Skilled Worker Visa Salary Threshold Increases – What Employers Need to Know from 22 July 2025

From 22 July 2025, the UK Skilled Worker visa salary thresholds will rise across all bands. The changes affect new hires, visa extensions, and ILR applications under the Skilled Worker route.

Employers must update their recruitment, sponsorship, and payroll processes to reflect these new minimum pay levels. Any Certificate of Sponsorship (CoS) dated on or after 22 July must meet the updated salary rules or risk refusal.

This guide explains the new salary thresholds, how they apply across routes, and what sponsor licence holders must do to stay compliant and avoid disruption.

What Is a Skilled Worker Visa?

The Skilled Worker visa is the UK’s main route for employers to hire foreign nationals in eligible full-time roles. Applicants must meet job-specific skills and salary requirements, hold a job offer from a licensed sponsor, and meet English language criteria.

This route replaced the Tier 2 (General) visa, allowing sponsored workers to remain in the UK on a long-term basis. A valid Certificate of Sponsorship (CoS) is required for every application, and the visa can lead to Indefinite Leave to Remain (ILR) after five years.

To qualify, the role must meet one of several salary bands, depending on experience level, job type, or whether the worker is a new entrant or applying under a discount route. These bands are reviewed regularly, with a significant increase coming into effect from 22 July 2025.

Skilled Worker Salary Thresholds – What’s Changing?

From July 22, 2025, Skilled Worker salary thresholds will increase across all bands. Employers must now meet higher minimum salaries for all CoS issued after this date. These changes affect new applicants, extensions, and ILR cases, and include stricter hourly rates and a 48-hour cap on counted working time.

New Salary Threshold Bands from 22 July 2025

From 22 July 2025, the Skilled Worker visa salary thresholds will increase across all bands. These thresholds apply to any Certificate of Sponsorship (CoS) issued on or after that date. Employers must meet the correct band based on the applicant’s role and visa type.

 

Salary Band	When It’s Used	Old Minimum	New Minimum	Change
Option A	Standard Skilled Worker cases	£38,700	£41,700	+£3,000
Option B	STEM PhD roles or Immigration Salary List	£34,830	£37,500	+£2,670
Option C/D/E	Most new entrants and non-STEM PhD discounts	£30,960	£33,400	+£2,440
Option F	New-entrant absolute salary floor	£29,000	£31,300	+£2,300
Option G	70% of the going rate (rare, limited cases)	£26,100	£28,200	+£2,100

 

Each band has strict eligibility rules. Employers must choose the right rate based on the role, seniority, qualifications, and whether a discount applies. Failure to meet the correct salary threshold will result in visa refusal, even if all other requirements are satisfied.

£17.13 Minimum Hourly Rate and 48-Hour Rule

From 22 July 2025, all Skilled Worker roles must meet a minimum hourly rate of £17.13, regardless of the salary band used. This hourly floor applies across all discount categories and routes.

Sponsors must also ensure that only the first 48 working hours per week count toward meeting the annual salary threshold. Additional hours cannot be used to inflate low salaries.

If the £17.13 rate produces a higher salary than the stated 70%, 80%, or 90% discount for the role, the higher figure prevails. Employers must check both the hourly and annual thresholds to avoid refusal.

Impact on New Skilled Worker Visa Applications

From 22 July 2025, all Skilled Worker visa applications linked to a new CoS must meet the higher salary thresholds. Employers must review job offers, update internal processes, and ensure full compliance. Roles that previously qualified may now fall short under the revised rules and hourly pay floor.

Salary Requirements for New CoS from 22 July

Any Certificate of Sponsorship issued on or after July 22, 2025, must meet the new salary thresholds. This applies to all Skilled Worker applications, including standard roles, shortage occupations, and new entrants.

Employers must use the updated Appendix Skilled Occupations tables and ensure that the salary listed meets the relevant band or hourly rate, whichever is higher. Incorrect CoS entries will lead to refusal.

Roles that previously qualified under the lower thresholds may now fall below the eligibility threshold. If the salary cannot be increased, the vacancy is no longer sponsorable under the Skilled Worker route.

Risks of Non-Compliance

Failure to meet the new salary requirements will result in visa refusals, even if all other requirements are met. A rejected application can delay hiring, damage the applicant’s immigration history, and result in wasted fees.

Incorrect salary entries in the Certificate of Sponsorship also put your sponsor licence at risk. The Home Office may issue warnings, suspend the licence, or downgrade it after a compliance audit.

Business disruption follows quickly. Projects stall, roles remain unfilled, and reputational damage may occur. Employers must ensure accuracy at every stage: CoS assignment, documentation, and hourly rate compliance, to avoid these outcomes.

Impact on Skilled Worker Visa Extensions

From 22 July 2025, all Skilled Worker visa extensions and employer changes must meet the new salary thresholds if the Certificate of Sponsorship is dated on or after that day. The Home Office has made clear there are no transitional arrangements. Employers must plan now to avoid refusal and compliance breaches.

Extension Rules After 22 July

Any Skilled Worker applying to extend their stay or change sponsor from 22 July must meet the higher salary thresholds. The only exception is where the CoS is issued before 22 July; these cases are still assessed under the old rates.

There is no grace period. The new rules apply in full to every CoS dated 22 July or later, regardless of visa history. This includes changes of job, changes of employer, and reassignments after career progression.

Employers must confirm that sponsored workers already meet, or will be paid, the new figures on the application date. Promises of future increases are not accepted.

Planning Pay Increases Before Issuing a New CoS

Employers must act early to align salaries with the new Skilled Worker thresholds. Pay increases must be confirmed in writing and active at the time of CoS issuance—backdated uplifts are not accepted after refusal.

If a worker’s current salary falls short, issue a contractual variation or permanent uplift before assigning the new CoS. Budget for these increases now to avoid gaps that make the role unsustainable.

Check all roles where the visa expiry falls after 21 July. If the CoS is not assigned before the cut-off, it must meet the new salary band and £17.13 hourly rate in full.

Sponsor Duties and Record Keeping

Every salary change or visa extension must be backed by clear documentation. Employers must update the Sponsor Management System (SMS) with accurate salary figures that reflect the new rules.

Keep detailed records of pay increases, contracts, payroll instructions, and board decisions showing how and when salaries were adjusted. This evidence may be requested during a Home Office compliance audit.

Check part-time and compressed hours arrangements carefully. The new hourly rate of £ 17.13 and 48-hour cap apply to all roles. Sponsors are responsible for ensuring that all salary data is accurate and defensible.

Skilled Worker Visa ILR Applications – New Salary Rules

From 22 July 2025, Skilled Workers applying for Indefinite Leave to Remain (ILR) must meet new salary requirements. The Home Office now applies the same higher thresholds used at the sponsorship stage, but without the discounts. Employers must ensure all ILR applicants meet the full figures—no transitional relief applies.

The updated ILR salary bands are as follows:

• Option A (Standard threshold): £41,700
• Option B (Shortage/PhD discount): £33,400
• Option C (New-entrant floor): £31,300

Discounted salary bands (70%, 80%, 90%) no longer apply for settlement. Only the full going rate for the job code counts. The hourly minimum of £17.13 and the 48-hour weekly cap also apply at this stage.

To qualify for ILR, the applicant’s job must align with a RQF Level 6 role as listed in the Skilled Occupations Appendix. Employees in lower-skilled roles can only qualify if they have held Skilled Worker status continuously since before 22 July 2025. No new sub-degree sponsorships will lead to ILR.

Applications will fail if the salary is too low, if the job code no longer matches the correct skill level, or if the employer cannot provide payroll records to support the claim. The Home Office expects real-time compliance with current salary rules, not promises of future adjustments.

Global Business Mobility & Scale-Up Route Salary Increases

Keywords: Global Business Mobility visa salary, Scale-up visa salary threshold

The salary changes introduced on 22 July 2025 also apply to the Global Business Mobility (GBM) and Scale-Up visa routes. Employers using these visas must review and update their pay structures to align with the new figures. Any Certificate of Sponsorship (CoS) dated on or after 22 July must meet the higher thresholds, without exception.

For the GBM routes, the new salary floors are:

• Senior or Specialist Worker: £52,500 (up from £48,500)
• UK Expansion Worker: £52,500
• Graduate Trainee: £27,300 (up from £25,410)

These thresholds apply to both new applications and settlement stages. Additionally, the £17.13 hourly floor and 48-hour cap apply to all GBM roles, regardless of the annual salary.

Under the Scale-Up visa, the minimum salary for the sponsored phase rises from £36,300 to £39,100. This figure now applies to all extension and ILR applications from 22 July onward. Legacy CoS issued before the cut-off may still rely on the older rates, provided the full application is submitted before that date.

There is no transitional relief for CoS assigned after 22 July. Sponsors must meet the new thresholds in full. The Home Office will not accept outdated salary levels, and any shortfall may result in refusal or compliance action. Sponsors should review all GBM and Scale-Up CoS assignments immediately to avoid disruption.

Speak to Cromwell Wilkes About Skilled Worker Visa Compliance

The July 2025 salary increases are not just technical changes; they directly affect who you can sponsor, how much you must pay, and whether your sponsor licence remains secure. Employers that fail to act early risk refusals, audits, and long-term disruption to recruitment and retention.

Our team of specialist immigration lawyers in London advises UK employers on every aspect of sponsorship. From salary benchmarking and CoS strategy to visa application reviews and audit preparation, we help businesses stay compliant and competitive in a changing regulatory landscape.

Please complete this form with as much information as possible for your consultation. This will enable your appointed Cromwell Wilkes lawyer to provide you with the best service and support. Rest assured that we will prioritise your inquiry, and you should receive a response within 24-48 hours.

 

FAQ – Skilled Worker Visa Salary Rules 2025

What are the Skilled Worker salary thresholds from 22 July 2025?
From 22 July 2025, thresholds increase across all bands. The general rate rises to £41,700, with new rates for shortage, PhD, and new-entrant roles.

Does the £17.13 hourly rate apply to all Skilled Worker jobs?
Yes. All Skilled Worker roles must meet or exceed £17.13 per hour, regardless of the annual salary or discount band.

How do I check if a salary meets the new CoS rules?
Use the updated Appendix Skilled Occupations and confirm the job meets both the new band and £17.13/hour minimum. Only the first 48 hours per week count.

Can I still assign a CoS under old rates after July 2025?
No. Any CoS dated 22 July 2025 or later must meet the new salary rules. Older rates only apply if the CoS is issued before that date.

What are the ILR salary requirements for Skilled Workers?
ILR requires meeting full rates: £41,700, £33,400, or £31,300, depending on the route. Discounted bands are not accepted for settlement.

Do the salary changes apply to part-time Skilled Workers?
Yes. Part-time roles must still meet £17.13 per hour. Use actual contracted hours—compressed schedules cannot exceed the 48-hour weekly cap.

What if my employee’s role no longer meets the threshold?
You must uplift the salary or reclassify the role if it qualifies under another code. If not, the job is no longer sponsorable.

Can I increase pay after applying to fix a mistake?
No. The salary must meet requirements on the date of CoS and application submission. Retrospective increases won’t prevent refusal.