United Kingdom Archives

IMPACT – MEDIUM

What is the change? The U.K. has changed the rules for nationals requiring airside and landside transit visas.

What does the change mean? Nationals requiring a Direct Airside Transit Visa to pass through the U.K. in transit, both airside and landside, can either apply for a transit visa or use a document on the list of exempt documents. Nationals who only need a transit visa to transit landside will no longer be able to transit by showing just an onward ticket; they must apply for a transit visa or have one of the exempt documents.

Implementation timeframe: Dec. 1.
Visas/permits affected: Direct Airside Transit Visas, Non-Direct Airside Transit Visas.
Who is affected: Nationals of the countries requiring a DATV or non-DATV.
Impact on processing times: Travelers who have an exempt document can avoid having to apply for transit visas.Nationals who formerly used only an onward ticket to transit landside and who do not have an exempt document will now have to apply for a transit visa.
Business impact: Depending on a traveler’s nationality and exemption status, the new rules could simplify or lengthen procedures to transit through the U.K.
Next steps: Travelers passing through the U.K. in transit should be aware of the new rules and determine if they require a transit visa before travel.

Background: Transit visas are required of certain nationals stopping in the U.K. en route to other destinations within 24 or 48 hours.

Airside transit refers to an onward flight on the same day and departing from the same U.K. airport as arrival. Airside transit passengers do not pass through the U.K. border controls. Landside transit refers to an onward flight from a different U.K. airport or transit involving re-checking baggage and therefore passing through border controls to enter the U.K.

As of Dec. 1, nationals who require a visa to transit through the U.K. both airside and landside (“DATV nationals”) will have the option to apply for a transit visa or use an extended list of exemption documents, such as an EEA or Swiss residence permit, and pay a reduced cost of £30 for the DATV valid for two years. Chinese and Indian travelers may use the recently launched British and Irish Visa Scheme biometric visa as an exemption document for transit.

Under the new rules, nationals who require a transit visa for landside travel only (“non-DATV nationals”) can no longer transit landside with only a confirmed onward ticket; they must either apply for a transit visa or use one of the exemption documents and they must arrive and depart by air and have a confirmed onward flight leaving by 11:59 p.m. the following day. Nationals of Bolivia, Ecuador and Montenegro will no longer be required to hold a DATV or exemption document for airside travel.

BAL Analysis: Business travelers and foreign employees and assignees planning to transit through the U.K. should plan for the new rules, and non-DATV nationals should anticipate extra procedures as they can no longer just show proof of onward travel.

This alert has been provided by the BAL Global Practice group in the United Kingdom. For additional information, please contact uk@bal.com.

Copyright © 2016 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.

IMPACT – MEDIUM

What is the change? Under recently implemented immigration rules, U.K. visa officers charged with approving visa applications both inside and outside the U.K. have been granted new powers to seek proof from employers that they have complied with visa and sponsorship criteria.

What does the change mean? Employers may be asked to show proof of their compliance with Tier 2 (ICT) and Tier 2 (General) qualifying rules when they submit a visa application or at renewal time. Previously, this qualification was not tested as part of the U.K.’s self-certification system. Now, for example, entry clearance officers may seek proof of resident labor market testing in the Tier 2 (General) stream, proof of compliance with standard job titles, job descriptions and salary levels of foreign workers in any Tier 2 stream, and proof of a work contract where a foreign employee is placed at a third-party client site but controlled by the sponsor.

Implementation timeframe: Immediate and ongoing.
Visas/permits affected: All Points-Based System categories, particularly Tier 2 General and ICTs.
Who is affected: Employerssponsoring foreign workers in the above categories.
Impact on processing times: The change does not directly impact processing times, but greater scrutiny and requests for proof may delay some cases.
Business impact: The increased authority of visa officers adds another layer of compliance oversight to the visa process and greater uncertainty.
Next steps: Employers are encouraged to work with their BAL attorney to have relevant documentation on hand to meet any additional requests for proof of compliance.

Background: While the key policy provisions of Tier 2 (ICT) and Tier 2 (General) have not changed, visa officers now may award no points for a Certificate of Sponsorship when they determine that there is not a “genuine vacancy,” affording them the power to refuse an application. Prior to this change, the U.K. had an entirely self-certifying system, where the employer was responsible for ensuring that it met the relevant policy provisions of the Tier 2 category prior to issuing a Certificate of Sponsorship, and was required only to prove qualification via a record check during an audit by the Home Office. The purpose of the visa application was to check security risks posed by the employee, rather than to assess qualification. Under the new rules, visa officers will not necessarily take the Certificate of Sponsorship at face value and may request additional evidence from employers demonstrating that they meet the Tier 2 criteria. This is one of a number of factors currently changing the objective Points Based System into a more subjective system with greater uncertainty about documentary requirements.

BAL Analysis: Employers are advised to take a more proactive role in making sure that they are compliant with sponsorship and visa criteria, rather than assuming that compliance has been checked and authorized at the visa application stage or passively awaiting an audit. They should anticipate that visa officers may request evidence in addition to the Certificate of Sponsorship, particularly if there are any doubts about qualification for positions and the skill levels that are required, the validity of the Resident Labour Market Test, or the nature of the relationship with a client.

BAL’s U.K. office held a webinar for employers in London on Dec. 4 on the impact of the genuine vacancy requirements and would be pleased to forward materials to those who were unable to attend.

This alert has been provided by the BAL Global Practice group in the United Kingdom. For additional information, please contact uk@bal.com.

Copyright © 2016 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.

IMPACT – HIGH

What is the change? Beginning Dec. 10, U.K. residents applying for visas to Russia must appear in person at a visa application center in London or Edinburgh to give their fingerprints.

What does the change mean? Because these are the only two locations that will collect biometric data, some U.K. applicants will have to travel great distances to obtain Russian visas.

Implementation timeframe: Dec. 10.
Visas/permits affected: All visas to Russia, except official or diplomatic visas.
Who is affected: Anyone applying in the U.K. for a visa to Russia.
Impact on processing times: Applicants should anticipate significant wait times as fingerprints will be taken on a first-come, first-served basis; there is no system for scheduling an appointment.The normal processing time is expected to be six days with a next-day service option.
Business impact: The new requirements will cause inconvenience and additional travel time and cost to applicants living far from London or Edinburgh.
Next steps: Applications received before 8 a.m. GMT Dec. 9 will not require fingerprinting. Applicants seeking next-day visa processing should plan to appear for fingerprints as early in the day as possible.

Background: On Nov. 24, Russian President Vladimir Putin issued executive order No. 735, stating that fingerprinting will be required for travelers applying for Russian visas at consular posts in Denmark, Myanmar, Namibia, the U.K. and at Moscow’s Vnukovo International Airport. On Dec. 3, the Embassy of the Russian Federation in the U.K. announced that U.K. residents must fulfill the requirement by appearing at visa application centers in London or Edinburgh. The requirement is mandatory for all visa applicants applying in the U.K., except applicants under 12 years old and those applying for official or diplomatic visas.

Normal visa processing time is six days. Applicants may opt for next-day processing only if their fingerprints were taken before 3 p.m. the previous day.

BAL Analysis: Visa applicants should anticipate additional time for traveling to London or Edinburgh and queuing at the visa application center as there is no way to schedule an appointment. Applicants are urged to make sure their applications and supporting documentation are complete before traveling to London or Edinburgh to reduce the risk of having to make another trip if their application packet is incomplete.

This alert has been provided by the BAL Global Practice group in the United Kingdom. For additional information, please contact uk@bal.com.

Copyright © 2016 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.

IMPACT – HIGH

What is the change? The United Kingdom will expand its 24-hour “super priority” visa service to Turkey, South Africa, the United Arab Emirates, Thailand and the Philippines, as well as to the visa decision-making centers in New York and Paris. The program is already operating in China and India.

What does the change mean? Nationals and residents of the affected countries will be eligible to receive British travel visas in less than 24 hours. Applicants whose visas will be processed in New York (e.g., applications made in Canada are processed in New York) or in Paris will also be eligible to apply for this service. The services will cost £600 above the normal visa-application fees.

Implementation timeframe: The program will be expanded by April 2015, according to Prime Minister David Cameron’s office.
Visas/permits affected: Visit visas only.
Who is affected: Nationals and residents of Turkey, South Africa, the United Arab Emirates, Thailand, the Philippines, the U.S., France and those whose applications will be handled by the visa-processing centers in New York or Paris.
Impact on processing times: The program makes 24-hour visa processing available.
Business impact: For an additional fee, business travelers from the above countries will have a faster option to obtain a U.K. visa.
Next steps: The service is expected to be available by April 2015.

Background: The U.K.’s same-day “super priority” visa service, launched for Indian travelers in 2013 and expanded for use by Chinese travelers earlier this year, has proven to be successful. Cameron’s office has confirmed that the Indian visa service averages 50 to 60 applications per month, while the Chinese applications top 100 applications per month. The service is expanding to those locations that have a high demand for businesses and high-value travelers to reinforce the idea that the U.K. is open for business and to persuade more business travelers, investors and tourists to visit, trade with and to expand in the U.K. Other than processing times, applicants using the 24-hour service are subject to the same requirements and immigration rules as those applying through the normal visa processes.

BAL Analysis: Cameron’s office hopes the service will draw business travelers, investors and affluent tourists to the U.K. through faster visa processing. The service is very costly, however, and may save applicants only a few days, depending on location. For example, standard processing for a six-month visit visa in New York is five days for a standard application fee of £83.

It should also be noted that even with the “super priority” service, applicants still need to factor in time to prepare their applications, complete a biometrics appointment, and travel to the consulate. The new service will primarily be of use to high net worth visitors, and in situations where enhanced processing is critical for business people and justifies the additional costs.

This alert has been provided by the BAL Global Practice group in the United Kingdom. For additional information, please contact uk@bal.com.

Copyright © 2016 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.

IMPACT – HIGH

What is the change? The Home Office has released a statement of changes to the Immigration Rules covering nearly all U.K. immigration categories.

What does the change mean? Among the changes, there are new rules and criteria for Tier 2 and Tier 1 categories under the points-based system and an expansion of permitted activities under Business Visitor visas.

Implementation timeframe:The various changes become effective Oct. 20, Nov. 6 and Dec. 1 of 2014, and Jan. 1, 2015.
Visas/permits affected: The rules cover all visa categories under the points-based system.
Who is affected: Companies and foreign nationalsworking in the U.K. and family members.
Impact on processing times: The changes reflect qualifications for visas, not overall processing methods or timing.
Business impact: Corporate employers will be impacted most heavily in relation to Tier 2 and the tightening of Resident Labor Market testing.

Background: The U.K. Immigration Rules have undergone sweeping changes across all immigration categories, as well as on cross-cutting issues such as replacing appeal rights with administrative review (as set up by the Immigration Act 2014). We have summarized the changes most relevant to corporate employers below.

TIER 2 CHANGES:

Tier 2 (General):Applications will be assessed on whether a “genuine vacancy” exists. Extension applications will be exempt from the Resident Labour Market Test where the applicant is continuing to work in the same job for the same sponsor. This applies if their previous leave as a Tier 2 (General) worker expired no more than 28 days before their extension application. The minimum salary of £20,500 can no longer be waived for companies reducing hours to avoid redundancies (layoffs). National Health Service positions will continue to be exempt until April 6, 2015 from the requirement to advertise via Jobcentre plus. (The rule was due to expire Oct. 1, 2014.)
Tier 2 (Intra-Company Transfer):Applications will be assessed on whether a “genuine vacancy” exists. The rules will also correct a drafting error regarding how time spent in the ICT category is counted toward the maximum six years that applicants may spend in other Tier 2 categories.

BUSINESS VISITORS:

Business Visitor visas will permit new activities as long as the individual remains paid and employed overseas. The new activities are:

Scientists and researchers are permitted to share knowledge, expertise and advice on international projects led by the U.K., unless the visitor is carrying out research that should be categorized under Tier 5 (Temporary Worker) or Tier 2 (Skilled Worker).
Overseas lawyers who are employees of international law firms that have offices in the U.K. may provide direct advice to clients in the U.K. on litigation or international transactions as long as they remain paid and employed overseas.
Graduates of overseas nursing schools may sit for the Objective Structured Clinical Examination in the U.K. on a Business Visitor Visa. The exam is required before a foreign nurse can work in the U.K. under the Tier 2 route.

TIER 1 CHANGES:

Exceptional Talent.The duration of this category will be changed from the current three years to five years. English language proficiency will no longer be a requirement for extensions of this visa. The rules also modify criteria by individual industry bodies for endorsement of applicants.
Investor. The minimum investment threshold will be doubled from the current £1 million to £2 million and 100 percent of the sum must be invested in qualifying instruments. Investors will no longer need to “top up” investments that fall below the minimum. The required investment may no longer be sourced as a loan.
Entrepreneur.Applicants applying within the U.K. must show that the funds that will be invested in the business are in the U.K. Applicants for indefinite leave to remain must show that they have invested the funds if they have not done so in an earlier application. This will apply to those seeking accelerated indefinite leave to remain who have not applied previously for an extension.
General category (now closed).Some changes to the grant periods will allow applicants to accrue five years in the category before it closes and thereafter qualify for settlement. The Home Office will assess these changes after all extension applications are processed after April 2015.

BAL Analysis: The new law encompasses a multitude of changes across the board. The changes to the Tier 2 category will have the biggest impact for corporate employers, who use this to move their global workforce. The Home Office’s intent to strengthen the Resident Labour Market Test and require that employers conduct a “genuine” search for a “genuine” role means employers should be very careful regarding recruitment practices as well as “overmanaging” any Tier 2 visa process. The language introduces a further level of subjectivity into the decision-making process in what should be an objective points-based system.

The changes to the Business Visitor category show a broadening of the category. We anticipate deep levels of change over the coming year to bring business visitor rules further in line with commercial realities.

Changes to the Tier 1 routes for the most skilled/valuable migrants to the U.K. are broadly welcome. The Exceptional Talent category is so tight in its definition of success that it does not form a realistic route for globally mobile professionals – the changes arguably do not go far enough to make this a meaningful immigration option. The increase in investment under the Investor category was widely anticipated, given that the amount has not increased in the last 10 years. An increase to £1.6 million would have been the level of inflation, but the increase to £2 million is legitimate, as are reforms to make investment in the U.K. clearer. The Entrepreneur category has been highly subscribed and so changes to clarify where monies are held will prevent further perceived abuse.

BAL is closely following the changes and will provide detailed analysis of these and other important changes in subsequent news alerts.

This alert has been provided by the BAL Global Practice group in the United Kingdom. For additional information, please contact uk@bal.com.

Copyright © 2016 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.

IMPACT – MEDIUM

What is the change? The United Kingdom and Ireland have entered into an agreement to ease business and tourist travel in the two countries for Chinese and Indian nationals.

What does the change mean? Chinese and Indian nationals will soon be able to visit both the U.K. and Ireland on a single trip and with a single visa. They no longer need to apply for separate visas for the U.K. and Ireland in advance of travel – one visa will cover both countries.

Implementation timeframe: The program will be implemented by the end of October for Chinese nationals and shortly afterward for Indian nationals.
Visas/permits affected: Single visit visas obtained by Chinese and Indian nationals who are traveling to the U.K. or Ireland.
Who is affected: Chinese and Indian nationals traveling to the U.K. and/or Ireland.
Impact on processing times: Once implemented, the program will reduce overall processing times for Chinese and Indian nationals because they will only need to apply for a single visa instead of two.
Business impact: The change to a single visa will lift a burden on business travelers.
Next steps: The program should be in effect for Chinese nationals by the end of the month and for Indian nationals soon afterwards.

Background: The U.K. government issued guidance on the new visa arrangement Oct. 6. It called the U.K.-Ireland agreement “one part of a joint program of work aimed at strengthening both countries’ borders.” The agreement will allow Chinese and Indian travelers to travel, for example, from London to Dublin without obtaining a second visa. Ireland’s Frances Fitzgerald, minister for justice and equality, said the change will “benefit the Northern Irish economy in particular” by making it easier to travel from Ireland to Northern Ireland, which is on the same island as Ireland but is part of the U.K.

BAL Analysis: The change will make it easier for Chinese and Indian nationals to travel to the U.K. and Ireland. It should be noted, however, that the switch applies only to certain travelers.

Chinese and Indian nationals will be able to travel to the U.K. and Ireland on the following U.K. visas: General Visitor, Business Visitor, Child Visitor (when accompanied), Student Visitor, Family Visitor, Entertainer Visitor, Private Medical Treatment Visitor, Sports Visitor, Parent of a Child at School, Prospective Entrepreneur, and Permitted Paid Engagement, and approved destination scheme. They can travel to the U.K. and Ireland using short-stay Irish visas to visit Ireland as a tourist, to visit family or friends, to attend a conference or event, or for business.

The program does not cover visitors in transit or visitors for marriage or civil partnership. Chinese and Indian nationals will also have to apply for a separate U.K. visa if they are traveling to Ireland on work or study visas. Travelers must travel first to the country for which they have a visa.

This alert has been provided by the BAL Global Practice group in the United Kingdom. For additional information, please contact uk@bal.com.

Copyright © 2016 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.

IMPACT – MEDIUM

What is the change? An implementation schedule for “right to rent” checks – the requirement that all private landlords check tenants’ immigration status – has been announced in Parliament.

What does the change mean? The “right to rent” checks will be piloted and then introduced in phases based on location beginning Dec. 1, 2014 in the Birmingham and West Midlands area.

Implementation timeframe: Dec. 1 in Birmingham and West Midlands and thereafter in the rest of the U.K.
Visas/permits affected: All visas.
Who is affected: Landlords, relocation companies, foreign nationals.
Business impact: The provision will add a significant administrative burden to landowners and agents renting property, and costs are likely to be passed on to employers who provide corporate accommodations.
Next steps: UK Visas and Immigration (UKVI) is convening a consulting panel of landlords, rental agents, housing and homeless advocates and other stakeholders to monitor implementation prior to the national rollout.

Background: The Immigration Act 2014 introduced the requirement that private landlords conduct document checks to identify all potential tenants’ legal immigration status in the U.K. and therefore their “right to rent.” Landlords found to be noncompliant face fines of £80 to £3000. The “right to rent” checks are part of a raft of changes to make life in the U.K. harder for undocumented migrants. The requirement is controversial amongst migrants’ rights groups, and UKVI has provided very little detail, other than to reassure landlords and companies renting property that UKVI would pilot the scheme in a limited geographical area and seek feedback prior to the national rollout.

Yesterday, James Brokenshire, Minister of Security and Immigration, announced in the House of Commons that the initial rollout area is Birmingham, Wolverhampton, Dudley, Walsall and Sandwell. The Home Office has also published a “Code of Practice on Illegal Immigrants and Private Rented Accommodations,” confirming the civil penalties for landlords and their agents and introducing an online “right to rent” tool that should assist landlords in checking immigration status documents.

BAL Analysis: The “right to rent” check requirement will impact relocation companies, HR companies, landlords and rental agents. It will require significant time, effort and expense to understand the requirements, put in place compliance procedures and conduct initial and follow-up document checks to verify tenants’ immigration status. UKVI is actively seeking feedback on the “right to rent” tool. Please discuss this with BAL if you are operating in the Birmingham and West Midlands area – sharing and lobbying on corporate experiences at this stage could have a significant impact on the rollout of the scheme nationwide.

This alert has been provided by the BAL Global Practice group in the United Kingdom. For additional information, please contact uk@bal.com.

Copyright © 2016 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.

IMPACT – MEDIUM

What is the change? The U.K. is rolling out a new biometrics requirement for visa applicants under 5 years old.

What does the change mean? Children under 5 must attend a biometrics appointment to have digital photos taken as part of the entry clearance application.

Implementation timeframe: The U.K. will implement the rule for U.S. applicants later this year. It was implemented July 7, 2014 for applicants in Canada and several countries in Asia andthe Middle East.
Visas/permits affected: All K. visas.
Who is affected:Children under 5 applying for entry clearance to the U.K.
Impact on processing times: This adds another step for those applying for children under 5 years old, but the time required will be minimal because the procedure is to occur during adult appointments.

Background: In the past, children under 5 years old were exempt from the requirement to provide biometrics (a digital photograph and fingerprints) at the visa application centre prior to making an entry clearance application–for example as a PBS (points-based system) dependent. Under the new requirement, all applicants for entry clearance, including adults and children regardless of their age, must make an appointment at a visa application centre to provide biometrics. Children under 5 years old will sit for a photo only but will not be required to give their fingerprints. The Consulate General of the U.K. in New York has confirmed that the rule will be introduced later this year in the U.S. when the biometrics equipment is in place.

BAL Analysis: Parents applying for U.K. visas should be aware of this change and ensure that they make appointments to bring their children, regardless of age, to provide biometrics.

This alert has been provided by the BAL Global Practice group in the United Kingdom. For additional information, please contact uk@bal.com.

Copyright © 2016 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.

IMPACT – LOW

What is the change? The United Kingdom will begin offering 24-hour “super priority” visas to Chinese nationals.

What does the change mean? For a payment of £600, Chinese nationals may receive British travel visas in less than 24 hours.

Implementation timeframe: August and ongoing.
Visas/permits affected: Business visit and tourist visas.
Who is affected: Chinese nationals seeking to acquire same-day British visas.
Impact on processing times:24-hour processing.
Business impact: Chinese business travelers will have a faster option to obtain U.K. visas.

Background: The U.K. launched a same-day “super priority” visa service for Indian travelers in 2013 and will extend this service to Chinese travelers beginning in August. The number of Chinese nationals visiting the U.K. has risen sharply – last year, the U.K. issued 40 percent more visitor visas to Chinese nationals than in 2012.

The U.K. is also weighing a single application procedure that would allow Chinese visitors to apply for a Schengen visa at the same time. In addition, a new joint British/Irish visa scheme to begin this year will allow Chinese visitors to travel to both countries on either an Irish or British visa.

The £600 government fee for the “super priority” visa (about US $1,000) will be in addition to the standard application fee of £83 but does not assure a visa. Visitors must still meet all U.K. immigration rules.

BAL Analysis: Though expensive, same-day visa processing provides an option to Chinese business visitors who need to travel to the U.K. on short notice.

This alert has been provided by the BAL Global Practice group in the United Kingdom. For additional information, please contact uk@bal.com.

Copyright © 2016 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.

IMPACT – LOW

What is the change? The U.K. is tightening its rules on Tier 1 (Entrepreneur) visas to crack down on abuse.

What does the change mean? Tier 4 (Student) and Tier 1 (Post Study Work) visa holders will now be restricted from switching in-country into Tier 1 (Entrepreneur).

Implementation timeframe:July 11.
Visas/permits affected: Tier 1 (Entrepreneur).
Who is affected: Those looking to switch into Tier 1 (Entrepreneur) status in the U.K.
Impact on processing times: None.
Business impact: The new rules will have a minor business impact, as Tier 1 (Entrepreneur) is not used by employees but by those looking to set up or run their own business. In addition, contractors may also be impacted by this change.

Background: The new restriction was published today in a statement of changes in immigration rules after an initial investigation found that tax records of those granted leave as entrepreneurs did not evidence genuine entrepreneurial activity and showed that a significant number took up employment in violation of the conditions of their status.

Despite the new restriction and ongoing fraud investigation, the Tier 1 (Entrepreneur) category remains open. Those who already have leave in the category will continue to be able to extend their stay. The new restrictions will not apply to those qualifying on the basis of seed funding or funding provided by another government department. In the case of those switching from the Tier 1 (Post Study Work) route, the restriction will not apply to those who have already established genuine businesses. Those who graduate in the U.K. will continue to be able to apply to extend their stay under the Tier 1 (Graduate Entrepreneur) category, which is significantly undersubscribed. Entrepreneurs with genuine intentions of establishing businesses in the U.K. will also continue to be able to apply from overseas.

BAL Analysis: There has been an increase in the use of the Tier 1 (Entrepreneur) route, in some cases to avoid some of the strictures of other points-based system categories. These changes amount to a tightening of the scheme and are in the best interests of genuine business by preventing abuses.

This alert has been provided by the BAL Global Practice group in the United Kingdom. For additional information, please contact uk@bal.com.

Copyright © 2016 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.