Date updated: Friday 14th July 2023

On 13 July 2023, Prime Minister Rishi Sunak announced a significant increase in visa application fees and the annual Immigration Health Surcharge paid by overseas workers.

Although the exact date for when the increases will come into effect is still to be announced, the government says the move will help pay for some salary increases in the public sector. Due to the timing of the announcement, we anticipate that the increases could come into effect as soon as the Autumn.

The headline increases that have been announced are as follows:

  • the mandatory Immigration Heath Surcharge fee (IHS) to increase from £624 to £1,035 per year.  This is a difference of £2,055 on the cost of a five-year Skilled Worker visa
  • discounted IHS for students/children/youth mobility applicants to increase from £470 to £776 annually
  • work and visit visa application fees to rise by 15%
  • at least a 20% rise in application fees for student visas, certificates of sponsorship, settlement, citizenship, entry clearance and leave to remain applications

Organisations hoping to fill vacancies with migrant workers (either in the UK currently or due to migrate) now face a significant rise in employer costs, as do individual overseas workers.

In light of these increases we are advising clients to consider their recruitment pipeline and bring forward visa applications where possible.

If you would like further advice on the impact of increased immigration costs on your organisation, or any help with specific visa applications, please get in touch with our specialist Immigration team  JulieMoktadir@stoneking.co.uk ,  sarahkeeley@stoneking.co.uk or juliannabarker@stoneking.co.uk