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    United Kingdom – Rises in Salary Thresholds for Sponsored Workers

    GMS Flash Alert 2023-111 | May 25, 2023

    As confirmed in the Statement of Changes published in March in the U.K.,1 the salary requirements for the Sponsored Worker immigration routes have been updated in line with the latest Annual Survey of Hours and Earnings (ASHE) data.  Both the salary thresholds and going rates for individual occupations have also been updated (going rates are mostly increased).

    Clarification has also been added to how salaries are considered where an applicant is working a pattern in which the regular hours are not the same each week.

    Why this matters

    These changes were implemented from 12 April and it is important that these are taken into consideration when calculating visa and relocation costs for foreign talent who require sponsorship.

    Key Highlights  

    Notable changes are:

    • The Skilled Worker minimum salary threshold increases from £25,600 to £26,200.
    • The Global Business Mobility Senior and Specialist Worker minimum salary threshold increases from £42,400 to £45,800.

    KPMG Insights

    In order to employ individuals under the aforementioned “routes,” companies must be able to compensate such individuals, at a minimum, the prescribed salary thresholds, as updated.

    For existing employees, when it comes to their next visa extension or settlement stage, employers will be obliged to align their salaries with the new mandatory minimum thresholds.

    Failure to do so could impact employers’ ability to recruit and retain foreign talent. 

    Contacts

    nadia-idries
    Nadia Idries

    Director & Solicitor

    KPMG in the UK

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    Footnotes

    1 See "Policy paper: Statement of changes to the immigration rules: HC 1160, 9 March 2023" at: https://www.gov.uk/government/publications/statement-of-changes-to-the-immigration-rules-hc-1160-9-march-2023 .

    Disclaimer

    The information contained in this newsletter was submitted by the KPMG International member firm in the United Kingdom.

    GMS Flash Alert is a Global Mobility Services publication of the KPMG LLP Washington National Tax practice. The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.

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