IMMIGRATION NEWS WEEKLY ROUNDUP

In a welcome turn of events this week, plans to drastically limit graduate visas. It allows foreign students to work in the United Kingdom for up to two years after completing their studies, appear likely to be scrapped by the Prime minister following strong resistance from cabinet members.

Initially, there were considerations to restrict or even eliminate the Graduate Visa route as a means of curbing immigration numbers. However, the Prime Minister is now anticipated to pursue more targeted reforms aimed at closing loopholes and preventing misuse of the immigration system.

The decision to retract the proposed changes has been aided by the Migration Advisory Committee's (MAC) swift review and report, which found no evidence of abuse within the scheme.

Nevertheless, the education sector is already voicing concerns. Former Ministers caution that without increased fees or funding, UK universities will face financial ruin.

University leaders and ex-Ministers are sounding the alarm, stating that the financial crisis confronting universities is more severe than indicated in the recent Office for Students report, which projected that 40% of universities in England would end the year in deficit. They emphasise that the incoming government will need to act swiftly to raise tuition fees or boost funding to prevent bankruptcies within the next two years.

Earlier this year, the government prohibited international students from bringing dependents with them. Coupled with rumours that the Graduate Visa might also be eliminated, this dealt a significant blow to the education sector, discouraging many overseas students from considering the UK and prompting them to explore other countries for higher education. The positive news regarding the Graduate Visa is expected to help restore confidence in the international student market.

In the job industry, UK government's decision to significantly raise the salary requirements for visas to curb immigration has been met with both support and criticism. While Prime Minister Rishi Sunak's assertion that the unprecedented influx of people into the country in 2022 was "far too high" resonates with those who favour stricter immigration control, others argue that the move may have unintended consequences. Home Secretary’s claim that the new regulations would reduce the number of eligible individuals entering the UK by 300,000 is a clear indication of the government's commitment to this policy. However, the question remains whether this approach will effectively address the underlying issues surrounding immigration and labour shortages in the UK.

The increased minimum earnings threshold of ￡38,700 for most visa applicants, which represents a nearly 50% rise from the previous ￡26,200 requirement, has raised concerns among various sectors. While certain professions, such as those in health and social care, and teachers on national pay scales, are exempt from this threshold, the exclusion of overseas care workers from bringing family dependents has been a point of contention. Critics, including the CBI and the Royal College of Nursing, have argued that the government's focus on reducing immigration numbers has overshadowed the pressing need to address labour shortages in key industries. The long-term impact of these revised rules on the UK's economy, public services, and social fabric will be closely monitored and debated in the coming year.

The UK Government's comprehensive plan released earlier this year to reduce net migration has begun to yield significant results, as evidenced by the latest UKVI report. The 25% decrease in visa applications across key routes during the first four months of 2024 suggests that the Home Secretary's package of measures is effectively addressing the issue of unsustainable migration levels. However, it is essential to consider the potential long-term implications of these changes on the UK's economy, education sector, and international reputation.

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The tightening of student visa regulations, which has led to a 79% reduction in student dependent applications, may have unintended consequences for the UK's higher education sector. International students contribute significantly to the economy through tuition fees and living expenses, and the new rules may deter prospective students from choosing the UK as their study destination. While the Government's intention to prevent the misuse of student visas as a backdoor to work in the UK is understandable, it is crucial to strike a balance between maintaining the integrity of the immigration system and ensuring that the UK remains an attractive destination for genuine international students. The impact of these measures on the quality and diversity of the UK's higher education sector will need to be closely monitored and evaluated in the coming time.

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HJT's timely course on Skilled Workers and Global Business Mobility is a must-attend for companies with international workforces and their advisors, especially in light of the UK government's comprehensive plan to reduce net migration and its significant impact on work and student visa schemes. Led by expert Sacha Wooldridge, the course will provide invaluable insights on making successful applications for skilled workers and Global Business Mobility transfers, ensuring compliance with the revamped UK sponsorship scheme, and exploring the Graduate route as an alternative, unsponsored source of workers.? For more information on the course or to register, click here

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