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26 November 2025

Open Consultation Earned Settlement 20 November 2025 – Proposed Big Changes To UK Indefinite Leave To Remain /Settlement

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Thaxted Legal

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Thaxted Legal is a UK based specialist immigration firm focused on helping businesses and individuals to achieve their immigration goals. We have particular expertise in sponsor licence applications and sponsorship compliance, work permits, innovator and start up visas, global talent, ancestry visas, family immigration and nationality applications.
Settlement refers to a person's right to live in the UK permanently without any immigration restrictions. It is also known as Indefinite Leave to Remain (ILR).The 2025 UK Immigration White Paper...
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Settlement refers to a person's right to live in the UK permanently without any immigration restrictions. It is also known as Indefinite Leave to Remain (ILR).The 2025 UK Immigration White Paper, Restoring Control over the Immigration System, introduced significant reforms to how migrants can settle in the UK.

The government has now started consultation on their proposed changes to Settlement rules. The consultation period is closing on 11:59pm on 12th February 2026.

The proposed settlement rules significantly different from the current Indefinite Leave to Remain rules.

It is important for as many as possible to participate in the consultation to provide Home Office with our views on the proposed changes. Particularly important are the transitional provisions relating to those visa holders who are already in the UK. The big question is will they be subject to the new rules.

Proposed big changes to UK Indefinite leave to Remain – A FAIRER PATHWAY TO SETTLEMENT

Settlement will no longer be granted automatically after a fixed period. Instead, migrants will need to earn it by demonstrating sustained good conduct, contribution and integration.

As set out in the 2025 UK Immigration White Paper, Restoring Control over the Immigration System Home Office will move to a system in which the baseline qualifying period for settlement for most migrants is increased from 5 years to 10 years.

As set out in the Statement on the government's asylum and returns policy, Home Office will introduce a starting point of a 20-year qualifying period of settlement for those recognised as refugees. Those who move from core protection onto the new core protection-work and study routes will be able to earn reductions. However, refugees will never be in a better position than those coming to the UK on recognised migration routes (such as workers), who are subject to the usual standard settlement qualifying period of 10 years. Resettled refugees who have been granted protection and moved to the UK through official resettlement programmes are intended to start at 10 years, bringing them in line with other arrivals on planned migration routes. Individuals who arrive on these routes will have a quicker route to settlement than those who claim asylum in-country. This is justified on the basis that the caps for these routes will be devised to reflect local area capacity to absorb, so it is appropriate to grant them a shorter path to settlement.

The baseline qualifying period of 10 years may be adjusted upwards or downwards

The baseline qualifying period of 10 years may be adjusted upwards or downwards. In order to meet the qualifying period requirement, the applicant will, as now, need to have spent the required period of time in the UK in a route, or routes, that leads to settlement. The Immigration Rules will specify which routes lead to settlement and which do not, and it is not intended that the position as to which routes fall into each category will change.

A consequence of the proposed system is that there will no longer be a separate long residence route. The purpose of the existing long residence route will be superseded by arrangements in which the baseline qualifying period is adjustable for considerations relating to contribution and integration.

Transitional Arrangements

The consultation includes questions intended to seek respondents' views on how far the implementation of the earned settlement model should be accompanied by transitional measures. Transitional arrangements refer to temporary measures or rules put in place to manage the shift from one system, or policy framework, to another.

Without any transitional arrangements, the earned settlement policy will affect people already in the system, who are not already settled when relevant Immigration Rules come into force. Transitional arrangements may be designed to ease the impact of policy change, especially for individuals or groups already afforded permissions by the previous system. The consultation seeks views on whether there should be transitional arrangements for those already on a pathway to settlement.

British Citizenship – changes

Home Office working assumption is that the system should operate on a 'time adjustment' model, meaning that the qualifying period will be adjustable upwards or downwards from a baseline qualifying period, depending on the individual circumstances of the case.

The Immigration White Paper also stated that reforms to citizenship will be introduced, and that these would build on any changes made to settlement through the earned settlement approach. These would aim to reflect similar principles for extending qualifying periods, while allowing those who have made greater contributions to qualify sooner. Home Office recognise both that primary legislation will be required to make any changes to the British Nationality Act 1981 and that any recommendations should understandably await this consultation process for settlement and subsequent decisions on approaches to be taken.

Core pillars for settlement – character, integration, contribution, residence

The processes for applicants to reach settlement and then move on to citizenship will need to work together and make sense, for both the applicant and the system. The considerations informing the design will be based on four core pillars, designed to ensure that applicants make a meaningful contribution to UK society and meet clear, measurable standards. These four core pillars will be:

  • Character – This reformed system will, as now, provide for the refusal of applications where core requirements relating to their character and conduct (for example, having a criminal conviction, non-compliance with immigration requirements and considerations pertaining to the public good). It will be mandatory to meet such requirements, and there will be no ability to trade with other considerations to determine the qualifying period. We will conduct a root and branch review of the criminality thresholds that apply across all immigration routes. Our expectation is that you should not be able to settle with a criminal record. Revised thresholds will be set out in due course.
  • Integration – The reformed system will ensure that applicants demonstrate meaningful engagement with British society.
  • Contribution – The reformed system will reward individuals who have made a sustained and measurable economic contribution to the UK, on the principle that any accelerated path to settlement should be earned through active participation in the economy.
  • Residence – The reformed system will recognise lawful, continuous residence in the UK. Individuals will not, however, normally qualify on the basis of residence alone.

An outline of how the proposed earned settlement system would work is set out in the tables below. In these tables, criteria that applicants must meet to be considered, or that may increase or reduce the qualifying period for settlement, are linked to the four pillars set out above.

Eligibility for settlement: mandatory requirements

There will be minimum mandatory requirements that all applicants must meet in order to be granted settlement. These are set out in Table 1 below. The consultation on those is limited to "contribution", where Home Office is consulting on the length of time the requirement to have an earned income should apply to.

Table 1: Minimum requirements that an application for settlement must meet to qualify Pillar Requirements

Suitability – The applicant must meet suitability requirements for an application, as set out in Part Suitability of the Immigration Rules) – for example, not having a criminal conviction. The applicant has no current litigation, NHS, tax or other government debt.

Integration – The applicant must be able to evidence that they meet English language requirements, which will be at B2 level under the Common European Framework of Reference for Languages. The applicant must be able to evidence that they have passed the Life in the UK test.

Contribution – Applicant has contributed to the Exchequer by having annual earnings above £12,570 for a minimum of 3 to 5 years (subject to consultation), in line with the current thresholds for paying income tax and National Insurance Contributions (NICs), or an alternative amount of income.

Eligibility for settlement: the qualifying period under an earned settlement model

It is proposed that considerations causing the baseline qualifying period to be adjusted upwards or downwards should be those set out in Tables 2 and 3. For the purposes of any particular application, where more than one consideration in one of these tables applies, only one of them (i.e. the one that causes the largest adjustment) would be applied. But where a consideration in each table applies, the adjustments would be combined (for example, where the relevant adjustments for a particular applicant are that the applicant had been in receipt of public funds for less than 12 months but meets the C1 level English consideration, there would be an upward adjustment of 5 years and a downward adjustment of 1 year, resulting in an overall upward adjustment of 4 years, making the applicant's total qualifying period 14 years).

All measures in these tables are subject to consultation, except the reductions for dependants of British citizens and for British Nationals Overseas (BNOs).

Considerations that will reduce the baseline qualifying period.

Table 2: Considerations that will reduce the baseline qualifying period. Note: only one of the listed considerations (i.e. the one that causes the largest reduction) would be applied in the case of any single application, and additional years will take precedence over any reduction to the baseline.

Applicant has competency in English language at C1 Level under the Common European Framework of Reference for Languages – Minus 1 year

Applicant has earned a taxable income of £125,140 for 3 years immediately prior to applying for settlement – Minus 7 years

Applicant has earned a taxable income of £50,270 for 3 years immediately prior to applying for settlement – Minus 5 years

Applicant has been employed in a specified public service occupation for 5 years – Minus 5 years

Applicant has worked in the community (volunteering, etc) – Minus 3-5 years

Applicant holds a permission as the parent/partner/child of a British citizen and meets core family requirements Not subject to consultation – Minus 5 years Not subject to consultation

Applicant holds a permission granted under the British National Overseas route Not subject to consultation – Minus 5 years Not subject to consultation

Applicant has 3 years continuous residence as the holder of a permission as a Global Talent worker or Innovator Founder – Minus 7 years

Acknowledgement of specific and vulnerable groups having a reduction – Subject to consultation.

Considerations that will increase the baseline qualifying period

Table 3: Considerations that will increase the baseline qualifying period. Note: only one of the listed considerations (i.e. the one that causes the largest increase) would be applied in the case of any single application. This will take precedence over any reduction to the baseline.

Applicant has been in receipt of public funds for less than 12 months during route to settlement – Plus 5 years

Applicant has been in receipt of public funds for more than 12 months during route to settlement – Plus 10 years

Applicant arrived in the UK illegally e.g. via small boat/clandestine – Plus up to 20 years

Applicant entered the UK on a visit visa – Plus up to 20 years Applicant has overstayed a permission for 6 months or more – Plus up to 20 years

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.

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