The Home Office is currently consulting on proposals to introduce an ‘earned settlement’ model. The consultation period is due to end at 23:59 GMT on 12 February 2026 and new Immigration Rules implementing earned citizenship could be introduced as early as April 2026. 

For general information on the proposals and the main public consultation, see our separate article here.

This article covers the proposed minimum mandatory requirements. There are also additional proposals relating to the qualifying period for settlement. For more detailed information on the proposed baseline qualifying periods, and how these may be reduced or increased, see our article here.

What are the proposed minimum mandatory requirements for earned settlement?

Table 1 of the consultation document confirms that the below mandatory minimum requirements will be applied for all applicants under the earned settlement model:

The consultation document states that the mandatory minimum requirements are not within the scope of the consultation, except for the length of time a person must demonstrate an earned income. However, the contribution criterion does include the possibility of having an ‘alternative amount of income’. 

We consider each of the requirements further below.

In more detail: suitability requirements

Criminality and other suitability criteria that may result in refusal

Under the proposed suitability criteria, any person with a criminal record will not be able to settle in the UK. This requirement is a significant jump from the current rules, where the seriousness of the criminality is assessed when considering eligibility for settlement. Under the proposals, youth offences and strict liability offences (e.g. speeding or driving without insurance) would result in a permanent ban from settlement.

If there are no transitional arrangements (which is the Government’s preferred position), individuals who were accepted onto a settlement route despite having an historic criminal conviction may find they are permanently barred from settling. 

It may be possible for discretion to be exercised outside the Rules in exceptional cases, however the exercise of such discretion is rare. 

Outstanding debt

Under the proposals, applicants for settlement must not have any current litigation, NHS, tax or other government debt. The current rules only provide for refusal if there is an outstanding debt to the NHS, or where litigation costs have been awarded to the Home Office and remain unpaid. 

Clarification is awaited on the following points:

• Whether the criteria on NHS and litigation debt will remain as currently defined;
• Whether a tax debt will only be relevant if a tax liability has not been paid by the relevant deadline; and
• What the definition of ‘government debt’ may be – potentially it could include public funds that are not prohibited, but that have been received by the applicant in error, e.g. where eligibility for tax free childcare or free childcare for working parents has been incorrectly assessed.

In more detail: integration requirements

English language requirement

Under the proposals, applicants will be required to demonstrate English language skills at an upper intermediate level (B2 standard under the Common European Framework of Reference for Languages). This is an increase from the current intermediate (B1) proficiency requirement for most applicants, including Skilled Workers and partners under Appendix FM of the Immigration Rules. 

It is not anticipated A question arises for individuals who have already met the English language requirement using an approved English Language Test at B1 level. Will they be required to re-take the test at B2 level? 

There are concerns about timing and the preparation required for meeting the English language requirement, even for those that have already met the requirement at a high level in a previous immigration application. There is also an additional cost to undertake fresh tests and these costs will be another hidden expense as part of an already extremely expensive process. Particularly where dependants are also required to meet the requirement – for example, a family of two parents and two adult children (dependants who turned 18 while in the UK on a dependant visa) could spend upwards of £600 just to meet the English language requirement at B2 level.

A reasonable approach would be to implement transitional requirements for people that have already met the English language requirement at B1 level. 

Life in the UK Test

Perhaps surprisingly, while so many key elements of the settlement system are subject to change, there is no indication of transformation to the Life in the UK Test. 

The consultation does ask if integration should be assessed through a “revised Life in the UK Test” but the document does not provide any further details or reveal what a revised test may look like. The most recent public commentary on the Life in the UK Test came from the House of Lords inquiry findings published in June 2022, where recommendations were made for a reform of the Life in the UK test and of its associated handbook as a matter of priority. The report states that the lack of deadline on a review of the test is inadequate. 

Nevertheless, no reform to the Life in the UK test is clarified as part of the consultation document. 

In more detail: contribution requirements

Taxable annual earnings

Applicants will be required to show that they have annual earnings above £12,570 for a period of 3 to 5 years to be eligible for settlement. This amount is the current threshold for paying income tax and National Insurance Contributions. 

The consultation document does not include the word ‘taxable’, but because it references the taxable earning figures, we presume that the requirement will consider ‘taxable earnings.’

The Government may wish to use taxable income as the requirement because this information is most readily available through HMRC records. This will make the verification process more straightforward, but it can raise other administrative questions, for example, will applicants need to wait until the end of the tax year to prove their income figures? A strict interpretation could mean that eligibility is deferred to a date after the end of the tax year. In these cases, there may be circumstances where individuals must get a short-term extension to their permission to reach the end of the taxable year. 

The taxable income conditions could benefit some people, for example those with passive income that is taxable in the UK. 
There are however groups that could potentially be excluded and severely disadvantaged by these proposals unless there are exemptions. This may include individuals who entered the UK on routes that did not require work, such as the British National (Overseas) route. Retired people whose pension income is not taxable would not be eligible, despite the Government promising a route to settlement for people in this category.

Other highly disadvantaged people include dependants who have caring responsibilities or who have sufficient household income that they do not need to work, and children with limited immigration permission who reach 18. Families may need to substantially change their arrangements years in advance of applying for settlement.  

It is suggested in the consultation document that exemptions could apply, and this would be crucial for many applicants that would be caught by these changes, potentially without realising. 

The document states that despite the income related thresholds being tied to current tax thresholds, the thresholds would not track future changes to the tax systems. This means that if tax thresholds increase, for example from the £12,570 income tax threshold, we should not expect the salary threshold to increase with it. 

Alternative amount of income

The contribution requirement states that an applicant can meet the requirement by having an “alternative amount of income”. What this means and how this would be calculated is not elaborated on in the document. No feedback is sought in the consultation on what alternative kinds of income could meet the contribution requirements. 

Having an alternative option will help people who do not meet the standard criteria, but without further clarity we will not know how useful these arrangements will be. Questions will be raised on whether the income requirements will be strict for applicants who have been on maternity leave, disability leave, or other types of absences that impact their normal income levels.

Length of contribution

The consultation document states that the mandatory contributions must be made for a minimum of 3 to 5 years (subject to consultation), however it does not specify whether the contributions must be continuous in the lead up to applying for settlement. It would be fairer if the contributions were not required to be continuous, and applicants could meet the requirements by demonstrating income for periods of 3 or 5 years over the course of their residence in the UK, rather than setting the clock back to zero if they are no longer earning any income. 

If the Government decides on a 5 year period for contributions, this could be another issue for dependants, as their integration into the workforce may be slower than for a main applicant who comes to the UK with a job offer or other economic justification. It could also be an issue for Global Talent migrants and UK Ancestry holders who might come to the UK without a firm job offer or income stream, and require more time establish themselves economically. 

What overall effects may the minimum mandatory requirements have on eligibility for settlement?

If these minimum mandatory requirements are implemented as proposed in the consultation document, this will have an enormous impact on many people who are already on a path to settlement in the UK. There is a significant risk that people will not know that the criterion have changed until it’s time to make an application and they realise that they are not eligible. Some people may never be eligible for settlement in the UK due to historic criminal convictions or having no independent income. 

These changes will impact the most vulnerable people the greatest, including caregivers who support their families but have no income of their own and are therefore not eligible for settlement. It will also have a disproportionate impact on young people and older people, who may not be working due to education commitments or health concerns. Unless there are exemptions to various criteria, many people will find themselves without a route to settle in the UK alongside their families, creating disparity within the family unit. The criteria has the potential to become much more complex to administer, which in itself can lead to delayed eligibility and people needing to extend their permission while they wait for items like HMRC records. Applicants will likely need legal advice to successfully navigate the requirements and various exemptions.

Need help?

If you have any queries about the proposals and how they may affect you or your business, or if you need assistance with drafting a response to the consultation or inquiry, please contact a member of our immigration team.