UK ILR Reforms Move Closer to Implementation

From 5 to 10 Years ILR: UK Consults on 'Earned Settlement'

IN THIS ARTICLE

If you are looking at the UK as a place to build your career, grow a business or relocate with your family, the settlement position now deserves close attention.

The Home Office consultation on the proposed earned settlement reforms closed on 12 February 2026. No Immigration Rules have changed yet. The five-year and ten-year routes to Indefinite Leave to Remain remain in place. However, the government has signalled that the framework for permanent residence is likely to change in substance.

Overseas applicants weighing up the UK against other destinations will want to consider how the route to UK settlement may look by the time they reach it.

 

The Route to Settlement May Become Longer

 

At present, many work and family routes lead to settlement after five years of lawful residence. That five-year horizon has been a central feature of the UK’s offer to international professionals and families.

The proposed Earned Settlement reform would move most applicants onto a ten-year baseline. In practical terms, that means permanent residence may require a decade of lawful residence rather than five years.

Ministers have indicated that the ten-year starting point is the policy intention. The consultation focused on how the new system should operate, not on whether the baseline should remain at five years.

For prospective migrants, that change alters long-term planning. A ten-year commitment is materially different from a five-year one, both financially and personally.

 

Settlement Would Depend on More Than Time

 

The earned settlement framework is designed to link permanent residence to contribution and conduct.

Under the consultation model, applicants would need to satisfy mandatory conditions alongside residence. These include:

 

  • A higher English language standard at B2 level.
  • Sustained earnings above a defined threshold, assessed using tax data.
  • Continuous compliance with visa conditions.
  • No outstanding public debts at the point of application.

 

Settlement would therefore require not only lawful presence, but a stable and well-documented immigration history. Career decisions, salary progression and compliance discipline become directly relevant to long-term status.

 

Income and Occupation May Influence Timing

 

The consultation sets out a more differentiated approach to settlement timelines.

High earners are shown in the illustrative examples as benefiting from income-linked reductions. In certain scenarios, sustained higher earnings could shorten the route significantly.

By contrast, roles skilled below RQF level 6 are shown as potentially subject to longer qualifying periods. Public funds use or immigration breaches are illustrated as factors that could extend timelines further.

These examples are not binding law. However, they signal a system in which salary level, occupational category and compliance record may materially influence how quickly permanent residence can be achieved.

For overseas applicants, this means looking closely at:

 

  • The salary attached to the proposed role.
  • The scope for progression over time.
  • The stability of employment in the sector.
  • Your ability to maintain continuous compliance over an extended period.

 

 

Planning Ahead

 

Any reform will require amendments to the Immigration Rules laid before Parliament. Until that happens, the current framework applies in full.

However, the consultation stage has ended, and ministers will now consider responses and publish their formal position. Implementation could follow later in 2026. So, if you are considering relocating to the UK, your settlement strategy should now form part of your initial assessment rather than an afterthought.

A potential ten-year route affects financial planning, family relocation decisions and long-term career strategy. It may also influence whether alternative routes, including those designed for high-skilled or specialist roles, are more appropriate.

The final shape of the earned settlement framework will determine how far the pathway to permanent residence changes in practice. Careful route selection and early advice will remain central to securing long-term status in the UK.

 

author avatar
Gill Laing
Gill Laing is a qualified Legal Researcher & Analyst with niche specialisms in Law, Tax, Human Resources, Immigration & Employment Law. Gill is a Multiple Business Owner and the Managing Director of Prof Services - a Marketing & Content Agency for the Professional Services Sector.

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Legal Disclaimer

The matters contained in this article are intended to be for general information purposes only. This article does not constitute legal or financial advice, nor is it a complete or authoritative statement of the law or tax rules and should not be treated as such. Whilst every effort is made to ensure that the information is correct, no warranty, express or implied, is given as to its accuracy and no liability is accepted for any error or omission. Before acting on any of the information contained herein, expert professional advice should be sought.

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