The Earned Right: Labour’s Plan to Double ILR Time and the Contribution-Based Fast Track

Michael Crago
Sep 30
3 min read

Introduction

The criteria for permanent residence in the UK are set to undergo the most significant reform in a generation. Following the Immigration White Paper (May 2025), the Labour government has confirmed its intention to dismantle the current time-based settlement model.

At Nuvora, we recognize this is causing considerable uncertainty for families and skilled migrants. This guide breaks down the confirmed proposal to double the standard residency period for Indefinite Leave to Remain (ILR) from five years to ten, and how the new "Earned Settlement" model will allow migrants to "buy back" years based on their contributions.

What We Know: The Standard Path is Doubling

The core proposal confirmed by the Home Secretary (September 2025) is:

Current Standard: Five years of continuous residence on a qualifying visa (e.g., Skilled Worker, Ancestry) leads to ILR.
Proposed Standard: The default qualifying period will increase to ten years for many visa categories.

This change is driven by a focus on reducing net migration and ensuring permanent status is a "privilege that must be earned, not a right."

Who Will Be Affected?

Likely Affected: Migrants on work routes (e.g., Skilled Worker Visa) and certain family routes (e.g., family members of settled non-citizens).
Likely Exempt: Partners of British Citizens will likely maintain the five-year path. Migrants under the EU Settlement Scheme are protected by the Withdrawal Agreement.
The Retrospective Question: The government has not yet clarified whether this change will affect migrants already residing in the UK who entered under the old five-year promise. This will be addressed during the forthcoming public consultation.

The Fast Track: How Contribution Will Reduce the 10-Year Wait

The proposal is not a blanket 10-year requirement. The government intends to introduce a system of "Points-Based Contributions" that will allow high-contributing individuals to reduce their residency period, potentially back to or below five years.

This new model means ILR will no longer be automatically granted based purely on residence.

Proposed Contribution Requirements (The "Earned Settlement" Test)

The Home Secretary has outlined the following criteria that applicants will need to demonstrate to reduce the 10-year residency period:

Proposed Contribution Pillar	Evidence / Requirement
Economic Contribution	Being in work and making a certain level of National Insurance contributions.
Fiscal Compliance	Not taking any benefits payments or recourse to public funds.
Integration Standard	Learning English to a high standard (likely higher than the current B1 requirement).
Social Contribution	"Truly giving back to the community" through voluntary work or local cause support.
Legal Compliance	Having a spotless criminal record.

The Challenge: Quantifying Contribution

The primary challenge lies in the lack of practical detail. The forthcoming consultation (later in 2025) must define:

The Formula: How many points equate to one saved year of residency?
The Standard: What is the specific 'high standard' of English required?
The Metric: What minimum hours of volunteering will be required for the "social contribution" point?

The Application Process: Navigating Uncertainty

The process remains pending consultation, but migrants currently on 5-year routes must prepare for:

Extended Visa Extensions: The necessity of applying and paying for an extra visa extension (e.g., a total of 10 years of fees) before reaching ILR eligibility.
Increased Financial Cost: The doubling of the residency period means doubling the payment of the Immigration Health Surcharge (IHS), leading to a much higher overall cost of settlement.
Proactive Documentation: Future applicants should immediately begin compiling evidence of volunteering and community involvement in anticipation of the new rules.

What Does it Cost?

The direct cost increase is substantial, primarily due to the IHS and extended visa fees.

IHS Implications: Doubling the period from 5 to 10 years means paying the Immigration Health Surcharge (£1,035 per year) for five extra years. This alone adds over £5,000 per person to the cost of settlement.
Extension Fees: Applicants will have to budget for one or two additional visa extension applications, complete with application fees and solicitor costs.

The Path to Settlement: From Time to Value

Under the new model, ILR is shifting from a passive residency right to an active recognition of integration and value. Those who do not meet the contribution standards may be forced to wait longer than 10 years, or be barred entirely, while high-skill, high-contribution individuals will be fast-tracked.

Navigating the Policy Shift

These proposals create a critical period of uncertainty. While the statutory rules are not yet in force, their direction is clear. Migrants on a 5-year pathway must now calculate the risk of being caught by retrospective changes.

Nuvora is closely monitoring the outcome of the Home Office consultation. We advise clients to proactively document every element of their economic and social contribution to build the strongest possible case under the forthcoming Earned Settlement rules.