(UNITED KINGDOM) The UK government has announced a sweeping overhaul of its immigration system that will sharply tighten routes to long-term stay and permanent settlement, with Indian nationals expected to feel some of the heaviest impact given their large presence in the country’s workforce and universities. The reforms, to be phased in from late 2025 through 2027, touch the Indefinite Leave to Remain pathway, the Skilled Worker visa, post-study options like the Graduate visa, and the costs and conditions tied to work sponsorship.
Delay to permanent settlement: Indefinite Leave to Remain (ILR)
At the heart of the package is a decisive move to delay permanent settlement. The qualifying period for Indefinite Leave to Remain (ILR) will be extended from five to ten years for most migrants.
- In some categories, waits could stretch to 15–20 years.
- For people who have been in the UK illegally or who have claimed certain benefits, officials are signalling possible waits of up to 30 years.
For thousands of Indians who had planned careers and family life around the current five-year route to ILR, the change means a much longer period of temporary status, repeated visa renewals, and higher total costs.
New contribution and checks before settlement
The Home Office is linking longer waits with a tougher test of who should be allowed to settle.
- The new system will bring in multiple checks beyond traditional residence and language requirements.
- Migrants will be asked to show consistent national insurance contributions, proving they have worked and paid taxes.
- Evidence of English language skills and even community volunteering will be required.
While details of how volunteering will be measured have not yet been set out in public guidance, the direction is clear: settlement will favour those who can prove long-term economic and social contribution.
Key point: Settlement criteria will increasingly weigh work/tax history, language ability, and community contribution, not just time spent in the UK.
Higher English requirements at entry
Language standards are rising at the entry stage for skilled migrants.
- From 8 January 2026, applicants for the Skilled Worker visa must meet level B2 English, up from B1 today.
- On the CEFR scale, this moves entry requirements to an upper-intermediate level, requiring stronger speaking, listening, reading, and writing skills.
This change will apply across sectors and is expected to particularly affect Indian professionals in health care, IT, and hospitality, where many candidates may not reach B2 on first attempt.
Dependants and spouses
Adult dependants will also face higher linguistic hurdles.
- Spouses and partners who previously could obtain visas with little or no proof of English will now need to show at least basic language ability.
- For Indian families where one partner speaks English fluently but the other has less exposure, this could mean extra time and money on lessons and recognised tests before the family can reunite or remain together.
Changes to student and post-study routes
The most visible change for students is to the post-study work route.
- From 1 January 2027, the standard Graduate visa will be cut from two years to 18 months for most applicants.
- Indian students currently make up one of the largest groups on this route, often using the full two-year window to gain UK work experience and switch into the Skilled Worker route.
The shorter stay will:
- Compress the timeline to find a sponsor.
- Leave less time to pass higher language tests and meet salary thresholds.
- Force students arriving in late 2026 or 2027 to plan an aggressive move into sponsored work from the first months of study.
High Potential Individual (HPI) route changes
The government is also reshaping more niche pathways.
- The High Potential Individual (HPI) route will see its list of eligible universities roughly double, opening entry to more foreign institutions.
- However, the route will now be capped at 8,000 places a year.
For Indian graduates from universities on the list, HPI still offers an attractive unsponsored route into the UK labour market, but competition for slots will be tighter. Graduates from universities not on the list will need to rely on standard student and Skilled Worker routes, which now carry tougher rules.
Costs to employers and the Immigration Skills Charge (ISC)
Employers who rely heavily on Indian talent will face higher costs.
- From December 2025, the Immigration Skills Charge (ISC) — a fee employers pay when sponsoring a worker — will rise by 32%.
- For large firms sponsoring many Skilled Workers, this increase represents a serious budget issue.
- Smaller businesses may decide they cannot afford to bring in overseas staff, particularly for mid-level or below degree-level roles.
Since Indians form a major share of sponsored workers in health, tech, retail, and social care, any pullback in sponsorship is likely to hit them first.
Restrictions on dependants for lower-skill roles
Family life will be strained further by limits on who can bring dependants.
- Skilled Workers whose jobs are below degree level will face much tighter conditions on spouses and children joining or staying with them.
- This will particularly affect Indian workers in care, retail supervision, and some technical trades that do not meet the degree-level benchmark but are vital to daily services.
Families may need to choose between one parent going to the UK alone or giving up a job offer altogether.
Political rationale and sector concerns
These measures sit within a broader plan by Prime Minister Keir Starmer to cut net migration and shift to a merit-based, contribution-driven system.
- Officials argue that longer waits for ILR, stronger English requirements, and higher costs will favour migrants who are both highly skilled and strongly rooted in the UK economy.
- Critics, especially in sectors depending on Indian workers and students, warn that the changes risk driving talent towards competitors such as Canada 🇨🇦, Australia, or Germany, where routes to permanent residence can be clearer and quicker.
What this means for current and prospective migrants
- Indian nationals already in the UK on work or study routes remain under existing rules until new dates take effect.
- Those planning to arrive from early 2026 onward will need to adjust expectations.
Examples:
- A student beginning a master’s course in autumn 2026 is likely to face the shorter Graduate route on completion, plus higher language and contribution hurdles before any hope of settlement.
- A new Skilled Worker visa holder arriving in 2026 may be looking at a decade or more of temporary status, multiple renewals, and rising fees before applying for ILR.
Practical advice and official guidance
People considering the UK are being urged by lawyers and advisers to:
- Study official guidance carefully.
- Plan finances for the long term.
- Prepare early for higher language tests and evidence of continuous economic contribution.
The main starting point for official information remains the UK government guidance on visas and immigration, which will be updated as detailed rules and transition arrangements are published:
For many Indian families, the choice will no longer be simply whether they can secure a visa, but whether they can manage a far longer and tougher journey before they can call the UK home.
The UK is overhauling immigration: ILR qualifying time will extend from five to ten years for most, with some categories facing up to 15–30 years. Skilled Worker entry language rises to B2 from January 2026. The Graduate visa shortens to 18 months from January 2027. Employers face a 32% ISC rise from December 2025. Reforms prioritize sustained economic and community contribution, disproportionately affecting Indian workers, students, families, and sponsoring employers.
