Settled status vs British citizenship: should you naturalise or stay on settled status?

If you have settled status through the EU Settlement Scheme, you might be wondering whether it's worth applying for British citizenship, or whether you're better off keeping settled status and avoiding the cost and hassle of naturalisation.

It's a bigger decision than most people realise, especially if you have family members who might need to join you in the UK in the future.

What's the difference?

Settled status gives you the right to live and work in the UK indefinitely, access public services, and travel in and out of the country. You can lose it if you spend more than 5 consecutive years outside the UK (or 4 years for pre-settled status holders who upgrade).

British citizenship gives you all the same rights, plus the right to vote in all elections, hold a British passport, and pass citizenship to your children born abroad. You cannot lose British citizenship through absence from the UK (except in rare cases of deprivation).

The Lounes route: why it matters for family reunion

This is where many EU nationals get caught out. The Lounes route allows family members of dual EU/British nationals to apply for status under the EU Settlement Scheme.

Here's how it works: if you're an EU national who exercised free movement rights in the UK (lived, worked, or studied here) and then naturalised as British while keeping your EU nationality, your non-EU family members can still apply to join you under the EUSS through the Lounes route.

But there's a catch. The Lounes application requires evidence that you were exercising treaty rights before you naturalised. If you came to the UK and got settled status without formally exercising treaty rights (which is common, since the EUSS is based on residence rather than treaty rights), you may struggle to provide this evidence.

This can create problems if you naturalise first and then try to sponsor family members later.

So should you naturalise or not?

It depends on your situation:

Consider naturalising if:

• You want the security of a British passport
• You want to vote in general elections
• You don't anticipate needing to sponsor non-EU family members under EUSS
• Your close family members already have status in the UK
• You want to pass citizenship to future children born abroad

Consider keeping settled status if:

• You have parents or other family members who may need to join you in the UK
• You're unsure whether you exercised treaty rights properly before getting settled status
• The £1,735 naturalisation fee is a significant financial burden right now
• You might want to return to your home country for an extended period in the future

What about the new immigration rule changes?

On 12 May 2025, the government announced planned changes to immigration rules. While the details around citizenship haven't been fully confirmed, there's concern that requirements may become stricter, potentially including longer residence requirements and harder tests.

If you're eligible now and planning to apply eventually, it may be worth applying sooner rather than later.

The Life in the UK test

Whether you're applying now or planning ahead, you'll need to pass the Life in the UK test as part of your naturalisation application. The test costs £50 per attempt, and you need 18 out of 24 correct answers (75%) to pass.

The best way to know if you're ready is to take practice tests under real exam conditions. Try our free mock test to see how you'd score. 24 questions, real exam format, instant results.