UK's new immigration rule: Visa violators to face ban on hiring foreigners

Many British industries, particularly healthcare, IT, and hospitality, have increasingly turned to foreign labour. However, under the new rule, this trend could change

Businesses violating work visa rules will no longer be allowed to hire employees from abroad, under a new immigration plan revealed by Prime Minister Sir Keir Starmer on Tuesday.

In his speech at the Labour Party conference in Liverpool, the Prime Minister laid out his government’s strategy to curb migration and reduce Britain's dependence on foreign workers. He linked visa policies to skills shortages and market needs, stressing the importance of training young Britons rather than relying on foreign labour.

“Look, I have always accepted concerns about immigration are legitimate. It is, as a point of fact the policy of this government to reduce both net migration and our economic dependency upon it. I have never thought we should be relaxed about some sectors importing labour when there are millions of young people, ambitious and highly talented, who are desperate to work and contribute to their community," he said.

"Trust me there are plenty of examples of apprenticeship starts going down at the very same time that visa applications for the same skills are going up and so we will get tough on this," Starmer added.

New measures for businesses

Many British industries, particularly healthcare, IT, and hospitality, have increasingly turned to foreign labour. However, under the new rules, businesses caught flouting visa laws will be banned from hiring from abroad. Sir Keir emphasised that the government would continue to scrutinise current visa sponsors to ensure compliance with regulations.

The Prime Minister's plan also involves an annual assessment by the Migration Advisory Committee (MAC). This independent body will identify sectors with labour market failures that rely heavily on overseas recruitment. The MAC has already been tasked with reviewing the impact of visa rules introduced by the previous Conservative government, including restrictions on dependants and increased salary thresholds for obtaining work permits.

Labour's broader vision

During his speech, Sir Keir spoke of creating “a Britain built to last, built with respect and built with pride,” stressing that national renewal is a collective effort. He acknowledged that tough decisions in the short term would lead to long-term gains, but said there was “light at the end of this tunnel.”

The Labour government has also highlighted a £22 billion “black hole” in public finances, which they claim was inherited from the Conservatives. Controversial decisions, including the cut to winter fuel payments for millions of pensioners, have drawn criticism, along with a row over donations to senior Labour figures.

Changes to immigration rules since 2023

The UK government has implemented a string of measure to reduce immigration, focusing on controlling the influx of dependants, tightening work visa regulations, and reforming the student visa system:

Skilled worker visa threshold increase: The minimum salary for Skilled Worker visas has been raised from £26,200 to £38,700 by 2024, to encourage businesses to prioritise British workers.

Restriction on care worker visas: Overseas care workers under the Health and Care Worker visa route are no longer allowed to bring dependants unless they work in regulated services. This move seeks to relieve pressure on public services.

Graduate visa review: The government is reviewing the Graduate Visa route to prevent exploitation, particularly where international students switch to work visas before completing their studies.

Changes to family visa requirements: The income threshold for family visas will be aligned with the Skilled Worker visa threshold, reaching £38,700 to ensure sponsors can financially support family members.

Restrictions on student visas: Most international students will no longer be permitted to bring dependants, except for those in postgraduate research. This change is designed to tackle the sharp increase in dependants linked to student visas.

Immigration health surcharge increase: The Immigration Health Surcharge has risen from £624 to £1,035 per year, ensuring that migrants contribute more towards public services like the NHS.

Visa applications in 2023-2024

The total number of visa applications in 2023 was 1,126,500, while the total number of visa applications in 2024 (up to August) was 493,700. Here's the breakdown:

Here is the total number of visa applications for each category in 2023 and 2024:

2023:

Skilled Worker (Main Applicants): 70,300

Skilled Worker (Dependants): 54,600

Health and Care Worker (Main Applicants): 1,58,100

Health and Care Worker (Dependants): 2,24,600

Sponsored Study (Main Applicants): 4,73,500

Sponsored Study (Dependants): 1,45,400

2024 (up to August)

Skilled Worker (Main Applicants): 52,800

Skilled Worker (Dependants): 47,600

Health and Care Worker (Main Applicants): 23,300

Health and Care Worker (Dependants): 75,800

Sponsored Study (Main Applicants): 2,78,700

Sponsored Study (Dependants): 15,500

Since the UK government introduced stringent measures to curb immigration, there has been a sharp fall in the number of applications, according to UK Home Office:

Skilled Worker (Main Applicants): 14.3% decline

Skilled Worker (Dependants): 33.0% decline

Health and Care Worker (Main Applicants): 79.7% decline

Health and Care Worker (Dependants): 46.9% decline

Sponsored Study (Main Applicants): 16.6% decline

Sponsored Study (Dependants): 83.4% decline

Skilled Worker (Main Applicants): 24.9% decline

Skilled Worker (Dependants): 12.8% decline

Health and Care Worker (Main Applicants): 85.3% decline

Health and Care Worker (Dependants): 66.3% decline

Sponsored Study (Main Applicants): 41.1% decline

Sponsored Study (Dependants): 89.3% decline