ILR Earned Settlement Changes 2026: Complete Guide

What is Earned Settlement?

Earned Settlement is the UK government's proposed overhaul of the Indefinite Leave to Remain (ILR) system. Under the current rules, most work visa holders — including those on Skilled Worker, Health and Care Worker, and Global Talent visas — qualify for permanent settlement after completing a flat 5-year qualifying period of continuous residence in the UK. The proposed reforms would replace this one-size-fits-all approach with a variable qualifying period of 5 to 10 years, determined by a points-based assessment.

The core idea behind Earned Settlement is that migrants who contribute more to the UK economy and society — through higher salaries, stronger English skills, UK qualifications, and work in critical sectors — should be able to settle more quickly. Conversely, those who earn less or have fewer qualifying factors would face a longer wait before becoming eligible for ILR.

The policy was announced as part of the government's broader immigration reform agenda, which aims to reduce net migration while retaining the most skilled and integrated workers. The government has described the reforms as a shift from a system where settlement is "automatic after a fixed period" to one where it is "earned through contribution."

It is important to understand that, as of March 2026, Earned Settlement remains a proposal. The detailed Immigration Rules have not yet been laid in Parliament, and the final point thresholds, qualifying period lengths, and transitional arrangements may change before implementation. This guide is based on the published policy statements and consultation documents available at the time of writing. We will update it as new details emerge.

Key changes from the current system

The Earned Settlement proposals represent the most significant change to the UK settlement system in over a decade. Here are the fundamental differences between the current system and what is proposed.

Variable qualifying period

The most impactful change is that the qualifying period for ILR would no longer be a fixed 5 years for everyone. Instead, the qualifying period would range from 5 years (for those scoring 40+ points) to 10 years (for those scoring 0-9 points). This means some applicants could wait twice as long as they do under the current system.

Points-based assessment

A new points system would evaluate applicants across five categories: salary level, English language proficiency, UK qualifications, whether the role is in a shortage occupation, and whether the applicant works in the public sector. Each category awards a set number of points, and the total determines how long the applicant must wait.

Ongoing assessment, not just at application

Under the current rules, the requirements are relatively straightforward: complete 5 years, stay within absence limits, pass the Life in the UK test, and meet the salary threshold at the time of application. The Earned Settlement model introduces a more dynamic assessment where your points score — and therefore your qualifying period length — could change if your salary or circumstances change during the qualifying period. The exact mechanics of how mid-period changes are handled have not been finalised.

Potential loss of automatic entitlement

Under the current system, ILR is essentially an entitlement once you meet the criteria. The Earned Settlement model shifts the framing: settlement becomes something you earn through sustained contribution. While the practical difference may be subtle for high-scoring applicants, for those on lower salaries or with fewer qualifying factors, it represents a fundamental change in expectations.

The points system explained

The proposed Earned Settlement points system awards points across five categories. Your total score determines how long you must wait before you can apply for ILR. Here is a detailed breakdown of each category.

Salary points

Salary is the most heavily weighted category, with a maximum of 20 points available. Points are awarded in bands based on your annual gross salary:

The £38,700 threshold mirrors the current general salary threshold for the Skilled Worker visa. Anyone earning below this level receives zero salary points and must rely entirely on other categories to reduce their qualifying period. This has drawn significant criticism, particularly from public sector workers and those in lower-paid but essential roles such as health and social care.

English language points

English proficiency is assessed against the Common European Framework of Reference (CEFR) levels. Up to 10 points are available:

B1 is the current minimum English language requirement for most work visas and for ILR. Under the proposed system, meeting the minimum standard earns you zero additional points. To gain an advantage, you would need to demonstrate English at B2 or C1 level through an approved Secure English Language Test (SELT). Nationals of majority English-speaking countries are typically exempt from testing, but it is not yet clear how their English level would be scored for points purposes — they may automatically receive maximum points.

UK qualification points

Holding a qualification obtained from a UK educational institution earns 10 points. This is designed to reward people who have studied in the UK and are therefore considered more integrated into British society. The qualification could be a degree, postgraduate diploma, or professional certification from a recognised UK institution. The full list of qualifying qualifications has not been confirmed, but it is expected to include undergraduate and postgraduate degrees at a minimum.

This category particularly benefits those who came to the UK on a Student visa and subsequently switched to a Skilled Worker visa. Their UK degree would count towards their settlement points even though their qualifying period clock only starts from their work visa date.

Shortage occupation points

Working in a role that appears on the Immigration Salary List (formerly the Shortage Occupation List) earns 5 points. This is intended to incentivise migration into sectors where the UK has critical labour shortages. The Shortage Occupation List is reviewed periodically by the Migration Advisory Committee (MAC) and can change, so points earned under this category may depend on whether your occupation is on the list at the time of assessment.

Public sector employment points

Working in the public sector — including the NHS, state schools, local government, and other public bodies — earns 5 points. This recognises the contribution of public sector workers who often earn less than their private sector counterparts but provide essential services. It is a partial offset to the salary-heavy weighting of the points system, though critics argue that 5 points is insufficient to compensate for the zero salary points that many public sector workers would receive.

Maximum possible score

The maximum possible score is 50 points (20 salary + 10 English + 10 UK qualification + 5 shortage + 5 public sector). In practice, achieving the maximum is difficult because the highest salary band (20 points) is unlikely to overlap with public sector employment (5 points). A more realistic high score for a private sector worker with a UK degree and strong English would be around 40 points.

Points to timeline mapping

Your total points score maps directly to the length of your qualifying period. Here is the proposed mapping:

The jump from 10-19 points (8 years) to 0-9 points (10 years) is notably larger than the increments between other bands. This means earning even a small number of points has a significant impact. For example, a worker earning below £38,700 with only B1 English and no UK qualifications would score 0 points and face a 10-year qualifying period — double the current requirement.

What this means in practice

Consider three example scenarios to illustrate the range of outcomes:

Scenario A: Senior software engineer. Earns £85,000 (20 salary points), C1 English (10 points), UK master's degree (10 points). Total: 40 points. Qualifying period: 5 years. No change from the current system.

Scenario B: Mid-level nurse in the NHS. Earns £32,000 (0 salary points), B2 English (5 points), no UK qualification (0 points), on the shortage list (5 points), public sector (5 points). Total: 15 points. Qualifying period: 8 years. Three years longer than current rules.

Scenario C: Care worker. Earns £24,000 (0 salary points), B1 English (0 points), no UK qualification (0 points), shortage list (5 points). Total: 5 points. Qualifying period: 10 years. Five years longer than current rules.

These scenarios highlight a key criticism of the proposals: the workers who are arguably most needed by the UK — nurses, care workers, and other frontline public service staff — are the ones most likely to face extended qualifying periods.

Who is affected?

The Earned Settlement proposals do not affect all visa routes equally. Understanding whether your specific route falls within scope is essential for planning.

Work routes: directly affected

The following visa categories are expected to fall within the scope of Earned Settlement:

• Skilled Worker visa — the largest affected group by volume
• Health and Care Worker visa — likely affected despite the lower salary thresholds on this route
• Senior or Specialist Worker (Global Business Mobility) — expected to be included
• Scale-up visa — expected to be included
• Global Talent visa — may be included, though holders tend to be high earners who would likely score well

Family routes: likely exempt

Spouse, partner, and parent visa holders who settle under Appendix FM of the Immigration Rules are expected to remain on the current 5-year qualifying period. The government has indicated that Earned Settlement is targeted at economic migration routes, not family reunion routes. However, this has not been formally confirmed in legislation.

EU Settlement Scheme: unaffected

Those with pre-settled or settled status under the EU Settlement Scheme (EUSS) are not affected by Earned Settlement. The EUSS has its own separate framework under the Withdrawal Agreement and is protected by international treaty obligations.

Long Residence route: unclear

The 10-year Long Residence route to ILR (SET(LR)) currently operates independently of work route settlement. It is not yet clear whether Earned Settlement will interact with the Long Residence route or whether it will remain a separate pathway. See our Long Residence Route guide for more details on this alternative pathway.

Transitional arrangements

One of the most critical questions for people already in the UK on work visas is whether they will be subject to the new rules or whether they will be "grandfathered" under the current system.

What the government has said

The government has indicated that transitional arrangements will apply. People who are already in the UK on qualifying visas before the new rules come into force are expected to have the option of being assessed under the current rules. This would mean that if you have already begun your 5-year qualifying period, you would not suddenly have your timeline extended to 7 or 10 years.

What is not yet confirmed

The precise details of transitional arrangements have not been published. Key unanswered questions include:

• Cut-off date: What date determines whether you fall under old or new rules? Is it the date you were first granted your visa, the date you entered the UK, or the date the new rules come into force?
• Visa extensions: If you extend your visa after the new rules come into force, do you move to the new system? Or do you retain old rules because your original visa was granted before the change?
• Visa switches: If you switch from one work route to another (e.g., from Health and Care Worker to Skilled Worker) after implementation, do you move to the new system?
• Opt-in: Could applicants choose to be assessed under the new system if they score highly and it benefits them?

The safest approach

Until transitional arrangements are formally confirmed, the safest approach is to assume that applying for ILR under the current rules — if you are eligible or approaching eligibility — is preferable. If you are within 12 months of completing your 5-year qualifying period, there is a strong argument for ensuring you apply as soon as possible rather than waiting.

When do changes take effect?

The Earned Settlement proposals have been announced as policy intent, but they have not yet been translated into formal Immigration Rules. Here is the timeline of key events so far and what to expect next.

Timeline of announcements

What needs to happen before implementation

Before Earned Settlement can take effect, several steps are required:

• The government must publish a formal consultation response addressing feedback from stakeholders, employers, and the Migration Advisory Committee.
• Draft changes to the Immigration Rules must be prepared and laid before Parliament.
• Parliament must debate and approve the rule changes (Immigration Rule changes are typically approved through a negative resolution procedure, meaning they pass unless Parliament objects).
• UKVI operational systems must be updated to handle the new points calculations and variable qualifying periods.
• Transitional arrangements must be defined and communicated.

Given the complexity of these steps, most immigration commentators expect implementation no earlier than late 2026 or 2027. However, the government has expressed a desire to move quickly on immigration reform, so earlier implementation is possible.

What you should do now

While the final details of Earned Settlement remain uncertain, there are concrete steps you can take now to protect your position and prepare for potential changes.

1. Apply for ILR as soon as you are eligible

If you are approaching the end of your 5-year qualifying period under the current rules, prioritise your ILR application. You can apply up to 28 days before the 5-year mark. Getting your application in before any rule changes take effect is the single most impactful thing you can do. Use the ILR Eligibility Calculator to find your earliest application date.

2. Track your absences meticulously

Whether the qualifying period is 5 years or 10 years, the 180-day absence rule in any rolling 12-month period is expected to remain in place. Longer qualifying periods mean more 12-month windows to monitor and more opportunities for accidental breaches. Start logging every trip now using the ILR Absence Calculator.

3. Upgrade your English language certification

If you currently hold B1 English (the minimum for most visas), consider taking a SELT test to demonstrate B2 or C1 proficiency. Under Earned Settlement, this could be worth 5 to 10 additional points — potentially shaving 2-3 years off your qualifying period. Even if the rules do not change, a higher English certification is useful for naturalisation and career progression.

4. Negotiate your salary

Salary is the most heavily weighted category in the points system. If you are close to a salary band threshold, a modest pay rise could move you into a higher bracket. For example, moving from £37,000 to £39,000 would take you from 0 salary points to 5 points. Moving from £54,000 to £56,000 would jump you from 10 to 15 points. Discuss your salary trajectory with your employer, particularly in the context of the proposed settlement changes.

5. Consider UK qualifications

A UK qualification is worth 10 points — the same as the highest English language tier. If you are considering further education or professional development, choosing a UK institution could have immigration benefits. Postgraduate certificates, professional qualifications, and master's degrees may all count, though the final list of qualifying awards has not been confirmed.

6. Monitor official announcements

The details of Earned Settlement are still evolving. Subscribe to GOV.UK email alerts for Immigration Rules changes and follow the Migration Advisory Committee's publications. We will also update this guide and notify ILR Tracker users as new details are confirmed.

7. Keep all documentation

Regardless of which rules apply when you eventually apply for ILR, you will need comprehensive documentation of your residence, employment, salary, and travel history. The longer the qualifying period, the more documentation you need. Keep payslips, P60s, employer letters, travel records, and qualification certificates organised and accessible. Our ILR Document Checklist can help you track what you need.

Impact on different visa routes

The Earned Settlement proposals will affect different visa categories in different ways. Here is an assessment of the likely impact on each major work route.

Skilled Worker visa

This is the route with the widest range of outcomes. Skilled Workers span a huge salary range — from the £38,700 general threshold to well over £100,000 for senior roles. Those earning above £75,001 with strong English and a UK degree will likely retain the 5-year period. Those earning between £38,700 and £45,000 with B1 English will see their qualifying period extended to 8-10 years. The Skilled Worker route is where the new system will have its most visible impact. See our Skilled Worker to ILR guide for the current requirements on this route.

Health and Care Worker visa

This route is likely to be hit hardest by the proposals. Health and Care Workers benefit from a reduced salary threshold (currently around £23,200 for eligible roles), but under Earned Settlement their low salaries would yield zero salary points. Even with shortage occupation points (5) and public sector points (5), a typical care worker with B1 English would score only 10 points, resulting in an 8-year qualifying period. A care worker without shortage occupation status could face 10 years. This has been one of the most contentious aspects of the proposals, given the UK's heavy reliance on international recruitment in health and social care.

Global Talent visa

Global Talent visa holders are typically high earners or individuals recognised as leaders in their field. Most would be expected to score highly on salary and potentially English language, placing them in the 5-year or 6-year bands. The impact on this route is likely to be minimal, though the added complexity of the points assessment is an additional administrative burden.

Scale-up visa

Scale-up visa holders must earn at least £36,300 (below the £38,700 threshold for salary points). Unless their salary increases beyond £38,700, they would receive zero salary points and would need to rely on English, qualifications, and other categories. Many Scale-up workers could face a 7-8 year qualifying period.

Innovator Founder visa

The Innovator Founder route currently leads to ILR after 3 years. It is unclear whether Earned Settlement would extend this shorter qualifying period or whether Innovator Founders would remain outside the scope of the reforms. Given the special nature of this route, it may be treated separately.

Summary by route

Comparison: current vs proposed rules

The following table provides a side-by-side comparison of the key aspects of the current ILR system and the proposed Earned Settlement model.

The cost implications

Beyond the extended waiting time, Earned Settlement has significant financial implications. Each additional year in the qualifying period means another year of paying the Immigration Health Surcharge (currently £1,035 per year per person). A worker facing a 10-year qualifying period instead of 5 years would pay an additional £5,175 in IHS fees alone. For a family of four, the additional IHS cost over the extended period could exceed £20,000. There are also additional visa renewal fees for each extension period during the longer qualifying window.

Use our Earned Settlement Calculator to estimate your points score and projected qualifying period, or try the ILR Reform Checker to see how the proposed changes would specifically affect your situation.

How ILR Tracker helps you navigate the changes

Whether you are applying under the current rules or preparing for Earned Settlement, ILR Tracker gives you the tools to stay on top of your journey:

• Absence tracking — Log your trips and monitor every rolling 12-month window, whether your qualifying period is 5 years or 10 years.
• Eligibility calculations — Know your exact ILR application date based on your visa start date and circumstances.
• Document checklist — Track the evidence you need to gather, with personalised recommendations based on your visa type.
• Financial planning — Budget for the full cost of your settlement journey, including IHS, application fees, and optional services.
• Free tools — Try our ILR Eligibility Calculator, ILR Absence Calculator, and ILR Document Checklist without creating an account.

The settlement landscape is changing, but careful planning and diligent record-keeping remain the best way to protect your path to permanent residence in the UK.