations before you hire

Before you even hire an employee, you must carry out certain actions.  For example, you’ll need to ensure that the person you’re hiring has the right to work in the UK, you’ll need to consider your obligations to HMRC (including being established as an employer for payroll purposes) and you’ll need to ensure that you have minimum pension arrangements set up.  It’s also important that you have employers’ liability insurance in place; it’s a criminal offence not to.  Many new businesses outsource these tasks to payroll agents or accountants.

3. Employment contracts and policies

You’ll need to provide the new employee with an employment contract and ensure you have appropriate employment policies in place.  These are required for compliance and “best practice” purposes, but they also help to protect the business.  As such, you’ll need to consider IP, confidentiality and restrictive covenants (such as a non-compete provision). Not having these arrangements clearly documented can leave a business exposed, especially if an employee decides to leave to join a competitor; in such a case, you might have limited recourse against them if they try to damage your business.  If you’re hiring a contractor, rather than an employee, you should put in place a consultancy agreement.

4. Understanding statutory employment rights

If someone is an employee, they’ll have the benefit of employment statutory rights.  These are voluminous and include, for example, protections/rights in respect of dismissal, discrimination, sick pay, annual leave and family leave.  Our employment team continue to monitor developments around employment rights, sign up to our employment law newsletter. 

5. Additional requirements for international hires

If you’re looking at international hires, you’ll need to jump a few extra hurdles.  For example, you’ll need to consider the tax, immigration and regulatory issues of operating in another country, which employment laws apply and any data protection implications (especially where personal data is being transferred to another country). You may explore employer of record arrangements, but if doing so you’ll need to check these carefully. In particular, you should consider whether the company has IP ownership and recourse against the individual where appropriate, and whether there are any issues with such arrangements from a local law perspective.

6. Incentivising your employees

In terms of incentivisation, it’s typical for start-ups to use a mixture of cash and equity-based compensation (a 10% option pool isn’t uncommon). Read more about the options available

7. Founder arrangements

Finally, it’s always worth sense checking your founder arrangements.  Are these papered, and should they be? It’s sensible to cover off that IP is owned by the company (rather than by the creator). You may also wish to have provisions in place covering what will happen if a founder calls it quits, and how to deal with confidentiality.  That said, you should be conscious that investors will have their own requirements and so you’ll need to balance the possibility of replacing documents with how much time to spend on this at the outset.

Conclusion

Building your team, by hiring employees, is an exciting milestone for a start-up but it comes with legal and practical responsibilities that can’t be overlooked. From classification risk to contracts, compliance is key to protecting your business and reassuring investors.

At Forsters, our Corporate, Employment, and Immigration teams work together to provide start-ups and growing businesses with tailored advice on everything from structuring founder arrangements to managing international hires. Get in touch to find our how our expert guidance can help protect and grow your business.

This note reflects the law as at 12 December 2025. The circumstances of each case vary and this note should not be relied upon in place of specific legal advice.

Imminent changes to company register requirements

If you’re a company director, secretary, or responsible for statutory registers, new legal requirements are coming into force on 18 November 2025. These changes will affect how companies manage certain registers and what needs to be filed with Companies House. Here’s a quick overview to help you stay compliant.

What’s changing and why?

The Economic Crime and Corporate Transparency Act 2023 (ECCTA) is designed to tackle economic crime and boost transparency. ECCTA introduces several reforms – one of which directly impacts the statutory registers English companies must maintain.

While many companies won’t see major disruption, those handling company records and filings should take note and update their processes accordingly.

Key Changes Under ECCTA

1. Fewer Local Registers Required

From 18 November 2025, companies will no longer need to keep local copies of the following registers:

  • Directors
  • Directors’ residential addresses
  • Secretaries
  • Persons with Significant Control (PSCs)

Instead, this information must be filed directly with Companies House.

2. Local Register of Members is Still Mandatory

The register of members remains essential. It must be kept locally, either at the registered office or a designated inspection location and be available for public viewing (subject to Companies Act 2006 restrictions).

The register must include:

  • Full name and service address of each member
  • Date of becoming or ceasing to be a member
  • Shareholding details (number, class, and paid-up status)

Members must notify the company of any changes within two months. Failure to do so is a criminal offence and could lead to fines or imprisonment. If any change is made to the register, the company must retain the outdated information for 10 years.

Non-compliance without a reasonable excuse will be an offence.

Practical steps to take now

  • Audit your current registers to ensure accuracy and completeness.
  • Regularly confirm details with directors, secretaries, and members to avoid outdated information.
  • If your register of members is missing or incomplete, court approval may be needed to rectify it.
  • Keeping local registers for internal use is wise – they can help with future filings or queries.
  • If your company previously opted for a central register of members, create a new local register and include a note about the prior central record.

Other ECCTA updates to be aware of

Registered Office and Email Requirements
  • A company’s registered office must be an ‘appropriate address’ – correspondence must reach someone acting on behalf of the company.
  • Companies must file an ‘appropriate email address’ with Companies House for official communications.
Identity Verification for Directors, LLP Members, and PSCs

Starting 18 November 2025:

  • New directors, LLP members, and PSCs must verify their identity before appointment.
  • Existing individuals must complete verification before the next confirmation statement is filed after that date.

For more on identity verification, see our detailed client briefing.

Need help?

If you have questions or want to ensure your company is ready, please reach out to your usual Forsters contact or a member of our Corporate team.

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Imminent changes to company register requirements

If you’re a company director, secretary, or responsible for statutory registers, new legal requirements are coming into force on 18 November 2025.

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Five upcoming Home Office changes to UK sponsorship rules: a crucial immigration update for employers

The Home Office has announced imminent immigration changes that will directly affect employers with sponsorship responsibilities.

1. Immigration skills charge increase

Effective 16 December 2025, the Immigration Skills Charge (the amount sponsors must pay per year to sponsor individuals under work routes, including Skilled Workers) will increase by 32%.

Large sponsors will be required to pay £1,320 per year, an increase from the current £1,000 per year, whilst small or charitable sponsors will be required to pay £480 per year, an increase from the current £364 per year.

For large sponsors, for a five-year sponsorship, the total cost will increase to £6,600.

Recommended actions:

Employers are encouraged to review their upcoming hires and current workforce to identify individuals who may need visa sponsorship. Where feasible, applications should be brought forward to avoid higher costs. In addition, employers should assess how this increase may affect their immigration budgets and consider its potential impact on future recruitment and sponsorship planning.

2. English language requirement change

From 8 January 2026, the minimum English proficiency will rise from Level B1 on the Common European Framework of Reference for Languages (CEFR) to B2 CEFR. This change will only apply to individuals making their first applications, with those already holding permission in these routes able to extend without having to evidence this higher level of proficiency.

Other planned changes to English language requirements, including for work route dependants, are being deferred for the time being.

3. Graduate visa duration to be reduced

The Home Office has announced changes to the Graduate visa route, effective 1 January 2027.

The Graduate visa duration for non-PhD graduates will be reduced from two years to 18 months.

PhD graduates will continue to receive three years of permission under this route.

4. Expansion of the High Potential Individual route

The High Potential Individual (HPI) route enables recent graduates from selected international universities to live and work in the UK for up to two years.

As of 4 November 2025, the list of eligible universities has doubled in size, significantly widening access to this route. However, the Home Office has also introduced a new annual cap of 8,000 applications, meaning places will be limited each year.

5. E-visa transition

The UK continues in its transition to a digitalised immigration system, and the Home Office has announced the next phase involving the removal of 90-day vignette passport endorsements for most main applicants on non-work or study routes, as well as dependants of those on work and study routes which transitioned in July. Going forward, applicants will only be granted digital eVisas as opposed to physical immigration documents.

Recommended actions:

Employers should ensure that sponsored employees complete the following steps to maintain access to their immigration records and prove their right to work:

  • Create a UKVI account – Visit the GOV.UK eVisa portal and set up an online account.
  • Link existing immigration status – Follow the provided instructions to connect the individual’s current immigration status to their new account.
  • Keep personal information up to date – Check that passport details and other personal information are accurate, particularly ahead of any travel.
  • Generate and share status codes when needed – When proof of immigration status is required (e.g., for right-to-work checks or renting), log into the UKVI account to create a share code for the relevant third party to verify.

How we can help:

Forsters’ Immigration team provide tailored advice and practical solutions to support employers manage their sponsorship responsibilities. We help clients to navigate the ever changing landscape of UK sponsorship rules, ensuring both compliance and strategic alignment with your skills requirements. Get in touch with one of our team to discuss how these changes may impact your organisation and to receive bespoke support for your immigration needs.

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A crucial immigration update for employers

The Home Office has announced imminent immigration changes that will directly affect employers with sponsorship responsibilities.

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Major changes are coming to European travel with the launch of the EU’s new Entry/Exit System (EES)

Europe travel changes passport

The long-awaited digital Entry/Exit System (EES) will track the movements of non-EU nationals entering and leaving the Schengen Area (excluding Ireland and Cyprus), gradually replacing the traditional passport stamping process. It will apply to both visa-exempt travellers and those holding short-stay visas.

Implementation date

The EES will launch on 12 October 2025, followed by a phased rollout across 29 Schengen countries over six months, concluding in April 2026. During this transition, traditional passport checks and manual stamping will continue.

Registration and biometric data

British travellers entering the EU for the first time on or after this date will be required to register at designated self-service kiosks located in airports, ferry terminals, and train stations.

The registration process includes submitting biometric data, including passport information, facial recognition data, and fingerprint scans (note: children under 12 are exempt from fingerprinting). On future trips, travellers must use these kiosks to verify their identity through facial scans and passport checks.

Questions on arrival

Travellers will be required to provide information about their travel plans, including proof of accommodation, sufficient financial means, a return ticket, and valid travel insurance. Although these checks have been there since Brexit, enforcement has been inconsistent. However, starting 12 October 2025, these requirements will be strictly enforced. By automating entry and exit records, the system aims to enhance border security, reduce illegal overstays, and facilitate smoother travel experiences throughout the Schengen Zone.

Data retention

Records are retained for a period of three years following entry or exit. However, if an individual has overstayed beyond the permitted duration, their records will be stored for an extended period of five years to allow for additional monitoring and enforcement measures.

Implications

Longer queues are likely at first, especially at busy airports and ports. However, once registered, future crossings should be quicker. Some concerns have been raised about possible delays during the registration phase, particularly during peak travel times, as travellers adapt to the new system. This is inevitable.

UK Departure ports and EU airports

Folkestone

LeShuttle transports nearly ten million passengers annually between Folkestone and Coquelles in northern France, along with approximately 2.2 million passenger vehicles and 1.2 million freight trucks. Approximtely 70% of the travellers in passenger vehicles are British nationals. To accommodate the new EU Entry/Exit System (EES), Eurotunnel has installed 224 automated kiosks at Folkestone, with a similar setup at Coquelles for travellers departing France.

Upon arrival, drivers are directed into designated lanes—those holding EU passports can bypass the EES kiosks entirely. Non-EU travellers proceed to a covered processing area where vehicles are guided into numbered bays, each equipped with two kiosks. At this stage, all occupants must exit the vehicle to complete registration.

At the kiosks, travellers scan their passports and indicate whether they are non-EU citizens and if they require a visa. Individuals holding a European residence permit or long-stay visa are exempt from completing the EES process. Facial recognition and fingerprint scans are then taken (a firm press is recommended for accurate fingerprint capture). Once registration is complete, travellers continue to a French border control officer who verifies the passport and cross-checks the EES data.

St Pancras International

At Eurostar’s London terminal, 49 EES kiosks are strategically located in three areas: adjacent to the ticket office in the departure zone, near the Thameslink platforms, and on the upper concourse. Additionally, Gare du Nord in Paris is equipped with 18 kiosks.

Starting 12 October, only business-class passengers and frequent Eurostar travelers will be required to complete the EES registration. The process will be extended to all other passengers beginning 12 January 2026, although Eurostar has indicated that registration will be available for all travellers during quieter periods. To manage congestion, the system can be temporarily disabled as a “fire break” if the St Pancras terminal becomes overcrowded during peak times. Eurostar advises passengers to maintain the current recommendation of arriving 75 minutes prior to departure, with staff available to guide travellers to the kiosks.

The registration procedure at Eurostar mirrors that at Folkestone: passengers scan their passports, confirm their EU status, and submit biometric data. However, Eurostar requires passengers to respond to questions about their accommodation, return travel plans, financial means, and insurance coverage. Respondents can select “Yes,” “No,” or “Don’t know” for each query but are cautioned that their answers are legally binding and that they may be asked to provide supporting documentation.

Passengers who do not answer “Yes” to all questions will be unable to access the automated European border e-gates in the Eurostar departure hall. Instead, they will be directed to a French border officer for additional questioning, though this does not necessarily result in denial of entry.

The EU has clarified that medical insurance is not mandatory, as many UK travellers will continue to rely on their UK Global Health Insurance Card for coverage during their stay in Europe.

Dover

The system at Dover will function similarly to the procedures in place at Folkestone and St Pancras. It remains uncertain whether ferry passengers departing from Dover will be required to respond to the four standard questions.

EU airports

At European airports, EES registration typically occurs upon arrival rather than at the point of departure. This process is usually conducted via self-service kiosks; however, at smaller airports, registration may take place at immigration desks where biometric data, including fingerprints and facial scans, can be collected.

Be prepared

  • Ensure you arrive well in advance for your first journey after 12 October.
  • Carry all necessary supporting documentation, such as proof of accommodation and return travel arrangements.
  • Remain informed by consulting official updates from EU and national border authorities.

How we can help

If you need tailored immigration advice, our team of experts is here to help. We work with both employers and individuals across the whole spectrum of immigration needs, taking a pragmatic and sensitive approach to make the process as smooth and swift as possible. Get in touch with one of our team to find out how these latest announcements will impact you or your workforce.

Major changes are coming to European travel with the launch of the EU’s new Entry/Exit System (EES)

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Getting ahead of the Indefinite Leave to Remain shake up

Indefinite Leave to Remain plane over London

In response to mounting pressure, the Home Secretary, the Rt Hon Shabana Mahmood MP, announced new reforms to the qualification criteria for Indefinite Leave to Remain (ILR) in the UK on 29 September 2025. These changes, originally signposted in the May 2025 Immigration White Paper, are part of a broader effort to tighten immigration controls, promote social cohesion, and ease the strain on public resources.

Central to the reforms is a move towards a contribution-based model for settlement. This would see the standard residence requirement for ILR rise from the current five years to ten years of lawful stay in the UK.

The proposed system would introduce some flexibility. Migrants who meet specific criteria -such as income thresholds or active community involvement -may be eligible to apply for settlement sooner than the ten-year mark. In contrast, those who do not satisfy the new standards could face longer waiting times or risk being denied settlement altogether.

To be considered under the proposed new framework, applicants must prove:

  • ongoing employment
  • a minimum level of National Insurance contributions
  • no history of relying on public benefits
  • strong English language skills
  • a clean criminal record
  • demonstrable community contributions such as volunteering.

A public consultation is scheduled to take place before the end of 2025 to gather feedback on the proposed changes.

When will the changes to ILR come in?

Currently there is no proposed timeline for when these proposed changes to ILR will come into force.

At this stage, it also remains unclear whether these rules will affect individuals already on a settlement pathway, though this is expected to be clarified during the consultation period.

What should you do now?

The current qualification criteria for Indefinite Leave to Remain (ILR) are still in place, but change is on its way. Therefore, if you are eligible for ILR or already hold ILR and meet the criteria for British citizenship, we strongly recommended that you submit your application for ILR or citizenship as soon as possible. Acting now means you won’t be affected by any future changes regarding ILR eligibility.

How we can help

With a proven track record of success in managing complex cases, Forsters’ immigration team would be pleased to provide a comprehensive assessment of your eligibility and assist you with your UK settlement requirements.

Getting ahead of the Indefinite Leave to Remain shake up

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Settled Status simplified – but don’t rely on automatic approval

While the UK Government recently announced broad reforms to tighten the country’s immigration and nationality laws in its White Paper published on 12 May 2025, the legal protections for EU citizens and their family members have quietly become even more generous, with changes effective since 16 July 2025.

Appendix EU – the legislation forming the legal framework of the EU Settlement Scheme (EUSS) has long been considered one of the most generous parts of UK immigration law. Since Brexit, it has undergone several changes, each aimed at improving and expanding the rights of EU citizens and their families.

Despite already being one of the most flexible and inclusive immigration routes in the UK, Appendix EU continues to evolve, offering even greater benefits to those it protects.

Existing benefits of the EUSS:

  • Children under 21 are automatically considered dependent.
  • EEA citizens may bring their spouses, unmarried partners, overage dependents (e.g. parents), and stepchildren to the UK.
  • Pre-Settled and Settled Status are not lost unless there is a continuous absence from the UK of more than five years (or four years for Swiss nationals).
  • Settled Status holders living outside the UK can preserve their status by making just one return to the UK during each five-year period.
  • Applications are free of charge and typically processed much faster than most other UK immigration routes.
  • Spousal reunification rules are more relaxed for marriages and relationships that began before Brexit.

Changes from 16 July 2025:

On 24 June 2025, the Home Office announced a significant change to how applicants can qualify for Settled Status, effective from 16 July 2025.

Previously, to qualify for Settled Status applicants needed to have lived continuously in the UK for five years, with allowed absences of up to six months in any 12-month period (or a single absence of up to 12 months for exceptional reasons such as serious illness, study, or work).

Under the new rules, applicants with Pre-Settled Status can now qualify for Settled Status if they have spent at least 30 months (2.5 years) in the UK during the most recent 60-month (5-year) period prior to applying.

This is a significant and generous change, particularly beneficial for:

  • Applicants unaware of the strict residence requirements
  • Individuals who experienced extended absences from the UK due to COVID-19 or personal circumstances.

However, it is important to note that this new provision does not apply to individuals who have already lost their Pre-Settled Status due to prolonged absences. Specifically, those who were absent from the UK for two continuous years and lost their status under the rules in place before 24 May 2024 will not benefit from this change.

Don’t rely on automatic Settled Status

The Home Office has previously stated that Settled Status will be granted automatically to eligible individuals whose UK residency can be verified through HMRC records. However, this process is not always reliable, particularly for those without a regular UK employment history or have spent significant time outside the UK.   

We have seen numerous cases where individuals expected to receive Settled Status automatically but were instead required to submit a manual application. Therefore, we strongly recommend submitting a formal application for Settled Status rather than waiting for it to be granted automatically.

How we can help

Our experienced immigration team regularly supports EU nationals and their families with tailored immigration advice and securing successful outcomes. If your circumstances are more complex, we can help you build a clear and compelling case, ensuring the Home Office has the documentation it needs to grant Settled Status.

Get in touch with us today to discuss how we can support you make the most of these latest developments.

Settled Status simplified

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Forsters secures exceptional results in Chambers High Net Worth 2025

Chambers High Net Worth

Strong recognition across the board, including top-tier listing in new Landed Estates category

The 2025 edition of Chambers and Partners’ High Net Worth guide was published today, and the breadth and depth of Forsters’ expertise continues to be reflected throughout the rankings.

The guide, which ranks the leading professional advisors to the Private Wealth market based on extensive market research, recognises Forsters’ combination of established expertise, exceptional client care and up-and-coming talent, with clients saying: “Forsters has very high-calibre partners and excellent associates, with no weak links. They are resolute in pursuing their clients’ best interests while still being pleasant to deal with.” and “The team at Forsters have the ability to distil issues for clients. They are technically excellent, but it is their delivery and distilling of messages to clients which makes them a cut above.”

Forsters was ranked in six practices areas, with Band 1 listings for:

And Band 2 listings for:

Overall, we received 31 individual rankings, with highlights including:

Band 1

In the specialist Spotlight tables, Joanne Edwards was selected for the Family/Matrimonial: Mediators – UK category, while Nicholas Jacob and Daniel Ugur were named in the Foreign expert for Singapore Spotlight.

New and elevated individual rankings:

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Your essential guide to UK Immigration reforms now in place

Immigration Reforms Guide

The UK government’s Statement of Changes, effective from 22 July 2025, introduces substantial reforms across several immigration routes, with particular focus on the Skilled Worker route.

These immediate adjustments align with the government’s broader strategy to reduce net migration, as outlined in the Immigration White Paper published in May.

Skills threshold

  • The minimum skill level for eligible occupations under the Skilled Worker route has been raised. Job roles will need to be at least degree level, meaning positions will now require bachelor’s degree or equivalent. This change effectively removes a significant number of roles that no longer qualify for sponsorship.
  • As a result, approximately 180 eligible occupations have been excluded from the route, potentially having a significant impact on employers seeking to sponsor migrant workers for roles below degree level.
  • However, there is some flexibility. Applicants who are already in the system or who have a pending successful application can still be sponsored in lower-skilled occupations after the changes take effect.

Salary thresholds

Skilled worker

  • From 22 July, the general salary threshold for a Skilled Worker application has increased to £41,700.00 (previously £38,700.00).

Discounted rates are available for:

  • PhD roles: £37,500.00.
  • STEM PhDs, new entrants, and roles on the Immigration Salary List: £33,400.00.

Transitional provisions

  • For those granted Skilled Worker permission before 4 April 2024, the general salary threshold will be £31,300.00.
  • Discounted salary thresholds will apply as follows:
    • PhD holders: £23,200.00.
    • STEM PhDs, new entrants, and those listed in the Immigration Salary List: £25,000.00.

Global Business Mobility

  • The salary threshold for the Global Business Mobility route has increased to £52,500.00 (previously £48,500.00).
  • It is crucial to note that the gross annual salary offered must meet or exceed either the general salary threshold or the specific going rate for the role, whichever is higher. The UK government plans to review these thresholds annually using data from the Annual Survey of Hours and Earnings (ASHE).

End-of-year immigration updates

Several other significant immigration changes are expected before the end of 2025, including:

  • A 32% increase in the Immigration Skills Charge, which will raise long-term sponsorship costs.
  • Stricter English language requirements for both primary applicants and dependants.
  • A new family immigration policy introducing tighter relationship criteria, financial thresholds, and language requirements.

Employer’s actions

  • Re-evaluate skill levels and job eligibility: Verify that all sponsored positions meet the updated RQF Level 6 (degree-level) requirements.
  • Adjust salary thresholds: Update contracts, budgets, and payroll systems to reflect the new salary levels starting 22 July. Note that transitional arrangements will not apply to these salary changes.
  • Prepare for transitional measures: Assess your workforce to identify employees impacted by transitional rules, ensuring that there are no disruptions to visa status.
  • Revise recruitment and workforce plans: The new Temporary Shortage List will be temporary and conditional. Employers will be expected to focus more on local recruitment. It’s also a good time to review and strengthen training and reskilling programs to align with government priorities and future sponsorship needs.
  • Inform your employees: Make sure your current sponsored workers are informed of the upcoming changes and how these could affect their immigration status.

If you need personalized immigration advice, our team of experts is here to support you. We assist both employers and individuals across the full spectrum of immigration matters, providing practical, sensitive guidance to ensure a smooth and efficient process. Contact one of our team members to discuss how these changes may affect you or your workforce.

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UK Immigration reforms now in place

Your essential guide to the UK government’s Statement of Changes, effective from 22 July 2025.

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Looking beyond the headlines: Understanding the UK’s Immigration White Paper

Bird in flight

The government’s immigration white paper outlines substantial reforms to the UK’s immigration system, but are they really cause for concern for those looking to move to or remain in the country? And what should employers be thinking about when it comes to accessing international talent?

On 12 May 2025, the UK government released its immigration white paper, titled ‘Restoring Control Over the Immigration System’, outlining significant reforms. The Labour administration, led by Prime Minister Keir Starmer, aims to reduce net migration by 100,000 annually, by imposing stricter conditions for visa eligibility and shifting immigration access to a ‘contribution-based’ framework.

These immigration reforms have already led to significant public concern and media coverage. But while the changes have sparked alarm, it’s important to note that these are currently only proposals and not yet confirmed policies, and as such are subject to change and not yet enacted by Parliament.

In addition, these proposals will require rule changes and, in some cases, new legislation. The legislative process means that these proposals may take a considerable amount of time to pass through Parliament, particularly as they are likely to be strongly debated. The exact date for their implementation (if confirmed) is therefore unknown, and certainly not imminent.

It is also important to note that previous governments have suggested equally radical changes over the years, some of which get “adjusted” in less media-seeking ways. For example, we have already had changes to salary thresholds and qualification requirements.  Many of these changes come full-circle over time.  Interestingly too, many policy changes are simply introduced without the need for primary legislation, and changes can and are made regularly and without making headline news.

Key changes proposed

Skilled Worker visa reforms

  • Qualification requirements: the skill threshold for Skilled Worker visas is to be raised, restoring it from RQF Level 3 (A level equivalent) back to its pre-Brexit position, RQF level 6 (graduate level). This means that applicants will need to hold a university degree or equivalent to apply for a Skilled Worker visa. Roles below this skill level must be on the Temporary Shortage Occupation List, subject to sectoral review to qualify for sponsorship.
  • Salary threshold: a new, higher salary threshold is proposed, with consultations ongoing.
  • Immigration Skills Charge: this will increase by 32%, bringing it in line with inflation. Despite requests from business, there is no reinvestment or visibility of how ISC funds are used.
  • Immigration Salary List: this is to be abolished and the Migration Advisory Committee (MAC) is to undertake a review of salary requirements.
  • Domestic talent: employers will be incentivised to invest in boosting domestic talent. Employers who fail to invest in skills training for the resident workforce may be restricted from sponsoring overseas workers.

Graduate Route Adjustments

  • Visa duration: the Graduate visa will be reduced from two years to 18 months.
  • Dependants: restrictions on bringing dependants during this period will be implemented.
  • High Potential Individual (HPI) route: there is a proposal to expand the HPI route to allow graduates of world-leading overseas universities to work in the UK.

Social Care and lower skilled work

  • Care Worker visas: new applications for care worker visas will be closed, though existing visa holders will benefit from transitional arrangements and may renew or switch visas during a transitional period.
  • Sponsorship for lower-skilled roles: this will be time-limited, may be subject to a cap and will only be permitted for occupations where:
    • the MAC has advised it is justified
    • there have been long-term shortages
    • there is a workforce strategy in place and
    • employers wanting to recruit from abroad are committed to increasing recruitment from the domestic workforce.

English Language

  • Language proficiency: there will be increased English language requirements for all visa categories. Level B2 will be required for all main applicants and dependants must meet A1 and progress for settlement. Existing settlement language requirements would be increased across most immigration routes from level B1 to level B2 (Independent User).

Settlement, also known as Indefinite Leave to Remain (ILR)

  • Time required to obtain ILR: the time required to attain settled status will double from five to ten years. A fast-track route under a contribution-based model is being considered.
  • A shorter pathway to settlement: this will remain for non‐UK dependants of British citizens, maintaining a five‐year qualifying period provided compliance with established requirements is demonstrated, along with safeguards for vulnerable groups (including settlement rights for victims of domestic violence and abuse).

Citizenship

  • Changes to the Citizenship process will mirror the new settlement pathway as outlined above.
  • Life in the UK test: the current Life in the UK test will be reviewed and ‘refreshed’.

Family Route

  • Requirements will be imposed so that incoming family migrants must demonstrate an appropriate level of English language proficiency.
  • The financial requirements under Appendix FM will be extended to other dependant routes.
  • Article 8 of the Human Rights Act (the right to a family and private life) discretion will be narrowed.
  • Clarification will be made to the Article 8 rules to set out how they should apply in different immigration routes so that fewer cases are treated as “exceptional”, and to set out when and how a person can genuinely make a claim on the basis of  “exceptional circumstances”.

Enforcement

  • Visa revocation powers will be expanded to cover non-custodial convictions; and increased compliance activity is to be expected.

Conclusion

The white paper represents a significant shift in UK immigration policy, focusing on reducing net migration and prioritising high-skilled workers. While some sectors may benefit from streamlined processes, others, particularly in healthcare and education, may face challenges due to the proposed changes. The government’s approach reflects a balance between controlling immigration and addressing sectoral needs, though its long-term impact remains to be seen.

Whilst the headlines may have suggested cause for concern, it important to note that these proposals are not yet confirmed policies. There will be time for both employers and individuals to plan ahead as the proposed changes make their way through Parliament.  

In a similar vein, there are various rumours relating to the introduction of a new investor visa encouraging investment into businesses in the UK with particular focus on AI, in exchange for residence in the UK.   Various prototypes of such a scheme have been discussed at policy level for some time now, but again, these ideas have not progressed, and any form of investor visa is certainly not imminent. Currently the UK does not offer a wide variety of options, especially for wealthy individuals, but if you are considering relocating to the UK, we can help devise a strategy for you.

If you need tailored immigration advice, our team of experts is here to help. We work with both employers and individuals across the whole spectrum of immigration needs, taking a pragmatic and sensitive approach to make the process as smooth and swift as possible. Get in touch with one of our team to find out how these latest announcements will impact you or your workforce.

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Understanding the UK’s Immigration White Paper

The government’s immigration white paper outlines substantial reforms to the UK’s immigration system, but are they really cause for concern?

Download our PDF factsheet

“Erudite and highly personable” Tracy Evlogodis recognised in Spear’s 2025 Immigration Index

Forsters’ Head of Immigration, Tracy Evlogidis, has been listed as a top recommended immigration lawyer in the latest Spear’s Index. The index features the best immigration lawyers for high net worth individuals.  

Spear’s review recognises Tracy’s ability to handle “complex visa and citizenship applications for clients who include corporates, A-list celebrities and U/HNW individuals and families” and that “her clients tend to retain her long after their initial visa needs”.

One of Tracy’s career highlights, featured in the full review, is her role in being instructed by the organising committee of the London Olympics to manage most of the immigration work related to the event.

Please do get in touch with Tracy to discuss your immigration requirements.

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EU Settlement Scheme – Is the pre-settled status upgrade as simple as the Home Office claim?

You may have heard that the Home Office has recently announced changes to the EU Settlement Scheme (EUSS). One of these changes advertises an effortless immigration status upgrade for clients with pre-settled status who have lived in the UK for 5 years.

Though it sounds straightforward, we have looked at the guidance and advise clients to take caution, as the promise of an automatic upgrade may not be as simple as it seems…

What is pre-settled status?

Pre-settled status is an immigration status granted to individuals from the EU, Switzerland, Norway, Iceland or Liechtenstein who were living in the UK by 31 December 2020. Holders of pre-settled status are allowed to live in the UK for up to 5 years.

Most holders of pre-settled status will already be in the UK under this pathway, as the deadline for most people to apply was 30 June 2021. However, applicants who are family members of existing holders of pre-settled status, or individuals who can prove reasonable grounds for making a delayed application, can also apply for pre-settled status after the deadline.

What happens when your presettled status is due to expire?

Previously, at the expiry of your 5-year residence period, you were required to make a formal application to the Home Office for settled status. After that, you were permitted to remain in the UK indefinitely. If you did not make a formal application, your permission to reside in the UK would expire.

What are the changes?

The Home Office have introduced an automatic assessment process with effect from January 2025.

Anyone with pre-settled status who is approaching the end of their 5-year residence period will now receive an email confirming that the end of their residence period is approaching and they will be considered for an automatic conversion into settled status. The Home Office will then assess government records and grant an automatic upgrade to anyone that has clearly been in the UK for last 5 years. There is no longer a need to make a formal application. In theory, if you have been in the UK for 5 years with pre-settled status, you do not need to take any action in order to be upgraded to settled status.

The change is inspired by a High Court decision in February 2023 where it was found that people with pre-settled status should not lose protection over their residence rights simply because of the failure to make a further application within the timeframe.

What is the catch?

We understand that the automatic assessment process works by checking records held by government bodies such as HMRC, DWP and the NHS – and for many people such records are easily established.

However, many of our clients have incredibly busy lives, often travelling between different jurisdictions, with fluctuating tax liabilities and private access to healthcare and travel. In reality, for these types of clients, the paper trail could make it look like you haven’t been in the UK continuously.

The potential risks could be severe – not only might you miss the automatic upgrade, leaving minimal time to make an application to upgrade to settled status, there is a chance that the Home Office System could interpret you as not being resident in the UK when you needed to be.

How we can help

If you have pre settled status we would recommend that you take caution with the Home Office’s promise and consider making a voluntary application as usual. This can ensure that your rights of residence in the UK continue seamlessly and smoothly, without any stress at all.

With over 25 years of experience, our Immigration team are well placed to help you, so please do get in touch.

UK Government opens Electronic Travel Authorisation (ETA) scheme to non-European nationals

An ETA gives you permission to travel to the UK, providing digital evidence of pre-arrival clearance similar to those already in place in Australia, Canada, New Zealand and the USA. It does not constitute a visa or immigration permission.

All international travellers including non-visa nationals will need permission in advance to enter or transit through the UK with the exception of:

  • British nationals
  • Irish nationals
  • Individuals already holding a UK visa
  • Persons legally resident in Ireland who do not need a visa to visit the UK, if entering the UK from Ireland, Guernsey, Jersey and the Isle of Man.

Timing

The ETA has already been rolled out to Gulf Corporation Council visits and is now expected to open to eligible non-European visitors from 8 January 2025. Eligible European nationals will be able to apply for the ETA from 5 March 2025, with a mandatory requirement from 2 April 2025.

Why is the UK government introducing the ETA scheme?

At present, non-visa nationals do not require pre-clearance for short stays or transit through the UK and advance passenger information is restricted to that provided by carriers from flight date. This means that UK border control and law enforcement authorities have little information and time to assess whether a risk is posed in advance of an individual arriving in the UK. The ETA is intended to provide the UK with an opportunity to pre-assess whether a traveller presents a security or other risk, reduce queuing times on arrival and improve the arrival experience to the UK. The EU is due to implement a similar scheme called European Travel Information and Authorisation Scheme (ETIAS) in 2024 (deferred from November 2023) which will operate in a similar way to the ETA and will require UK citizens not holding a visa issued by an EU Member State to hold valid clearance prior to travel into the Schengen Area.

Applying for an ETA

The procedure is promised to be simple and fast. Applicants (including children) will need to apply by either using the UK ETA app, or by completing an online application form. Applicants will need to provide their personal details, passport information, travel itinerary, email address and answers to questions about criminal offences and immigration history. It is intended that applicants will eventually provide fingerprints remotely through the use of an app. The Home Office have been running feasibility trials of fingerprint self-upload technology. This information will be checked against Home Office systems and international security data to determine whether the individual is cleared for visa-free travel to the UK. The ETA application fee will cost £10 per applicant (the Government intend to increase this fee to £16. There is no date confirmed yet and it will need to go through parliamentary approval first).

Individuals will receive notification of ETA approval by way of email. It is advisable for travellers to carry a print out of this email with them when travelling to the UK. The ETA itself is not a physical document but will be electronically linked to the passport they applied with and this passport must be used for travel into the UK. ETA holders are expected to use the ePassport gates (if eligible) or see a Border Force officer when arriving in the UK.

An ETA will last for two years and can be used for multiple visits to the UK. If an individual renews their passport before their ETA expires, they will need to apply for a new ETA.

When to apply?

Applications will need to be submitted with sufficient time to present the ETA approval to their carrier before travelling to the UK. Decisions will typically be made within three working days of submission however decisions may take slightly longer if further checks are required. Travellers are advised to apply earlier if possible and not to book travel until the ETA has been approved.

What will happen if ETA approval is not secured before travelling to the UK?

All Airlines and travel carriers will be under an obligation to ensure they have checked a traveller’s ETA prior to departure to the UK. Individuals requiring an ETA who travel without one may face a penalty charge and delays on arrival at the UK border.

It will also be a criminal offence to knowingly arrive to the UK without an ETA if one is required.

What happens if an ETA is denied?

The Immigration Rules require that ETA must be refused where the applicant has previously been sentenced to imprisonment for more than 12 months, been convicted of a criminal offence within the previous 12 months, breached UK Immigration Rules in the past, or has other adverse character, conduct or associations, among other reasons.

If an ETA is refused, the individual will need to apply for either a standard visitor visa to visit the UK, a Temporary Work – Creative Worker visa to come to the UK as a creative worker, or a Transit visa, to transit through the UK. We would expect the Home Office to set out the reasons for refusal in writing, and these should be taken into account when preparing a visitor visa application.

For further information please contact our UK Immigration team, or your usual Forsters contact.

UK Government opens Electronic Travel Authorisation (ETA) scheme to non-European nationals

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Deadline looming for Biometric Residence Permit holders

UPDATE: The Government have stated that migrants should keep their expired BRP cards and that they may be able to use their expired BRP cards to travel to the UK until 31 March 2025 if both: their BRP expired on or after 31 December 2024, and if they still have permission to stay in the UK.

Biometric Residence Permits (‘BRP’) will expire at the end of the year. Understand what urgent action is required before 31 December 2024.

If your BRP expires on or before 31st December 2024, you don’t need to make an application for a BRP renewal of your physical card. Instead, you must register for a UK Visas and Immigration (‘UKVI’) account on the Home Office website before the end of the year, to access your eVisa. Failure to do so will create complications when trying to re-enter the UK in the new year.

If you hold a BRP card and have an eVisa you are not required to create a UKVI account and no further action is required.

Why is this happening?

The UK government is developing a fully digital Border and Immigration system. The Home Office is phasing out physical immigration documents including BRP cards by the end of 2024 and replacing this with an online records system in the form of eVisas.

What is an eVisa?

An eVisa is an online record of your immigration status and the conditions of your permission to enter or stay in the UK. In the future you’ll be able to use an eVisa to travel to the UK – you will not need to carry a physical document, except for your current passport, which must be registered to your UKVI account. Until the end of 2024 you will still need to carry your physical document when you travel, if you have one.

How do I access my eVisa?

You will need to create a UKVI account online to be able to access your eVisa. Updating your physical document to an eVisa does not affect your immigration status or conditions of your permission to enter or stay in the UK. There is no charge to create a UKVI account.

What happens when I create a UKVI account?

By registering for a UKVI account, you will be able to access an eVisa to prove your immigration status with a share code through the Home Office’s ‘View and Prove’ service. This share code will allow you to prove your right to work to an employer and your right to rent to a landlord. The share code can also be issued for other purposes, such as proving your right to study to educational institutions. These share codes can be used prior to the expiry of your physical BRP.

It is important to be aware that that individuals should still travel with their physical travel documents and visas until 31 December 2024.

How do I register for a UKVI account?

All existing Biometric Residence card holders must create an online UKVI account by 31 December 2024. To create a UKVI account, please follow the the link here.

What do I need to register for a UKVI account?

To create a UKVI account and access your eVisa, you will need:

    • Your date of birth

    • Your BRP number or Unique Application Number (UAN)

    • Your passport (if you do not have a BRP)

    • Access to an email address and mobile phone number

    • Access to a smart phone

Once you have created your UKVI account you will be able to view the details of your eVisa online, for example your type of permission, when it expires and your conditions of stay. You will also be able to update your personal details and register your passport in your UKVI account so that you can easily travel to and from the UK.

How we can help?

We can help you set up your UKVI account and access your eVisa ahead of the impending deadline or answer any queries you may have. Please do contact our Immigration team or your usual Forsters contact for assistance as soon as possible.

Deadline looming for Biometric Residence Permit holders

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