Employer Cost Changes for Skilled Worker Visa

UK employers sponsoring Skilled Workers face immediate cost increases due to significant fee hikes introduced by the Home Office. These changes dramatically raise the price of both ongoing sponsorship and accessing fast-track administrative services.

Immigration Skills Charge (ISC)

The most impactful change is the increase in the Immigration Skills Charge (ISC), a mandatory, upfront fee paid by employers for each sponsored worker. Effective from 16 December 2025, the annual ISC rate will rise by approximately 32%.

This change means a five-year sponsorship for a medium/large employer will cost £6,600 in ISC alone, a total increase of £1,600 per worker from the previous rate.

While most sponsors will bear the brunt of the ISC increase, employers recruiting into specific sectors or under certain circumstances can benefit from exemptions, making those roles significantly less costly to fill.

Employers sponsoring workers in specific highly-skilled and scientific roles, those in the Health and Care visa route, and students switching to Skilled Worker visas are some of the categories that benefit from ISC exemption.

Priority Service

The costs of Sponsor Licence-related Priority Services have seen even sharper percentage increases: