The Government has announced it will increase the cost of visa fees and the Immigration Health Surcharge (IHS) as part of a push to raise funds for pay-rises in the public sector. Work and visit visa fees are expected to increase by 15%, all other visa categories, Certificates of Sponsorship, and settlement and citizenship applications are expected to rise by 20%. The IHS will increase by 66% from £624 per year of the visa to £1,035 per year of the visa for adults.
It has not yet been announced when these changes will come into effect, but it can be assumed that they will be introduced sooner rather than later.
Worked example below of how costs are expected to increase.
| Application element | Current rate for a single worker (3 years) | Expected new rate for single worker (3 years) | Current rate for a single worker (5 years) | Expected new rate for single worker (5 years) |
|---|---|---|---|---|
| Visa application fee | £719 | £827 | £1,423 | £1,637 |
| Certificate of Sponsorship | £199 | £239 | £199 | £239 |
| Immigration skills charge | £3,000 | £3,000 | £5,000 | £5,000 |
| Immigration health surcharge | £1,872 (rate of £624 per year of visa duration) | £3,105 (rate of £1035 per year of visa duration) | £3,120 (rate of £624 per year of visa duration) | £5,175 (rate of £1035 per year of visa duration) |
| Priority Service (optional) | £500 | £500 | £500 | £500 |
| Total Home Office fees | £6,290 | £7,702 | £10,242 | £12,546 |
Employers may want to consider:
- Review of what visa expenses are supported; for example:
- Will applicants be expected to cover any costs themselves?
- Will support for dependent family members be provided?
- Do you want to provide a loan as an employee benefit to help support visa costs (similar to a season ticket loan)?
- Do you want to put a clawback arrangement in place with the employee?
Originally published 27 July 2023
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