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Home Office updates Immigration Rules: What Businesses Must Know and Do
Home Office updates Immigration Rules: What Businesses Must Know and Do
On 14 October 2025, the UK government introduced a set of modifications to the Immigration Rules under the immigration statement HC 1333. These changes affect multiple visa routes, eligibility criteria, and compliance obligations. For businesses — especially those sponsoring workers — staying ahead in the wake of these reforms is critical.
Below, we break down the key changes and highlight what you, as a business, should do to stay compliant and protect your workforce.
Top Changes You Should Watch
Here’s a summary of the most relevant changes from HC 1333:
Immigration Skills Charge increasing by 32%
The Immigration Skills Charge (ISC) is set to increase by 32% by the end of 2025. Even though this measure isn't in the statement of changes, Home Secretary, Shabana Mahmood, has announced this upcoming price hike while announcing the new immigration changes The Parliamentary process to increase the charge will begin later this week.
This means large sponsors will pay £1,320 per year, and smaller sponsors will pay £480 per year.
The ISC is, of course, compulsory. Currently, the large sponsors pay £1,000 per year, and smaller sponsors pay £364 per year to sponsor Skilled Workers.
If you are looking to sponsor, and to save considerable costs, you might want to issue Certificates of Sponsorship before mid-December, if possible, to secure the current lower ISC rate.
| Change | What It Means | What Businesses Should Do |
|---|---|---|
| Immigration Skills Charge increasing by 32% |
The Immigration Skills Charge (ISC) is set to increase by
32% by the end of 2025. Even though this measure isn't in
the statement of changes, Home Secretary, Shabana Mahmood,
has announced this upcoming price hike while announcing the
new immigration changes The Parliamentary process to
increase the charge will begin later this week. This means large sponsors will pay £1,320 per year, and smaller sponsors will pay £480 per year. The ISC is, of course, compulsory. Currently, the large sponsors pay £1,000 per year, and smaller sponsors pay £364 per year to sponsor Skilled Workers. |
If you are looking to sponsor, and to save considerable costs, you might want to issue Certificates of Sponsorship before mid-December, if possible, to secure the current lower ISC rate. |
| English language requirements up from B1 → B2 (A-level equivalent) | For many economic migration routes, applicants must now demonstrate stronger English in reading, writing, speaking, and listening. | Update your hiring and sponsorship checks — check if your candidates meet the new threshold. For existing sponsored workers whose visa renews post-8 Jan 2026, compliance may be impacted |
| Graduate route duration reduced | The Graduate visa will now last 18 months (instead of 2 years for most applicants) under new rules. | In workforce planning, account for shorter post-study working windows and transitions to other routes. |
| Dependants for Stateless people (Appendix: Statelessness) | New dependent rights introduced for stateless persons under the updated rules. | If your business is involved in or affected by statelessness cases, include this in your dependent visa planning. |
| Ukraine Permission Extension Scheme | Updated to maintain safeguarding measures under the new rules. | If you employ or sponsor Ukrainians, confirm their status under the revised scheme and ensure your internal procedures follow the new requirements. |
| Amendments to protections for victims, trafficking, etc. | Adjusted validity requirements for temporary permission for victims of human trafficking or slavery. | If your policies or compliance functions touch vulnerable worker protections, review your approach in light of the changes. |
| Changes to the visa national list / recognition of Palestine | Adjustments in who must apply for visas depending on nationality. | Review your nationality screening rules and ensure your policy reflects these updates. |
| Introduction of visit visa requirement for nationals of Botswana | From 3 pm on 14 Oct 2025, Botswana nationals will need to secure a UK visit visa in advance (they can no longer acquire entry rights on arrival). | If your business interacts with people from Botswana (e.g. vendors, prospective employees, visitors), verify visa status and update your immigration onboarding checks. |
| New “Suitability” rules replace “Grounds for Refusal” (Part 9 → Part Suitability) | A revised framework for refusal decisions aligns Family and Private Life rules under a common suitability standard. | Ensure that any refusals, rejections, or risk evaluation in your HR/immigration policies align with the updated criteria. |
What This Means for Your Business
- Consider sponsor sooner -The ISC costs are increasing from the end of year
- Update your policies -English standards, visa durations, and refusal rules have changed.
- Review your sponsored workforce –Identify who’s affected by the new thresholds or shorter visa routes.
- Expect tighter audits –Right-to-work checks and compliance documentation will face more scrutiny.
- Train your team –HR and compliance staff must understand the new rules before renewals begin.
- Use smarter systems –Automate checks, alerts, and reports to stay compliant effortlessly.
Take Action Now
1. Review and update HR & immigration processes.
2. Audit your existing sponsored staff.
3. Brief your HR and compliance teams.
4. Check your HR tech supports new compliance needs.
5. Get legal advice where unsure.
6. Communicate clearly with affected employees.
Final Word
The HC 1333 changes usher in one of the more significant shifts we’ve seen in UK immigration in recent years. For businesses that depend on sponsored talent, adapting swiftly and smartly isn’t optional - it’s essential.
At IRS HR, we’re staying on top of these changes so you don’t have to figure it out alone. Our compliance workflows, alerting systems, and legal support are already being updated to reflect HC 1333, helping you stay ahead and protect your licence with confidence.
Need help interpreting the changes, assessing impact on your sponsored workers, or updating your compliance framework? Let’s talk about your audit-readiness in this new era.
Still not sure? Book your free demo of IRS HR to see in action how we make you 100% HR sponsor compliant and help you secure CoS, and safeguard your sponsor licence 24X7. Limited demo slots available. Hurry!
The above Blog is not a substitute for legal advice. Always refer to the latest guidance on the GOV.UK website. We recommend consulting an immigration solicitor for further help. Last updated based on guidance available as of October 2025