The proposal to move most settlement routes from a five year to a ten year baseline has been discussed since the Immigration White Paper of May 2025. For employers with sponsored workers approaching Indefinite Leave to Remain, the uncertainty is now a practical workforce issue.

Where things stand

• The “A Fairer Pathway to Settlement” consultation ran from 20 November 2025 to 12 February 2026
• As at the end of September 2026, no Government response had been published and none of this year’s Statements of Changes has introduced the ten year baseline
• The current five year route to settlement for Skilled Workers remains in force
• The Government has indicated that its final settlement policy will be published later this year and that ILR applications will be considered under the Immigration Rules in place at the time of application
• Transitional arrangements for people already on a five year route have not been confirmed

What has been proposed

The consultation proposed a ten year baseline qualifying period, reduced for contribution factors such as higher earnings, and extended in other circumstances, including roles below RQF level 6 and receipt of public funds. These remain proposals and may change before any rules are laid.

Why timing matters to employers

If applications are decided under the rules in force on the date they are made, workers who are eligible now are in a stronger position than those who become eligible after any change. Workers facing a longer route to settlement may also reconsider their plans, which affects retention and succession planning.

What sponsors should do now

• Map the ILR eligibility date of every sponsored worker
• Encourage eligible workers to take advice on applying promptly
• Check continuous residence and absences, which are common reasons for refusal
• Make sure salary and payroll records support the settlement requirements
• Budget for additional visa extensions if settlement timelines lengthen
• Review whether retention strategies need to change

The wider picture

Earned settlement sits alongside other changes that affect sponsors: the B2 English language requirement introduced in January 2026, the per pay period salary rules from April 2026, the HC 584 changes from 8 October, and the expiry of the Temporary Shortage List on 31 December 2026. Assessing them together gives a clearer view of risk than treating each change in isolation.

Davenport Solicitors advises employers and sponsored workers on settlement planning. Call us on 020 7903 6888 or email contact@davenportsolicitors.com

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