The UK Government’s plan for AI and the UK immigration White Paper

At the start of the year, the Prime Minister outlined the UK Government's vision for making the UK a global leader in AI innovation in its response to the AI Opportunities Action Plan.
 

Does the UK really have a competitive offering for AI talent?
 

The Action Plan recommended that the Government "explore how the existing immigration system can be used to attract graduates from universities producing some of the world’s top AI talent."

Yet, the Government only “partially” accepted the Action Plan recommendation, saying:

The Industrial Strategy will set out [in Summer 2025] how the UK will attract highly skilled AI workers from abroad. The UK offers internationally competitive visas that can support a range of individual needs, including for talent to join UK-based organisations or to start their own business. Talented AI graduates from institutions not on the HPI [High Potential Individual] eligibility lists can enter the UK through any one of a number of other visa routes, including Skilled Worker, Innovator Founder, Government Authorised Exchange and Global Talent.”

The idea that the UK’s immigration offering is internationally competitive now is already a stretch. The High Potential Individual (HPI) category only applies to graduates from a small number of universities; the Skilled Worker category does not allow for entrepreneurship and flexible working arrangements; Innovator Founder is not fit for purpose and hardly used; Global Talent has a 50% refusal rate; and Government Authorised Exchange won’t help much aside from for internships. The UK immigration system is also increasingly expensive to use.

Enter the white paper
 

The immigration policy white paper released last month draws into even sharper focus the UK’s offering for AI (and other tech-related) talent. The Government says it wants to attract top talent but in the white paper shows its intent to shutdown much of the immigration system.

Some changes pinpointed in the white paper included:

• Higher skill level for Skilled Worker applications. The skill level rises from RQF level 3 to 6 – a return to the pre-Brexit Tier 2 skill level.
   
• Temporary Shortage List. For roles at level 3-5, only those recognised as a long-term shortage can be sponsored on a temporary basis with the possibility of a quota and restrictions on dependants. Workforce strategies will require sponsors to train and engage with the domestic workforce.
   
• Higher salary thresholds. Increases are expected – possibly in relation to updated going rates.
   
• English language test level. Where a test is needed, the required level will go from B1 to B2 (plus dependants will need to meet the English language requirements).
   
• Settlement and citizenship. There is a proposal to increase the qualifying period for settlement (indefinite leave to remain) from 5 to 10 years. There is also uncertainty around whether this will apply to people already in the UK, including Skilled Workers.

• Fees. The Immigration Skills Charge will increase for non-small sponsors from £1,000 per year of the sponsored visa to around £1,320. The increase in time to settlement is likely to mean incurring further fees.

• Graduate route. Overseas students who complete a degree in the UK can apply to the Graduate route. Visas will be reduced from 24 months to 18 months.

Top AI talent may not be affected by the increase in Skilled Worker job skill level (assuming they will be filling highly specialised roles). But the mood music in the white paper is off putting to say the least. Young people coming to study for degrees in the UK can already generally not bring dependent family members and now the white paper suggests limiting Graduate visas. The threat of doubling the qualifying period for settlement could also be hugely disconcerting for AI and tech talent.

A few words of hope in the white paper
 

In contrast to the overall tone of further immigration restrictions in the white paper it does also include that “As part of our mission to promote growth, we will go further in ensuring that the very highly skilled have opportunities to come to the UK and access our targeted routes for the brightest and best global talent”.

The white paper says it will achieve that by:

• Increase in numbers. The white papers says the Government will be “increasing the number of people arriving on our very high talent routes, alongside faster routes for bringing people to the UK who have the right skills and experience to supercharge UK growth in strategic industries.”
   
• Research interns. By “increasing places to our scheme for research interns, including those working in the field of Artificial Intelligence, to allow businesses access to additional promising young talent.”

• Global Talent. Global Talent visas will be made “simpler and easier for top scientific and design talent”.
   
• High Potential Individual. The list of qualifying global universities will be doubled.
   
• Innovator Founder. This infrequently used category for those starting an innovative business will be reviewed.

• UK Expansion Worker. The number of workers an overseas business seeking to expand into the UK can sponsor will double from 5 to 10.

What can we expect next?
 

The government response to the Action Plan opens with “Artificial Intelligence is the defining opportunity of our generation.” The UK’s ability to recruit international talent will be crucial.

The white paper does not sit well against that. It is unknown when the changes highlighted in the white paper will come into effect – some are likely in the coming weeks and others are subject to consultation later in the year.

One size fits all policies are unhelpful. Carveouts should be created for crucial industries and sectors for growth – none more so than AI and tech.

Further information

If you have any queries on the issues raised above or any other Immigration matter, please contact a member of the Immigration team. 

This blog draws on themes originally shared in a LinkedIn post by Nicolas Rollason.