A New Era for ILR: Shabana Mahmood Introduces the Earned Settlement Framework

The Home Secretary, Shabana Mahmood, has set out detailed plans to overhaul how migrants qualify for settlement (ILR) in the UK. Instead of settlement following automatically after a fixed period, the new model is built on the idea of earned settlement, permanent status granted only where a person can show long-term contribution, strong integration and a clean record. These proposals are set out in a government policy document and are now the subject of a formal consultation. They are not yet in force but they give a clear indication of the direction of travel.

Under earned settlement, ILR is no longer treated as the natural end point of any qualifying visa. Instead:

• Settlement is described as a privilege, not a right.
• Individuals are expected to earn that privilege through:
  • Respect for the law and immigration rules.
  • Economic contribution through work and tax.
  • Integration into British society.
  • Lawful and continuous residence.

The government proposes a “time adjustment” model:

• Everyone starts from a baseline qualifying period.
• That period can be reduced if a person shows higher levels of contribution or integration.
• It can be increased where there are negative factors such as illegal entry, overstaying or reliance on public funds.

For most routes, this baseline will be 10 years, replacing the current five-year expectation in many work and family categories.

The new framework rests on four core pillars. These shape both the minimum requirements and the way a qualifying period can be adjusted.

Character

The character pillar focuses on suitability:

• Applicants must meet the new Part Suitability requirements in the Immigration Rules.
• This includes:
  • No disqualifying criminal convictions.
  • Compliance with immigration laws.
  • No conduct contrary to the public good.
  • No outstanding litigation, NHS debt, tax debt or other government debt.

The government plans a root-and-branch review of criminality thresholds across all routes. The starting expectation is clear: you should not be able to settle with a criminal record. These character requirements are mandatory.

Integration

The integration pillar is designed to ensure that applicants are genuinely engaged with life in the UK:

• English language at B2 level (under the Common European Framework of Reference for Languages).
• A pass in the Life in the UK test.

Contribution

The contribution pillar measures sustained economic participation:

• Applicants must have annual earnings above £12,570 for 3–5 years before applying (the exact period is subject to consultation).
• This is aligned with the current personal allowance threshold for income tax and National Insurance.
• Higher earnings can lead to a shorter route to settlement, with proposed thresholds at:
  • £50,270 per year.
  • £125,140 per year.

The underlying principle is that accelerated settlement should be reserved for those who have made a measurable economic contribution, not simply for those who have remained in the UK for a number of years.

Residence

The residence pillar recognises lawful, continuous presence in the UK:

• Time spent in routes that lead to settlement will still matter.
• But residence alone will not normally be enough.
• The existing 10-year long residence route will be abolished. Its purpose is intended to be replaced by the adjustable baseline under earned settlement.

For the majority of migrants, the baseline qualifying period for settlement will rise from:

• 5 years → 10 years

This applies to most work and family routes, unless an exception or time reduction applies.

Refugees and protection routes – baseline 20 years

For those recognised as refugees:

• The starting point will be a 20-year qualifying period.
• Refugees who move into new protection–work or protection–study routes will be able to earn reductions to this period.
• Crucially, refugees will never be placed in a better position than those who came through standard migration routes (such as workers), whose baseline is 10 years.

Resettled refugees

Resettled refugees – those brought to the UK under official resettlement programmes:

• Are intended to start from a 10-year qualifying period, in line with other planned routes.
• This provides a shorter route than for those who seek asylum after arrival, reflecting that resettlement numbers are planned in accordance with local capacity.

Before time adjustments are even considered, every applicant under earned settlement will need to meet minimum mandatory conditions.

Suitability and character

• Meet the Part Suitability standards.
• No disqualifying criminality.
• No outstanding:
  • NHS debts.
  • Tax debts.
  • Other government debts.
  • Ongoing litigation with the government.

Integration

• English language at B2 level.
• A pass in the Life in the UK test.

Contribution

• Evidence of annual earnings above £12,570 (or another specified figure) for 3–5 years before the ILR application.
• This requirement reflects both taxation and National Insurance contributions.

From the baseline period (usually 10 years), the qualifying period can move up or down.

Two sets of factors apply:

• Reductions – factors that shorten the qualifying period
• Increases – factors that lengthen it

Only the largest single reduction and the largest single increase are applied. If both a reduction and an increase apply, they are balanced against each other.

Higher language ability

• C1 English:
  • Reduction: 1 year.

Higher earnings

If, in the three years immediately before applying, an applicant has:

• Annual taxable income of £50,270:
  • Reduction: 5 years.
• Annual taxable income of £125,140:
  • Reduction: 7 years.

Specified public service roles

• Five years employment in a specified public service for 5 years:
  • Reduction: 5 years.

This is intended to recognise the importance of skilled public service work even where pay scales may not match high-earner thresholds.

Volunteering and community work

• Significant community work or volunteering:
  • Proposed reduction: 3–5 years.

The consultation seeks views on how this should be measured and evidenced.

Certain routes and statuses

Some routes attract fixed reductions, which are not subject to consultation and effectively preserve a five-year route to settlement, subject to the mandatory conditions:

• Family members of British citizens (parent, partner or child) who meet core family requirements:
  • Reduction: 5 years
• BN(O) route holders:
  • Reduction: 5 years
• Global Talent / Innovator Founder, main applicants:
  • Three years continuous residence as a Global Talent worker or Innovator Founder:
    • Reduction: up to 7 years.

The government is also consulting on whether dependants of Global Talent and Innovator Founder migrants should benefit from a 5-year reduction.

No combining of multiple reductions

If more than one reduction could apply (for example, C1 English and BN(O) status), only the single largest reduction is used. Reductions cannot be added together.

Public funds

Where applicants have had access to public funds during their journey to settlement:

• Public funds for less than 12 months:
  • Increase: 5 years.
• Public funds for 12 months or more:
  • Increase: 10 years.

Entry route and overstaying

The following may result in an increase of up to 20 years:

• Arriving illegally, for example by small boat or clandestine entry.
• First entering on a visit visa.
• Overstaying permission by six months or more.

In extreme cases, this could mean that an individual faces a 30-year route to settlement.

Skilled workers and Health & Care workers

At present, many Skilled Workers including those on the Health & Care route  can settle after five continuous years if they meet the requirements.

Under the earned settlement model:

• The default five-year ILR pathway will end for most work routes.
• Skilled Workers will fall under the 10-year baseline, unless a relevant reduction applies (for instance high earnings, public service roles or qualifying volunteering).
• For those working in roles below RQF Level 6 (such as many care roles), the government is consulting on whether their baseline should rise further, to 15 years.

Removal of the long residence route

The current 10-year long residence route is described as “obsolete” in light of the new model and will be removed and future applications will be based on the earned settlement baseline with adjustments.

The government also questions whether settlement should continue to give automatic access to public funds:

• One option is to lengthen the qualifying period (beyond 10 years) for those in lower-wage occupations who are considered less likely to make a net fiscal contribution over time.
• Another option is to change the law so that ILR can itself be granted with a “no recourse to public funds” (NRPF) condition.

Adult dependants

Currently, adult dependants (for example partners of economic migrants) often settle at the same time as the main applicant without separate conditions.

Under earned settlement:

• Adult dependants in economic routes will have a distinct qualifying period, based on their own:
  • Earnings.
  • Integration.
  • Compliance history.
• Their route could be shorter or longer than that of the main applicant.
• However, they will only have a settlement pathway while the main applicant qualifies. If the main applicant fails on mandatory grounds, dependants will not have an independent route via that status.

Children and young people

For children, the government recognises that many of the earned settlement requirements cannot realistically be met:

• There will remain a window in which someone who began as a dependent child can:
  • Be granted settlement with their parents, or
  • Be granted further limited leave,
    even if they have turned 18 by the time their parents qualify.
• The Home Office is considering an age cut-off, after which:
  • Young adults would progress under the earned settlement principles in their own right.
  • Some mandatory requirements (such as National Insurance contributions for three years) might be waived below a certain age.

The government also intends to honour commitments from the 2025 Immigration White Paper to ensure that young adults who have lived most of their lives in the UK, but only discover at 18 that they lack status, are able to regularise and settle, particularly where they were unaware of their position.

Vulnerable and compassionate cases

Existing pathways to settlement without a fixed residence period will continue for certain groups, including:

• Adult family members needing long-term care from a UK-based relative.
• Victims of domestic abuse whose partner relationship has broken down.
• Resettled refugees.
• Bereaved partners of UK citizens or settled persons.

The consultation seeks views on how the earned settlement framework should be tailored for these and other vulnerable groups.

Members of HM Armed Forces

• The government reiterates its commitment to the Armed Forces Covenant.
• It is not proposing a different pathway to settlement for HM Armed Forces and their families compared with what exists now, but is seeking views on how they should be treated within the new framework.

A crucial question is how the reforms will apply to people already living in the UK and working towards ILR.

• Without transitional measures, anyone who has not been granted settlement when the new rules take effect would fall under the earned settlement system.
• The policy document explains that transitional arrangements are temporary rules to manage the move from one system to another and asks for views on:
  • Whether transitional provisions should exist at all.
  • If so, which groups they should protect and how.

Finally, the government plans to reform citizenship so that it aligns with the principles of earned settlement:

• Longer standard qualifying periods.
• Earlier eligibility for those who have made higher levels of contribution.

Any changes to British nationality law will require primary legislation and will be developed after decisions on the settlement framework, to ensure that the path from temporary permission, to settlement, to citizenship is coherent.

Although these proposals are under consultation and may be refined, some broad themes are clear:

• The five-year route to settlement will become far less common.
• For most migrants, the starting point will be 10 years, with scope to move up or down.
• High earners, those in specified public service roles, people with strong English and those who volunteer may shorten their route.
• Those who enter illegally, overstay or rely on public funds may see their route extended significantly, in some cases up to 30 years.
• Settlement and access to public funds may become separate steps, with some advantages shifting to the citizenship stage.

For anyone already in the UK or planning to come, this model assumes that how you live, work and comply over time will be just as important as how long you have been here when it comes to securing permanent status.

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