The Government’s proposed earned settlement model includes a
range of minimum mandatory requirements. These include stricter
suitability checks, higher English language standards, and income
thresholds. In this article we highlight the potential impact of
these requirements on applicants and the need for further clarity
on exemptions and transitional arrangements.

The Home Office is currently consulting on proposals to
introduce an ‘earned settlement’ model. The consultation period is due to end at 23:59 GMT
on 12 February 2026 and new Immigration Rules implementing earned
citizenship could be introduced as early as April 2026.

For general information on the proposals and the main public
consultation, see our separate article here.

This article covers the proposed minimum mandatory requirements.
There are also additional proposals relating to the qualifying
period for settlement. For more detailed information on the
proposed baseline qualifying periods, and how these may be reduced
or increased, see our article here.

What are the proposed minimum mandatory requirements for earned
settlement?

Table 1 of the consultation document confirms that the below
mandatory minimum requirements will be applied for all applicants
under the earned settlement model:




Pillar
Requirements



Suitability
Meeting suitability requirements, as set out in Part
Suitability of the Immigration Rules – for example, not
having a criminal conviction.



No current litigation, NHS, tax or other government debt.



Integration
Meeting English language requirements at B2 level under the
Common European Framework of Reference for Languages.



Passing the Life in the UK test.



Contribution
Demonstrating annual earnings above £12,570 for a minimum
of 3 to 5 years (subject to consultation), in line with the current
thresholds for paying income tax and National Insurance
Contributions (NICs), or an alternative amount of income.

The consultation document states that the mandatory minimum
requirements are not within the scope of the consultation, except
for the length of time a person must demonstrate an earned income.
However, the contribution criterion does include the possibility of
having an ‘alternative amount of income’.

We consider each of the requirements further below.

In more detail: suitability requirements

Criminality and other suitability criteria that may
result in refusal

Under the proposed suitability criteria, any person with a
criminal record will not be able to settle in the UK. This
requirement is a significant jump from the current rules, where the
seriousness of the criminality is assessed when considering
eligibility for settlement. Under the proposals, youth offences and
strict liability offences (e.g. speeding or driving without
insurance) would result in a permanent ban from settlement.

If there are no transitional arrangements (which is the
Government’s preferred position), individuals who were accepted
onto a settlement route despite having an historic criminal
conviction may find they are permanently barred from settling.

It may be possible for discretion to be exercised outside the
Rules in exceptional cases, however the exercise of such discretion
is rare.

Outstanding debt

Under the proposals, applicants for settlement must not have any
current litigation, NHS, tax or other government debt. The current
rules only provide for refusal if there is an outstanding debt to
the NHS, or where litigation costs have been awarded to the Home
Office and remain unpaid.

Clarification is awaited on the following points:


Whether the criteria on NHS and litigation debt will remain as
currently defined;

Whether a tax debt will only be relevant if a tax liability has
not been paid by the relevant deadline; and

What the definition of ‘government debt’ may be –
potentially it could include public funds that are not prohibited,
but that have been received by the applicant in error, e.g. where
eligibility for tax free childcare or free childcare for working
parents has been incorrectly assessed.

In more detail: integration requirements

English language requirement

Under the proposals, applicants will be required to demonstrate
English language skills at an upper intermediate level (B2 standard
under the Common European Framework of Reference for Languages).
This is an increase from the current intermediate (B1) proficiency
requirement for most applicants, including Skilled Workers and
partners under Appendix FM of the Immigration Rules.

It is not anticipated A question arises for individuals who have
already met the English language requirement using an approved
English Language Test at B1 level. Will they be required to re-take
the test at B2 level?

There are concerns about timing and the preparation required for
meeting the English language requirement, even for those that have
already met the requirement at a high level in a previous
immigration application. There is also an additional cost to
undertake fresh tests and these costs will be another hidden
expense as part of an already extremely expensive process.
Particularly where dependants are also required to meet the
requirement – for example, a family of two parents and two
adult children (dependants who turned 18 while in the UK on a
dependant visa) could spend upwards of £600 just to meet the
English language requirement at B2 level.

A reasonable approach would be to implement transitional
requirements for people that have already met the English language
requirement at B1 level.

Life in the UK Test

Perhaps surprisingly, while so many key elements of the
settlement system are subject to change, there is no indication of
transformation to the Life in the UK Test.

The consultation does ask if integration should be assessed
through a “revised Life in the UK Test” but the document
does not provide any further details or reveal what a revised test
may look like. The most recent public commentary on the Life in the
UK Test came from the House of Lords inquiry findings published in
June 2022, where recommendations were made for a reform of the Life
in the UK test and of its associated handbook as a matter of
priority. The report states that the lack of deadline on a review
of the test is inadequate.

Nevertheless, no reform to the Life in the UK test is clarified
as part of the consultation document.

In more detail: contribution requirements

Taxable annual earnings

Applicants will be required to show that they have annual
earnings above £12,570 for a period of 3 to 5 years to be
eligible for settlement. This amount is the current threshold for
paying income tax and National Insurance Contributions.

The consultation document does not include the word
‘taxable’, but because it references the taxable earning
figures, we presume that the requirement will consider ‘taxable
earnings.’

The Government may wish to use taxable income as the requirement
because this information is most readily available through HMRC
records. This will make the verification process more
straightforward, but it can raise other administrative questions,
for example, will applicants need to wait until the end of the tax
year to prove their income figures? A strict interpretation could
mean that eligibility is deferred to a date after the end of the
tax year. In these cases, there may be circumstances where
individuals must get a short-term extension to their permission to
reach the end of the taxable year.

The taxable income conditions could benefit some people, for
example those with passive income that is taxable in the UK.

There are however groups that could potentially be excluded and
severely disadvantaged by these proposals unless there are
exemptions. This may include individuals who entered the UK on
routes that did not require work, such as the British National
(Overseas) route. Retired people whose pension income is not
taxable would not be eligible, despite the Government promising a
route to settlement for people in this category.

Other highly disadvantaged people include dependants who have
caring responsibilities or who have sufficient household income
that they do not need to work, and children with limited
immigration permission who reach 18. Families may need to
substantially change their arrangements years in advance of
applying for settlement.

It is suggested in the consultation document that exemptions
could apply, and this would be crucial for many applicants that
would be caught by these changes, potentially without
realising.

The document states that despite the income related thresholds
being tied to current tax thresholds, the thresholds would not
track future changes to the tax systems. This means that if tax
thresholds increase, for example from the £12,570 income tax
threshold, we should not expect the salary threshold to increase
with it.

Alternative amount of income

The contribution requirement states that an applicant can meet
the requirement by having an “alternative amount of
income”. What this means and how this would be calculated is
not elaborated on in the document. No feedback is sought in the
consultation on what alternative kinds of income could meet the
contribution requirements.

Having an alternative option will help people who do not meet
the standard criteria, but without further clarity we will not know
how useful these arrangements will be. Questions will be raised on
whether the income requirements will be strict for applicants who
have been on maternity leave, disability leave, or other types of
absences that impact their normal income levels.

Length of contribution

The consultation document states that the mandatory
contributions must be made for a minimum of 3 to 5 years (subject
to consultation), however it does not specify whether the
contributions must be continuous in the lead up to applying for
settlement. It would be fairer if the contributions were not
required to be continuous, and applicants could meet the
requirements by demonstrating income for periods of 3 or 5 years
over the course of their residence in the UK, rather than setting
the clock back to zero if they are no longer earning any
income.

If the Government decides on a 5 year period for contributions,
this could be another issue for dependants, as their integration
into the workforce may be slower than for a main applicant who
comes to the UK with a job offer or other economic justification.
It could also be an issue for Global Talent migrants and UK
Ancestry holders who might come to the UK without a firm job offer
or income stream, and require more time establish themselves
economically.

What overall effects may the minimum mandatory requirements
have on eligibility for settlement?

If these minimum mandatory requirements are implemented as
proposed in the consultation document, this will have an enormous
impact on many people who are already on a path to settlement in
the UK. There is a significant risk that people will not know that
the criterion have changed until it’s time to make an
application and they realise that they are not eligible. Some
people may never be eligible for settlement in the UK due to
historic criminal convictions or having no independent income.

These changes will impact the most vulnerable people the
greatest, including caregivers who support their families but have
no income of their own and are therefore not eligible for
settlement. It will also have a disproportionate impact on young
people and older people, who may not be working due to education
commitments or health concerns. Unless there are exemptions to
various criteria, many people will find themselves without a route
to settle in the UK alongside their families, creating disparity
within the family unit. The criteria has the potential to become
much more complex to administer, which in itself can lead to
delayed eligibility and people needing to extend their permission
while they wait for items like HMRC records. Applicants will likely
need legal advice to successfully navigate the requirements and
various exemptions.

The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.