How the Skilled Worker Visa can help to combat the U.K. skills gap

6th October 2023

For some time now the U.K. has been struggling with a significant skills gap across multiple industries. This has made it increasingly difficult for organisations in sectors such as mechanical engineering, biomedical research and information technology to recruit talent from U.K. labour markets.

The result of this is that companies in these business areas are finding a heightened need to recruit workers from overseas in order to fill positions that are vacant. Although the rise in video conferencing technology becoming more commonplace in the work environment, has made this easier in certain roles, there are certain jobs within these industries and others for which a worker needs to be physically present.

Luckily, the U.K. immigration system has a visa which is designed to fit the needs of companies who find themselves in this situation. There are two elements which work together, one for the employer which is known as a sponsor licence, and one for the employee which is known as the Skilled worker visa.

The Sponsor Licence

Employers wishing to recruit skilled workers from overseas should apply for the sponsor licence in order to be able to sponsor workers to move to the U.K. and take up a post within their organisation.

The main purpose of obtaining this licence is that it allows the company to issue a certificate of sponsorship to the worker they intend to hire, which form a necessary part of the employees application for a skilled worker visa. The certificate needs to be issued to the new employee within 3 months prior to their application, otherwise it will be invalid and a new certificate must be issued.

The Skilled Worker Visa

The new employee will apply for the visa on their own behalf, and will need to ensure that along with the certificate of sponsorship from their employer, they have all other supporting documentation and meet the extra eligibility requirements in order to apply successfully.

Firstly, they must ensure that the job they have accepted is genuine and that they meet the requirements to fulfil the position. They may be asked to provide proof of their finances to show that they are able to support themselves financially when they arrive in the country. This could be in the form of bank statements or differing financial documentation. Further to this, they will need to meet a minimum income requirement, this is to show that they will be able to continue to financially support themselves when living in the U.K.

At the time of writing, the minimum required income is £25,600 annually for a role fulfilled with a skilled worker visa. This minimum is however subject to change if the ‘market rate’ within the U.K. is higher on average for that role than the stated minimum wage. Additionally, there are roles, such as those in education or healthcare, as well as certain positions within STEM (if the employee is at PhD level) or roles listed on the shortage occupation list for which the minimum income requirement may be waived.

There is also a list of occupations for which the skilled worker visa will be unsuitable. The U.K. government has identified a list containing 1,100 working roles which they consider ‘skilled work’ and, therefore, eligible for this visa. If the role falls outside of those contained on this list, the visa will not be suitable, so it’s important for both the employer and employee to be aware of whether the role they’re recruiting or applying for is suitable.

Workers applying for this visa will need to meet a minimum level of ability with the English language. Except for a few specific circumstances, they will be required to complete a speaking and listening test and receive at least a B1 level pass. The test must conform to the Secure English Language Testing Framework and can be obtained through providers such as IELTS or Trinity College London. As mentioned, there are some exceptions to this requirement.

If the employee’s country of origin has a majority which speak English as their first language, or they hold a higher education level qualification which was taught in English, they may not be required to take the proficiency test.

Fees

The fees which must be paid for this visa are split between the employer and employee. For the employer, they will be required to pay a different amount depending on the size of their organisation and the length of time they wish to employ an overseas worker for the role.

For small businesses and charities, they will need to pay £364 for the first 12 months they employ an overseas worker, and an additional £182 for every 6 months they continue to do so. For large scale businesses, these fees change to £1000 for the first 12 months, and an additional £500 for each 6 months proceeding this. These fees cover what is known as the immigration skills surcharge.

For the worker, the fees payable come from a mixture of application and processing fees, and the immigration health surcharge. Additionally, some of the fees will differ depending on whether the employee is applying from overseas, or is already resident in the U.K. under a different visa and will be switching to the skilled worker visa route. They are as follows:

Applying from outside the U.K. for up to 3 years – £625.

Applying from outside the U.K. for more than 3 years – £1235.

Applying from within the U.K. for up to 3 years – £719.

Applying from within the U.K. for more than 3 years – £1423.

Applying for a role on the shortage occupations list – £479 for up to 3 years, £943 for more than 3 years.

At present, the immigration health surcharge is an annual fee of £624.

The maximum eligibility period for the skilled worker visa is 5 years, although it can be extended for a further period if a worker intends to hold their position longer before returning to their home nation. Additionally, the skilled worker visa does grant the worker eligibility to apply for indefinite leave to remain after 5 years should they wish to make the U.K. their permanent home and move towards citizenship.

While it is possible for both the employer and employee to make their applications personally, it may be beneficial for them to seek the advice of a legal professional with experience in immigration law. This will help to ensure that they are able to navigate what can become a complex process smoothly.