What is earned settlement? The proposed ILR reform explained
Earned settlement is the UK government's proposed replacement for the current route to indefinite leave to remain (ILR). Under the proposals, most migrants would face a baseline qualifying period of 10 years instead of the current 5, which could be shortened by economic contribution and integration or lengthened by things like claiming public funds. Crucially, as of August 2026 earned settlement is still a proposal, not law: the public consultation closed on 12 February 2026, the government has not yet published its response, and the standard 5-year settlement routes remain fully in force.
- Earned settlement was trailed in the May 2025 immigration white paper and consulted on from 20 November 2025 to 12 February 2026
- The core proposal is a 10-year baseline qualifying period for settlement, up from the usual 5 years
- Higher earnings, public service work and stronger English could shorten the wait; public funds claims or illegal entry could extend it, in some cases to 20 years or more
- As of August 2026 no government response or implementing Immigration Rules have been published, so current 5-year routes still apply
- One settlement change is already confirmed separately: the English requirement rises from B1 to B2 from 26 March 2027
- People with EU Settlement Scheme settled status, Windrush beneficiaries and existing ILR holders are out of scope
Where the earned settlement idea came from
The policy has its roots in the Restoring control over the immigration system white paper, published on 12 May 2025, which set out the government's plan for a more managed immigration system. The Home Office then launched a formal consultation, A fairer pathway to settlement, on 20 November 2025. Its central argument was that settlement should no longer follow more or less automatically after a fixed period of residence. Instead, migrants would need to earn it by demonstrating sustained good conduct, contribution and integration.
The consultation closed at 11
on 12 February 2026. The GOV.UK consultation page currently says the Home Office is analysing feedback, and no outcome has been published.How the proposed 10-year baseline could shrink or grow
The consultation document proposes a default qualifying period of 10 years, with adjustments in both directions.
Proposed reductions include:
- High earners: taxable income above £125,140 for 3 years could cut around 7 years off the baseline, and income above £50,270 for 3 years around 5 years
- Public service roles: 5 years in specified health or education occupations on national pay scales could reduce the period by about 5 years
- English at C1 level: a 1-year reduction for going beyond the minimum standard
- Family of British citizens: partners and family members of British citizens would keep a 5-year pathway
Proposed extensions include:
- Public funds claims: roughly 5 extra years for claims under 12 months, and 10 extra years for longer claims
- Illegal entry or overstaying: extensions of up to 20 years for people who arrived illegally or overstayed for 6 months or more
- Lower-skilled work: roles below degree level (RQF 6) could face a 15-year baseline
Every applicant would also need to pass the Life in the UK test, meet an English requirement of at least B2, and satisfy strict character requirements with no trade-offs allowed.
Who would be exempt under the proposals
The consultation put several groups outside the scope of earned settlement entirely: people who already hold ILR or settled status, those with settled status under the EU Settlement Scheme, and Windrush Scheme beneficiaries. Victims of domestic abuse and bereaved partners would keep their immediate settlement routes, and the armed forces would keep their current terms. The consultation specifically sought views on how the system should treat Health and Care Worker visa holders and other lower-paid key workers, so their final position is genuinely undecided.
What is actually confirmed as of August 2026
It is worth being precise, because much of the coverage blurs the line between proposal and law.
Confirmed: the Statement of Changes laid on 5 March 2026 (HC 1691) raises the English language requirement for settlement on most work routes from B1 to B2 from 26 March 2027, including for people already on a pathway to settlement. It also makes a suspended prison sentence of 12 months or more a mandatory ground for refusal. That Statement of Changes does not implement earned settlement.
Still proposed: the 10-year baseline, all the reductions and extensions above, and the treatment of individual visa routes. None of this has been laid before Parliament, and the qualifying period for a Skilled Worker or family route ILR application today is unchanged.
Earned settlement is not yet law. Do not delay an ILR application you already qualify for while waiting for clarity, and be wary of anyone presenting the 10-year baseline as a current rule. Applications are decided under the rules in force when they are submitted.
What to do if you are close to qualifying
If you are within sight of your 5-year mark, the sensible move is to prepare now: pass the Life in the UK test early, get your English certificate in order, and apply as soon as you are eligible. Immigration rule changes do not normally apply retrospectively, but the detail matters, so read our guide on whether new immigration rules affect your ILR application if you apply before they come into force. And remember you do not have to wait until the exact anniversary: the 28-day early application rule lets you submit up to 28 days before completing your qualifying period.