The Immigration Skills Charge (ISC) was introduced in 2017. It is a charge payable by employers who would like to sponsor foreign workers (under a Skilled Worker visa, for example) at the time when they issue Certificates of Sponsorship (COS) to such workers.

The idea behind the charge was that the UK authorities would use the money raised by the ISC to up-skill the UK’s existing workforce.

The ISC is payable at the time the COS is assigned, and it usually amounts to £1,000 for every year of the duration of the worker’s visa, if the employer is a large company, and £364 per year, if the employer is a small business. There is a number of exemptions already available to employers.

On 1 January 2023, a modification to the Immigration Skills Charge Regulations 2017 is scheduled to take effect, and 2 additional exemptions will be introduced to the existing list.

In accordance with the legislation, businesses that bring workers from the EU to the UK via certain visa pathways will no longer be subject to paying the ISC. This will apply to those entering the UK through the Scale-up route, and specific EU nationals coming to the UK under the Global Business Mobility – Senior or Specialist Worker visa, provided they fall within the EU-UK Trade and Cooperation Agreement 2020.

It should be noted that the exemption will only apply where the worker comes to the UK for less than three years.

How Gherson can assist

Gherson’s Immigration Team are highly experienced in advising on UK visa matters. If you have any questions arising from this blog, please do not hesitate to contact us for advice, send us an e-mail, or, alternatively, follow us on Twitter, Facebook, or LinkedIn to stay-up-to-date.

The information in this blog is for general information purposes only and does not purport to be comprehensive or to provide legal advice. Whilst every effort is made to ensure the information and law is current as of the date of publication it should be stressed that, due to the passage of time, this does not necessarily reflect the present legal position. Gherson accepts no responsibility for loss which may arise from accessing or reliance on information contained in this blog. For formal advice on the current law please do not hesitate to contact Gherson. Legal advice is only provided pursuant to a written agreement, identified as such, and signed by the client and by or on behalf of Gherson.

©Gherson 2022