UK Visas and Immigration fee increases: the background

Fees for immigration and nationality applications in and outside the UK increased on 4 October 2023. The increase is expected to affect overseas workers and their employers as well as the wider immigration market and UK economy.

Application fees

The increases include fees for immigration and nationality applications and priority processing services. Application fees are set to increase somewhere between 15% and 35% depending on the category being applied for. This is slightly higher than the Home Office’s previous announcement, which suggested increases of between 15% and 20% across the board. 

Student applications are, unsurprisingly, most affected by and will see the highest increase. This does appear harsh but is not altogether unexpected given that the student category has been the focus of the UK government’s plans to reduce net migration (changes in switching requirements and ability to bring dependants for example).

The new fees from 4 October 2023 can be accessed at Home Office immigration and nationality fees: 4 October 2023.

Changes for sponsored and sponsors

The changes affecting sponsored workers and their sponsors include for a skilled worker visa and Senior or specialist worker (global business mobility) applications:

•    Outside UK (3 years or less) - £625 increasing to £719 (£94 increase)
•    Outside UK (over 3 years) - £1,235 increasing to £1,420 (£185 increase)
•    Inside UK (3 years or less) - £719 increasing to £827 (£108 increase)
•    Inside UK (over 3 years)- £1,423 increasing to £1,500 (£77 increase)

Fees to assign a certificate of sponsorship: skilled worker, T2 minister of religion, senior or specialist worker are increasing by £40 from £199 to £239.

Most importantly, these increases to fees do not include the announced significant increase to the immigration health surcharge (IHS) (currently at £624 per year and increasing to £1,035 per year). While this increase requires a different parliamentary process, it is widely expected later this autumn.

Osborne Clarke comment

These increases to application fees are substantial and likely to have a significant financial impact for applicants and their sponsors. We would strongly suggest that HR teams review their upcoming need and budget. It would also be advisable to review and ensure if you have clawback agreements in place, if they are being used consistently and whether they need updating or reviewing. Remember not all fees can be included in these claw back agreements so advice is recommended.

In light of the upcoming additional increase to the IHS later in autumn, making earlier extension applications may be preferable. However, early applications will affect individuals' eligibility for indefinite leave to remain so should be carefully considered before being made.

Please do get in contact with the team for more detailed advice and assistance as needed.