How to Hire Foreign Workers in the UK Post-Brexit – Rules & Visas

Table of Contents

1. Introduction: The Impact of Brexit on UK Employment for Foreign Workers

Since Brexit, the UK has implemented a new immigration system that affects how employers can hire foreign workers. Under this system, EU and non-EU workers now face similar visa requirements, which means that UK employers must follow specific processes to employ foreign talent. This guide outlines everything you need to know about employing foreign workers in the UK, from visa options to employer sponsorship duties.

2. Key Changes for Employing Foreign Workers Post-Brexit

Brexit has introduced several significant changes for employers hiring foreign workers:

End of Free Movement: EU nationals now need work visas to be employed in the UK, just like non-EU nationals.
Points-Based System: The UK introduced a points-based immigration system, where workers must meet specific skill, salary, and English language requirements.
Sponsorship Requirements: Employers must become licensed sponsors to hire workers under certain visas, such as the Skilled Worker Visa.

3. Visa Options for Foreign Workers

There are several types of work visas available for foreign nationals in the UK:

Skilled Worker Visa

The Skilled Worker Visa is the main route for employing foreign workers in the UK. Key requirements include:

Job Offer from a UK Employer: Must have a job offer from a licensed sponsor.
Salary Requirement: Minimum annual salary of £26,200 or the “going rate” for the specific occupation, whichever is higher.
Skill Level: Job must be at least RQF Level 3, equivalent to A-level.
English Language: Applicants must meet English language proficiency requirements.

Global Business Mobility Visa

This visa is for employees of multinational companies transferring to a UK branch. It’s useful for specialized roles or senior managers. There are several categories within this visa, including Senior or Specialist Worker routes.

Health and Care Worker Visa

Aimed at healthcare professionals, this visa allows foreign workers to fill critical roles in the NHS, adult social care, or similar sectors. It has lower fees and allows family members to accompany the applicant.

Graduate Visa

Graduates from UK universities can stay for two years (or three years for doctoral graduates) to work without a sponsor. This is an excellent option for employers seeking to hire recent graduates.

High Potential Individual Visa

For individuals with a degree from a top global university, this visa allows skilled workers to come to the UK without a job offer or sponsorship, providing employers with access to a global talent pool.

To hire foreign workers under the Skilled Worker Visa, employers must obtain a Sponsor Licence:

Application Fee: £536 for small businesses and charities; £1,476 for medium or large companies.
Eligibility Requirements: Must be a genuine business, capable of meeting sponsorship duties and compliant with UK laws.
Certificate of Sponsorship (CoS): Once licensed, employers can issue a CoS to workers, allowing them to apply for a visa.

The sponsor licence is valid for four years, after which it must be renewed to continue hiring foreign workers.

Employers have specific duties when hiring foreign workers under a sponsorship licence:

Maintain Records: Keep accurate records of sponsored employees, including contact details and work hours.
Report Changes: Notify the Home Office of any changes to employment, such as promotions, changes in duties, or if the worker leaves.
Compliance Visits: Be prepared for compliance checks from UK Visas and Immigration (UKVI) to ensure adherence to sponsorship duties.

Failure to meet these responsibilities can lead to penalties, including fines, licence revocation, and restrictions on hiring foreign workers in the future.

6. Sponsorship Costs and Associated Fees

Employing foreign workers comes with various fees that employers and employees should budget for:

Sponsor Licence Application: £536 for small companies, £1,476 for larger employers.
Certificate of Sponsorship: £199 per worker.
Immigration Skills Charge: £364 per year for small businesses; £1,000 per year for medium and large businesses.
Visa Fees and Health Surcharge: Employees must pay visa application fees and the Immigration Health Surcharge.

7. Compliance and Record-Keeping Requirements

To maintain a sponsor licence, employers must comply with record-keeping and reporting duties:

Employee Records: Maintain up-to-date records, including right-to-work documentation, start dates, job titles, and salary.
Right to Work Checks: Conduct and document right-to-work checks for every employee, keeping records for Home Office inspections.
Reporting Changes: Report major changes in employment status, personal circumstances, or business structure within 10 days.

Non-compliance may lead to penalties, including licence suspension, revocation, or fines.

8. How Brexit Affects EU Nationals

Since Brexit, EU nationals are now required to hold a valid work visa to be employed in the UK. However, there are some exceptions:

EU Settlement Scheme: EU nationals who were living in the UK before December 31, 2020, could apply for settled or pre-settled status, allowing them to work without additional visas.
Right-to-Work Checks: Employers must verify work authorization for all EU nationals employed after Brexit.

Employers need to understand these requirements to avoid compliance issues when hiring EU nationals.

9. Alternative Options for Short-Term Work

For short-term employment or seasonal work, employers can consider these options:

Temporary Worker Visa (T5): Allows short-term work in sectors like charity, creative, sporting, or religious activities.
Youth Mobility Scheme: Open to young people from specific countries, allowing work for up to two years without sponsorship.
Graduate Visa: As previously mentioned, allows recent graduates to work in the UK for up to two years without a sponsor.

10. Frequently Asked Questions

Yes, unless the EU national has pre-settled or settled status under the EU Settlement Scheme. Otherwise, employers need a sponsor licence to hire EU nationals.

Can I switch a temporary worker to a Skilled Worker Visa?

Yes, it is possible to switch a temporary worker to a Skilled Worker Visa if they meet the eligibility requirements, including having a job offer and a Certificate of Sponsorship.

Sponsor licence applications usually take 8 to 12 weeks, though premium processing options may be available for faster decision times.

Are there tax implications for hiring foreign workers?

Generally, foreign workers are subject to the same income tax and National Insurance contributions as UK workers. Employers should ensure they meet all HMRC requirements.

Yes, most work visas allow foreign workers to bring their dependents (spouse/partner and children), who may also work or study in the UK.

11. Conclusion

Employing foreign workers in the UK post-Brexit requires careful planning, compliance, and understanding of the new immigration rules. From sponsoring Skilled Worker Visas to maintaining sponsor licence duties, employers have various options and responsibilities. By familiarizing yourself with visa categories, costs, and legal obligations, you can successfully attract international talent while remaining compliant with UK immigration laws.