Changes to the Skilled Worker Visa Salary Framework From 8 April 2026
From 8 April 2026, some applicants for Skilled Worker Visas will be assessed under a new pay-period salary framework.
If sponsoring employers do not follow the new rules, they risk their recruit's Skilled Worker Visa application being refused or facing compliance problems when the Home Office conducts checks to ensure a sponsor licence holder is meeting the new salary framework.
OTS Solicitors are specialist Sponsorship Licence Lawyers and advise employers on sponsor licence applications, certificate of sponsorship allocation, the Skilled Worker Visa recruitment process and licence compliance.
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Headline annual salary compliance is not sufficient
From 8 April 2026, the complexities of complying with the minimum salary threshold for the Skilled Worker Visa because of the many variables will increase. In relevant cases, the Home Office will not only look at whether the headline salary meets the minimum salary threshold for the Skilled Worker Visa, but also assess whether the salary is compliant across specific pay periods. This will involve looking at an employer’s payroll operations.
The basis for the Skilled Worker Visa pay period changes
The Skilled Worker Visa pay period changes are contained in:
- The 5 March 2026 Statement of Changes HC 1691 to the Immigration Rules, and
- Paragraph SW 14.3B in Appendix Skilled Worker.
The amendment to the Appendix Skilled Worker comes into force on 8 April 2026.
Transitional provisions and payroll periods
The transitional provisions state that if a certificate of sponsorship was allocated before 8 April 2026, it will usually be decided under the immigration rules in force on 7 April 2026. If recruits are not paid a static monthly salary, it may be helpful to try to allocate their certificate of sponsorship before 8 April 2026.
The annual salary and payroll period provisions
Key personnel could previously be confident that Skilled Worker Visa applicants met the minimum salary threshold for their Work Visa based on the annual salary contained in the contract of employment and in the certificate of sponsorship.
The March 2026 Statement of Changes HC 1691 introduces new payroll compliance provisions for Skilled Worker Visa sponsors by inserting paragraph SW 14.3B into Appendix Skilled Worker. The new provisions allow Home Office officials to assess both annual and specific, defined payroll periods to determine whether the minimum salary requirement has been complied with.
The new rules mean HR recruiters and Sponsorship Licence Lawyers advising sponsoring employers will need to understand pay cycles to ensure that the Skilled Worker Visa applicant or sponsored employee is not just salary compliant based on their annual salary calculation, but across specific pay periods. This will increase HR workloads when the pay of sponsored employees fluctuates from month to month or from one defined period to the next.
The payroll rule changes
The rule changes allow Home Office officials to review defined pay periods and annual salary to determine whether the minimum salary threshold was met for each defined pay cycle.
The new requirements are:
- A sponsored worker must be paid in pay periods of at least monthly frequency, or as required in their employment contract.
- The payroll cycles of sponsored employees should correspond with the information in the certificate of sponsorship and the contract of employment.
- When assessing compliance with the minimum salary requirement for the Skilled Worker Visa, the Home Office can assess salary paid during specified pay periods by using the relevant going rate for the sponsored employee’s job and their hours of employment.
- The immigration rule changes introduce measurable compliance thresholds across three-month and 12-week payroll periods. Salary fluctuations are permissible provided the salary compliance threshold is met during those defined periods.
- If a sponsored worker is paid monthly or less frequently, their salary paid over any three months must be at least a quarter of the annual minimum salary threshold for their sponsored job.
- If a sponsored worker is paid more frequently than every month, the rules provide that any salary paid over 12 weeks must amount to at least equal 12/52 of their annual minimum salary requirement.
- If a sponsored worker's hours of employment vary from week to week, the relevant payroll period is 17 weeks. The sponsored worker's salary must be at least 17/52 of the annual minimum salary requirement.
- If a sponsored employee's income is below the required level for the relevant payroll period, this can be justified if a sponsor licence holder can show that allowable deductions have been made and that the worker will meet the annual gross minimum salary threshold for their job after adjusting for the extra deductions taken during the payroll period under examination.
Payroll record keeping
Sponsorship Licence Lawyers recommend that sponsor licence holders who pay sponsored employees variable salaries over the course of the year carefully consider how the Statement of Changes and Paragraph SW 14.3B will affect their policies and record-keeping practices. This is because:
- The Home Office may refuse a Skilled Worker Visa application if they do not believe that the job pays the relevant minimum salary.
- Home Office audits can take place on a planned or unannounced basis, and sponsor licence holders therefore need to be audit-ready.
- Payroll information and hours worked information need to be accessible and understandable for HR staff and key personnel tasked with record keeping, licence compliance and audit preparation.
- Payroll procedures and accounting practices need to be sufficiently simple to ensure that it is evident that the minimum salary threshold is met over each sponsored employee's relevant payroll period. Some employers may need to adjust payments so income is not weighted to specific months.
- The added complexity of payroll periods emphasises the importance of considering the use of a Sponsor Licence Management Service, signing up for bespoke sponsor licence training or the use of UK Immigration Solicitors to conduct an annual external auditing process to ensure compliance with the latest immigration rules.
Sponsor Licence Compliance Solicitors
At OTS Solicitors, our Business Immigration Lawyers specialise in sponsor licence management and licence compliance advice. Our UK Immigration Solicitors can assist your organisation in understanding the new payroll immigration rules, adapting your policies and practices and advising on troubleshooting if compliance issues are highlighted through an internal audit or after an announced or unannounced Home Office compliance visit.
The expertise of OTS Solicitors in immigration law is recognised by our inclusion in the 2026 editions of Chambers Guide to the Legal Profession and Legal 500.
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