Important Update for Care Providers: Changes to Sponsorship Salary Thresholds for Overseas Workers
From 9 April 2025, significant changes to the UK’s immigration rules will take effect, directly impacting how care providers sponsor overseas workers.
The UK Home Office has announced the removal of the 20% salary discount that previously applied to health and social care workers on the Shortage Occupation List. As a result, care workers sponsored from this date must now be paid a minimum of £12.82 per hour.
The full set of changes was published in the government’s official statement of changes to the Immigration Rules, which can be accessed here: UK Home Office: Statement of Changes to the Immigration Rules – HC 733 (PDF)
This development has not been widely publicised, yet it carries serious implications for care providers across the UK, including in Scotland.
What’s Changing?
Previously, care workers on the Shortage Occupation List could be sponsored at a discounted salary rate. From 9 April 2025, this discount is being removed. The new minimum salary threshold for sponsored care workers will be:
- £12.82 per hour, or
- £26,200 per year based on a standard 39-hour week
This is higher than both the National Minimum Wage and the new National Living Wage, which will be £12.60 per hour.
The change applies to all new visa applicants, as well as those applying for visa extensions or Indefinite Leave to Remain (ILR) — though the latter is still awaiting formal confirmation.
Who Will Be Affected?
- New applicants being sponsored from 9 April 2025 onwards
- Existing sponsored care workers seeking to renew their visa or change employer
- Individuals applying for Indefinite Leave to Remain (ILR) — pending clarification from the Home Office
Even though the announcement focused on care recruitment in England, Scottish Care has confirmed that these changes also apply to care providers in Scotland.
Key Actions for Providers
These rule changes mean providers must act swiftly to remain compliant and protect both their workforce and their sponsor license. We recommend:
- Reviewing Recruitment and Sponsorship Processes
Forward planning is essential. Providers should review their current and upcoming Certificates of Sponsorship (CoS) and ensure all future job offers meet the new salary threshold.
- Checking Pay Structures
Wages may need to be increased to meet the new £12.82/hour requirement. Failing to do so may result in visa refusals or even suspension of your sponsor license.
- Communicating with Staff
Current sponsored workers should be kept informed. Open communication is key to managing concerns, especially for those nearing visa renewal or exploring ILR options.
- Monitoring Further Guidance
Clarification is still needed on whether these changes will affect current visa holders applying for settlement. Providers should continue monitoring updates from the Home Office and seek legal or compliance support as needed.
The Sector’s Response
Karen Johnson, Managing Director of Balhousie Care Group, summed up the concerns of many in the sector:
“These unexpected changes have significant implications for social care providers in Scotland, and the overseas workers they currently employ or may seek to recruit in the future.”
Fulcrum’s Advice
At Fulcrum Care, we understand the pressure these changes place on providers — particularly at a time when recruitment and retention remain significant challenges.
We are advising all providers who currently employ or plan to sponsor overseas workers to:
- Review your existing contracts and pay structures
- Plan proactively for future visa applications
- Engage early with legal or immigration professionals where needed
- Ensure compliance to protect your sponsor license and workforce stability
If you need support reviewing your HR and sponsorship processes in light of these changes, Fulcrum Care is here to help.
Talk to Fulcrum
We offer expert operational, regulatory and compliance consultancy tailored to the care sector. If you’re unsure how these immigration changes impact your business — or need guidance to navigate them — please get in touch.
We’re committed to helping providers stay compliant, confident, and workforce-ready.