July 2025 UK Immigration Changes: What Employers Need to Know

July 2025 UK Immigration Changes: What Employers Need to Know
Sherena Lawrence
Legally reviewed by: Sherena Lawrence In: Immigration

July 2025 UK Immigration Changes

On 22 July 2025, a second wave of significant reforms to the UK immigration system will come into force. These changes follow the government’s earlier announcements and form part of a broader effort to reduce net migration and reshape the sponsored work route. While updates to salary thresholds under the Skilled Worker visa have already been introduced, the upcoming changes reach further. Employers need to understand not only the evolving eligibility criteria, but also the wider policy implications and necessary preparatory steps.

We have previously outlined the salary changes introduced in April and July 2025 in our Skilled Worker salary threshold update article. This article now looks at the wider policy developments employers should be aware of.

Occupation List Changes and the RQF 6 Skill Requirement

One of the most significant updates is the increase in the required skill level for sponsored workers. From 22 July, only occupations classified at Regulated Qualifications Framework (RQF) Level 6 or above will qualify for sponsorship under the Skilled Worker route. This change removes eligibility from a large number of roles previously permitted at RQF Levels 3 to 5. The government has confirmed that around 180 job types will no longer be eligible for sponsorship as a result.

The move is intended to tighten the criteria for overseas recruitment, reflecting the policy goal of prioritising the domestic labour market. Roles that are no longer eligible include positions in social care, hospitality, and certain skilled trades, many of which previously fell under lower skill categories.

Employers currently sponsoring workers in affected roles should be aware that transitional arrangements may apply, allowing extensions and settlement for existing sponsored employees. However, new applicants will be subject to the new RQF 6 requirement.

Impacts on Other Sponsorship Routes

The July changes also extend beyond the Skilled Worker route. The Global Business Mobility and Scale-up routes will be affected by increased salary thresholds in line with the revised approach across the system. Employers using these routes must review their salary structures to ensure compliance from the implementation date.

In addition, changes to the Immigration Salary List (formerly the Shortage Occupation List) will remove discounted salary options for many roles. This further restricts flexibility for businesses looking to fill roles with overseas candidates.

Considerations for Indefinite Leave to Remain

Employers supporting employees through the path to settlement should note that the increased salary thresholds will also apply to Indefinite Leave to Remain (ILR) applications submitted from 22 July onwards. For many workers, this will mean needing to meet the new £38,700 threshold at the time of their settlement application, even if their initial sponsorship began under previous rules.

The Home Office has confirmed that some exceptions will apply, including for those in eligible roles before 4 April 2024 or those switching within permitted categories. Careful review of individual circumstances will be necessary.

What Employers Should Do Now

With these changes approaching, employers are advised to:

  • Review sponsored roles to ensure they meet the new skill and salary thresholds
  • Audit current and prospective Certificates of Sponsorship to confirm eligibility under the new rules
  • Update HR policies and procedures to reflect the new minimum salaries and skill levels
  • Consider submitting Certificates of Sponsorship before 22 July where roles may no longer qualify

Employers that rely on overseas recruitment should take early action to assess the impact of these changes. Delays or inaction could result in the loss of access to key talent, compliance risks, or missed opportunities for sponsorship.

Support and Advice for the July UK Immigration Changes

Cartwright King’s immigration solicitors can assist employers in navigating the upcoming reforms. Our team offers tailored advice on sponsorship compliance, workforce planning, and regulatory changes. If you require support ahead of the July changes, please contact us to discuss how we can help.

Legal Disclaimer

All advice is correct at time of publication.