UKBA Changes and Updates January 2011

Changes implemented following High Court ruling on 17 December 2010

You may have heard in the news that the High Court found on 17 December that the Government's interim immigration cap was unlawful. (The interim cap was introduced in July 2010 prior to the permanent limit on 6 April 2011). The court decided that the Home Secretary had not carried out the correct parliamentary procedures before implementing the interim cap but did not rule that the cap itself was unlawful.  The Government acted quickly following the High Court decision and implemented new legislation on 21 December.

Tier 1 (General) Closure

Out of Country Applications
The new legislation closed all out of country Tier 1 (General) applications from 23 December.  (The Immigration Minister stated that he was taking this step as a result of the volume of applications received since the interim limit was set on 19 July rather than as a result of the court judgement.)

Applications submitted out of country on or before 22 December 2010 should be processed as normal without being subjected to the cap. Tier 1 (General) will not reopen for new applications overseas. However if you have already been granted a Tier 1 (General) visa, your dependants should still be able to apply for entry after 23 December 2010.

In Country Applications
Tier 1 (General) remains open until 5 April 2011 to applicants who are already in the UK. It is important that you contact us now if you are considering making a Tier 1 (General) application as the category is closing.

Please note that if you have status here under Tier 1 (General) and are concerned that your category is closing, UKBA have announced that there will be transitional arrangements for in-country applicants beyond 6 April 2011, and will provide details in due course.

Although the Government has decided that Tier 1 (General) will not continue after 5 April, Tier 1 (Investor) and Tier 1 (Entrepreneur) will continue in slightly revised formats and there will be a category for the exceptionally talented limited to 1,000 people per year. We understand that details of these changes will be announced in February/March and we will provide further details as soon as they become available.  We also understand that the Government proposes to abolish the Tier 1 (Post Study Work) category.

Tier 2 (General) interim limit announced

The legislation was also enacted to take into account the High Court judgement and specify the level of the interim limit on Tier 2 (General). The permanent immigration limit comes into place on 6 April 2011.

The interim limit on Tier 2 (General) will apply from 21 December until 5 April 2010. The level of the limit is 10,832 Certificates of Sponsorship. The total 10,832 certificates of sponsorship includes those that have already been allocated to sponsors. A small number have been set aside by the UKBA for exceptional circumstances.

Please note that this does not affect Tier 2 (Intra-Company Transfers), Tier 2 (Ministers of Religion) or Tier 2 (Elite Sportspeople). These categories are excluded from the Government's interim limit effective until 05 April 2011.

Refusals under the interim cap prior to 21 December 2010

The position of sponsors whose allocation of Certificate of Sponsorship was reduced or set to zero as a result of the interim cap is as yet unclear.  Nor have the UKBA yet stated its position with regard to sponsors refused a CoS between 19 July and 21 December following an application to the Limits Team.  We will advise of possible remedies as soon as the UKBA makes clear its position on these issues. 

Further Information on Tier 2

The Government has indicated that the Tier 2 (General) limit for the 12 month period commencing 6 April 2011 will be 21,700 people.  Tier 2 (Intra-Company Transfers) will not be subject to a cap but there will be a minimum earnings threshold of £24,000.  Those earning £24,000 to £39,999 will be able to stay for a maximum of only 12 months.  Those earning £40,000 and above will be able to stay for a maximum period of 5 years.

January 2011