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UK to hike salary threshold for foreign workers to £30,000: Report

Currently, workers outside shortage occupations require a minimum salary of £26,200 to take up jobs in the UK – lower than the median wage of £33,000

uk salary threshold
This move is seen as an effort to reduce net migration to the country

The UK government is reportedly planning to enforce a rule which would require foreign workers to be paid a salary exceeding £30,000 ($37,573) to come to Britain, a move seen as a bid to curb net migration to the country.

The reform plans, currently under consideration, are expected to be officially outlined this week as part of the ongoing efforts to reduce net migration levels, The Telegraph reported.

Currently, workers outside shortage occupations require a minimum salary of £26,200 ($32,814) to take up jobs in the UK – lower than the median wage of £33,000 ($41,330).

While the specific details of the proposal are still being considered, it is likely that ministers will agree to raise the salary threshold for skilled workers to approximately the median wage of £33,000 ($41,330), the report said.

UK Immigration: Concerns over salary threshold

However, uncertainties remain regarding potential restrictions on foreign care workers and migrants bringing their families to the UK, it said.

Experts point out that the proposed salary threshold, if implemented, could impact private businesses, with care workers being a focal point of discussion due to their current classification as a shortage occupation.

The Oxford University Migration Observatory highlighted that the threshold has not kept pace with inflation and, if adjusted for rising wages, would now stand at around £30,000 ($37,573).

The proposed move on hiking the salary threshold, yet to be finalised, underscores the government’s intent to address concerns surrounding immigration levels, particularly in skilled worker categories.

This week’s net migration data for the year ending June 2023 is anticipated to reveal levels hovering around 500,000, a figure that remains significantly higher than pre-Brexit levels.

The surge, driven by factors such as increasing emigration, the return of overseas students, and a decline in the number of Ukrainian refugees and Hong Kongers, has outpaced the government’s 2019 manifesto pledge to reduce overall net migration.

Notably, UK PM Rishi Sunak has reportedly resisted further constraints on foreign students, aside from the existing ban on postgraduate students, out of concern for deterring highly skilled individuals who could contribute to economic growth.

As the government grapples with the complexities of immigration policy reform, the implications of these proposed changes remain a subject of ongoing debate, particularly concerning their potential impact on various sectors and the overall trajectory of net migration in the UK.

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