New immigration rules announced by Sir Keir Starmer tightens several requirements to enter the UK, such as requiring a degree, whereas businesses will have to pay a higher Immigration Skill Charge
Prime minister Keir Starmer outlined the new immigration measures in a press conference on 12 May 2025, as part of a white paper designed to bring down net migration.
But concerns have been raised that the changes will negatively impact smaller businesses already struggling under the skills gap- especially construction, which relies heavily on workers from abroad across skill levels.
The new immigration rules will come into effect over the course of this parliament, with the first changes expected in the next few weeks.
Key changes in the new immigration rules:
- The salary threshold will rise
- The level for skilled workers coming to the UK will be raised to RQF6
- The Immigration Skills Charge(paid by employers when sponsoring a skilled workers visa applicant) will increase for the first time by 32%
- Key sectors with high levels of recruitment from abroad will be required to come up with domestic hiring strategies
- English language requirements will be increased for skilled workers and adult dependents of workers and students
- Investigation of the domestic worker visa to tackle modern slavery
The upcoming Immigration White Paper will also outline the creation of a Temporary Shortage List, which will allow limited access to the points-based system for occupations with long-term shortages.
The most recent net migration figures saw around 1,207,000 come to the UK, whilst 479,000 left, totalling 728,000. This was a decrease of 20% on 2022’s figures.
How will construction SMEs be affected?
The changes could come “potentially at the cost of compromising sector development,” according to Lousie Haycock, partner at immigration law firm Fragomen. She warned that raising the skill standard to RQF6 could “cut off critical supply in sectors [like construction] where alternative UK talent pipelines do not yet exist”.
“Construction businesses require skills across a panoply of levels – and there are concerns as to whether the new system’s exceptions will be adequately calibrated and sensitive to this,” she continued.
The Home Office elaborated on the Immigration Skills Charge (ISC) rise, saying that the money acquired would support skills funding for some sectors to reduce their reliance on migration and upskill the UK workforce.
The new immigration rules have been met with mixed responses across the political spectrum
After Reform UK picked up over 650 councillor seats in the recent local elections over the Conservatives and Labour losses of 674 and 187 respectively, some have accused Labour of shifting massively to the right in response, Labour MPs such as Nadia Whittome among them.
The step-up in anti-migrant rhetoric from the government is shameful and dangerous.
Migrants are our neighbours, friends and family.
To suggest that Britain risks becoming “an island of strangers” because of immigration mimics the scaremongering of the far-right.
— Nadia Whittome MP (@NadiaWhittomeMP) May 12, 2025
Starmer’s comments have even rung alarm bells in some quarters for a perceived resemblence to the inflammatory “Rivers of Blood” speech given by Tory shadow defence secretary Enoch Powell in 1968.
However, Reform’s leader Nigel Farage was unimpressed with the announcement, calling Starmer “a hypocrite who believes in open borders.”
Home secretary Yvette Cooper described Starmer’s speech as “completely different,” when speaking to BBC Radio 4’s Today programme the following day.
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