Sweeping Changes to the Skilled Worker Route – What Employers Must Know Before 22 July 2025

On 1 July 2025, the Home Office released a significant Statement of Changes to the Immigration Rules, ushering in wide-ranging reforms to the Skilled Worker visa route. These changes, taking effect from 22 July 2025, are part of the government’s broader strategy, first outlined in its May 2025 White Paper, to reduce legal migration and reshape the sponsorship landscape.

From RQF Level 3 to 6: A Major Shift in Skills Criteria

One of the most impactful reforms is the raising of the minimum skill level for new Skilled Worker sponsorships from RQF Level 3 to RQF Level 6. This change restricts future sponsorship to degree-level roles only, effectively disqualifying around 180 previously eligible lower-skilled occupations from being newly sponsored under the Skilled Worker route.

What this means in practice:

Roles that fall below RQF Level 6 will no longer qualify for sponsorship, regardless of how high the salary is — unless:

  1. The role is listed on the new Temporary Shortage Occupation List (TSL) or the Immigration Salary List (ISL), and
  2. A Certificate of Sponsorship (CoS) is issued no later than 31 December 2026.

Even where the shortage lists apply, this is a strictly time-limited exception. The government has indicated that the 2026 cut-off could be brought forward at its discretion.

Impacted Roles: Common Occupations Losing Eligibility

Many job roles frequently relied on in hospitality, retail, logistics and other service sectors will no longer be eligible for new/overseas sponsorship. Some notable examples now relegated to Table 1a of Appendix Skilled Occupations, and therefore only sponsorable under transitional exceptions, include:

  • 5434 – Chefs
  • 1222 – Restaurant and Catering Managers
  • 1150 – Retail and Wholesale Managers
  • 1243 – Logistics Managers
  • 1253 – Hairdressing and Beauty Salon Managers
  • 7132 – Retail Sales Supervisors

These roles are now classed as RQF Level 3–5 and will only remain eligible for sponsorship if:

  1. The employee already holds Skilled Worker status under pre-22 July rules, and
  2. They maintain continuous permission in the UK under the route (i.e. no breaks in status).

New applications for such roles cannot be made unless they also appear on the Temporary Shortage Occupation List.

Transitional Provisions for Existing Skilled Workers

The reforms include a crucial transitional carve-out for workers who are already in the UK under the Skilled Worker route before 22 July 2025, or who have a CoS assigned by that date.

These workers:

  • May continue to extend, switch sponsors, and change employers.
  • Can still be sponsored for roles below RQF Level 6 (subject to salary thresholds)
  • Are permitted to take supplementary employment in lower-skilled roles.

However, the Home Office has stated these transitional allowances “will not be in place indefinitely”, and they are subject to future review. Employers relying on workers in sub-degree roles should act now to secure continuity of sponsorship.

The Interim Temporary Shortage List: A Lifeline for Some Roles

To cushion the impact of the skill threshold hike, the government has published a Temporary Shortage Occupation List (TSL), a list of RQF 3–5 occupations that remain sponsorable on a temporary basis, provided a CoS is issued by 31 December 2026.

Examples of TSL-included roles:

  • 1243 – Logistics Managers
  • 3131 – IT Operations Technicians
  • 3533 – Financial and accounting technicians
  • 3554 – Advertising and marketing associate professionals
  • 3571 – Human resources and industrial relations officers
  • 4122 – Bookkeepers, payroll managers and wages clerks

These roles appear in Tables 1a/2aa/3a but remain sponsorable due to their listing on the TSL which is a critical distinction. Employers must ensure they understand which lower-skilled jobs are TSL-protected and act swiftly.

Increase in Salary Thresholds

The general salary threshold will rise from £38,700 to £41,700 per year. The minimum hourly rate will increase to £17.13, applicable across all options unless an exemption applies.

OptionMinimum Salary and % of Going Rate
A – General£41,700 and 100% of the going rate
B – PhD£37,500 and 90% of the going rate
C – PhD (STEM)£33,400 and 80% of the going rate
D – Immigration Salary List£33,400 and 100% of the going rate
E – New Entrants£33,400 and 70% of the going rate
F – Pre-April 2024 Skilled Workers£31,300 and 100% of the going rate
G – Pre-April 2024 Skilled Workers with PhD£28,200 and 90% of the going rate

Note that these are baseline figures, many roles particularly in Table 1, will require much higher going rates to qualify.

Limitations on Dependants for Lower-Skilled Workers

Skilled Worker migrants sponsored in lower-skilled roles (RQF 3–5) will no longer be allowed to bring dependants. This marks a significant shift and further reduces the attractiveness of sponsorship in those roles for prospective candidates and employers alike.

Immediate Action Points for Employers

  1. Review and, where appropriate, assign Certificates of Sponsorship (CoS) by 21 July 2025 – For vacancies that fall under RQF Level 3–5 and are currently eligible, assigning a CoS before the rule changes take effect may allow the application to be assessed under the existing criteria. Sponsors should ensure that the role, salary, and candidate all meet the requirements of the Immigration Rules as currently in force.
  1. Employers are encouraged to review their workforce plans to identify roles that may be affected by the upcoming changes. Where candidates currently meet the criteria for sponsorship, it may be advisable to progress applications in a timely manner, ensuring full compliance.
  2. Plan ahead for roles not covered by the new Immigration Salary or Temporary Shortage Lists – From 22 July 2025, only roles at RQF Level 6 or those listed on the relevant shortage lists will be eligible for new sponsorship. As the interim lists are time-limited (currently scheduled to end on 31 December 2026), sponsors should take this into account when planning recruitment and resourcing strategies beyond that date.
  3. Obtain legal advice on eligibility under the new rules
    Some job roles or candidate circumstances may require nuanced assessment under the revised framework. Sponsors are advised to seek legal guidance to ensure applications are properly structured.

How KTS Legal Can Help

These sweeping changes will affect recruitment strategies, sponsorship decisions, and compliance obligations. We strongly recommend that sponsors review their existing and future sponsorship arrangements now in preparation for the upcoming changes.

If you have any queries or require tailored advice, please do not hesitate to contact the Immigration Team at KTS Legal.

We kindly ask that you send your enquiries to info@ktslegal.com, and we will aim to respond within 2-3 working days.