The UK's immigration environment has undergone a substantial change with the recommendations made by the Migration Advisory Committee (MAC) for the Immigration Salary List (ISL). Let's examine the salient features of this plan and its implications for both businesses and skilled labourers.

A fast assessment of the UK Shortage Occupation List (SOL), scheduled to be replaced by the ISL in April 2024, was commissioned by the Home Secretary to be carried out by the MAC.

The new ISL is anticipated to be based on the most recent suggestions made by the MAC. The general income level for the Skilled Worker path will be raised as part of this revision, and the 20% discount for SOL jobs will be eliminated.

Reduction in Occupations and Salary Thresholds

The MAC has proposed 21 jobs for inclusion on the ISL out of the 55 distinct Standard Occupation Classification (SOC) codes assessed. This marks a significant decline compared to the current SOL, which covers roughly 30% of eligible occupations under the Skilled Worker route.

Notable rises in the salary thresholds for non-health & Care Worker visas are another consequence of the proposed amendments. The proposed threshold for ISL inclusion for positions will be £30,960 or the occupation-specific threshold, whichever is higher. The general barrier will increase to £38,700.

Impact and Next Steps

Professional positions covered by national pay scales, such as medicine and education, are not included in the ISL. The goal of the MAC's suggestions is to guarantee that skilled workers receive significant benefits in the event of wage cutbacks.

The "new entrant" discount, which is still in place for individuals under 26 and offers a 30% reduction on the occupation-specific threshold and a 20% reduction on the general salary barrier, will also be impacted by the proposed changes.

To minimise financial advantages over the Skilled Worker path, recommendations also include excluding SOL references from the Creative Worker (CW) visa and imposing a minimum wage threshold.

It is noteworthy that the government may study and consider these ideas before implementing them in April 2024. Later in the year, a thorough ISL assessment is anticipated to handle any additional modifications or improvements.

FAQS

What standards are used to choose which professions to list on the ISL?

The MAC takes into account several variables, such as the need for particular skills, shortages in particular industries, and possible effects on the labour market in the UK. Furthermore, for an occupation to be listed on the ISL, it needs to pay above a certain threshold.

When will the suggested modifications to the ISL become operative?

It is anticipated that the proposed modifications will take effect in April 2024, subject to government approval and evaluation. Later in the year, a thorough evaluation of the ISL is planned to address any additional modifications or improvements.