In May 2025, the UK Government announced plans to reshape eligibility for settlement and citizenship across some immigration routes. The change most clients are asking about is the proposal to replace the default 5-year qualifying period with a 10-year earned settlement requirement. This article covers what we know so far about this, and other related questions.
The Government's broad plan to reform the immigration system is set out in a White Paper published on 12 May 2025. In this article, we focus on earned settlement and earned citizenship proposals in the paper. For more information about other policy changes, including proposed changes to the Skilled Worker route, see our article UK government releases immigration White Paper aimed at lowering net migration.
What is the earned settlement proposal in the White Paper?
Under current arrangements, most individuals become eligible for settlement (also referred to as 'indefinite leave to remain' or 'ILR') after 5 years of continuous lawful residence in eligible immigration routes. However, the Government proposes to extend the default qualifying period to 10 years across work settlement routes and some other routes. This move is intended to ensure that settlement is not simply a matter of spending a continuous period in the UK, but a reflection of sustained contribution and integration.
The plan is for some individuals to be eligible to qualify for settlement in less than 10 years, if they 'earn' this through meeting specific points-based criteria relating to their contributions to the UK's economy and society.
There is no detail in the White Paper on what the points-based criteria might be, or what the minimum qualifying period for settlement may be (it could be five years, or more). This will be elaborated following a consultation process promised for later in 2025.
History tells us that agreeing the criteria for earned settlement and implementing it is likely to prove controversial. Gordon Brown's Labour Government previously legislated for a points-based earned citizenship model in 2009, however this was shelved by the successor coalition Government in November 2010 due to it being 'too complicated, bureaucratic and, in the end, ineffective'.
The current proposal appears to draw on this previously dismissed policy, but brings the points test forward to the settlement stage rather than citizenship. And in doing so, drastically changes the financial and integration implications for sponsors and individuals.
The Government may wish to earn additional revenue from immigration-related fees for those on a 10-year path to settlement, and to reduce public spending on benefits by shutting people out of access to these for longer. It also hopes to reduce net migration in the short-term by using the longer default settlement period to put people off coming or staying (estimated in the White Paper's technical annex to be around 12,000 to 24,000 people a year).
The Migration Observatory notes that rather than assisting integration, the policy may harm this. Reasons cited including that settled persons have more bargaining power to be able to improve pay and conditions in comparison with employer-tied migrants, and that settlement may have positive outcomes for investment in integration such as improving language fluency and expanding social ties. Acquisition of citizenship has also been shown to improve economic outcomes and social integration, so delaying this process can act as a brake on both.
One unresolved question is whether dependants will be eligible for settlement if the main applicant meets the points test, or if they will need to meet a points test independently. This could have significant implications for families, especially because under the current arrangements, child dependants ordinarily are not eligible to settle unless both parents have been granted settled status or British citizenship (or are being granted settlement at the same time as the child).
Another question is whether the qualifying period and/or settlement criteria for routes offering accelerated settlement after 3 years, for example under Global Talent or Innovator Founder, will remain as it currently is, or will be impacted if earned settlement is implemented.
The Government has stated that the existing 5-year qualifying period for 'non-UK dependants of British citizens' will remain, provided they continue to meet the requirements for immigration permission as a partner. Existing safeguards will also remain in place to protect the vulnerable, including victims of domestic violence and abuse.
It's not clear from the White Paper whether the non-UK dependants of settled persons and other people who can sponsor family members under the family routes will also stay on a 5-year route to settlement.
Will there be transitional arrangements for earned settlement?
The White Paper is silent on whether there will be transitional arrangements for individuals who are already in the UK on a five-year settlement route.
However, a research briefing from the House of Commons Library indicates that individuals who are already in the UK may be caught by the doubling of the qualifying period. A final decision on this will be made following the consultation phase.
What is the earned citizenship proposal?
The White Paper is light on detail about this proposal, simply stating that reforms will be introduced to align with earned settlement. Under the Government's proposal, the standard qualifying period will increase and the points-based system will be expanded to allow those with greater contributions to qualify sooner. As an aside, the Life in the UK Test will be refreshed. Also, application fees may be reduced for young adults who have lived in the UK throughout their childhood.
The wording of the earned citizenship proposal is vague enough to include the possibility that a person who qualifies for settlement under the existing Rules may be required to meet a points test at citizenship stage. This will come down to whether transitional arrangements are made.
A consultation on this proposal is not explicitly confirmed, although it would seem likely that it should be considered within the scope of the promised consultation on earned settlement.
When will the changes come into force?
No date is confirmed.
The White Paper explains that the Government plans to consult on the changes 'later this year'. A press release states that Parliament plans to share further details on earned settlement 'by the end of this year'.
Changes to settlement criteria could, in theory, be brought in relatively swiftly following the consultation, as these would only require a change to the Immigration Rules. Normally a minimum of 21 days' notice is given for Immigration Rule changes, however they can be introduced with immediate effect, or with a longer lead-in time. However, it will also take time for the Home Office to put in place the infrastructure to administer the points test, train their caseworkers, update online forms and cascade public-facing information.
Changes to citizenship eligibility could require amendments to primary legislation. This is a more lengthy process and will require a higher level of Parliamentary scrutiny.
Will there be legal challenges to these proposals?
It's too early to tell whether these proposals will be susceptible to legal challenges. There is likely to be appetite for this, especially if the earned settlement proposals are brought forward without transitional arrangements.
The Home Office will be hoping that adequate consultation and careful wording of their policy documents will limit the scope for any successful legal challenge.
What should individuals do now?
Although we would suggest seeking immigration advice before taking specific actions, here is a list of general action points to consider:
- Review your current immigration status and plans, particularly if you are already in the UK or planning to apply for settlement or citizenship soon.
- Check if and when you are eligible to settle. Consider applying
as soon as possible if you are eligible to apply under the current
5-year pathway. You may be eligible earlier than you think,
e.g.:
- Many Skilled Workers and their family members didn't immediately travel to the UK following an entry clearance grant because of travel disruption or illness due to Covid-19. If you can show that you couldn't travel due to travel disruption, or if you can demonstrate there were compelling and compassionate personal circumstances affecting you or a close family member, this time may still count towards your qualifying period.
- If you were in the UK already and had a pending application to switch to the Skilled Worker route between 24 January 2020 and 30 June 2021 (during the Covid-19 pandemic period), this time will count towards your qualifying period.
- If you are currently in the UK as a Skilled Worker and are able to successfully switch into Global Talent as a leader in academia/research, arts and culture or digital technology, you can count your time as a Skilled Worker towards the three-year qualifying period under the Global Talent route. (Note however that the qualifying period for potential leaders is currently five years.)
- Be aware that even if you currently qualify for settlement under the existing rules, you may be subject to new requirements for earned citizenship.
- Prepare for possible delays or changes in your route to settlement or citizenship and consider contingency plans if your timeline is affected.
- If you're not already on a route to settlement, and you plan to switch, consider switching before the changes are implemented to maximise the chance of benefiting from any transitional arrangement protection.
- Consider the same points for any family members dependent on your immigration status.
What can businesses do to prepare for the changes?
We would suggest the following action points for businesses:
- Ensure HR and legal teams are briefed on the changes and ready to advise staff as needed.
- Communicate with affected workers about the possible changes and encourage them to stay informed. Provide reassurance, recognising that both workers and their family members may be impacted financially and emotionally.
- Monitor government consultations and consider participating to represent your business interests and those of your workers.
- Assess the potential impact of these changes on your current and future international workforce, especially those on routes to settlement.
- Once further details are known, review your recruitment and retention strategies and budgets to account for the possibility that some workers may face longer qualifying periods for settlement.
- Be aware of the potential for increased staff turnover if some workers decide to leave due to the longer route to settlement.
- Be aware of possible changes in visa demand and adjust your workforce planning accordingly.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
