UK Skilled Worker Visa: Salary Requirements Explained

To secure a UK Skilled Worker visa, an applicant must be paid a salary that meets or exceeds the relevant Home Office threshold, calculated as the highest of the general salary threshold, the specific going rate for the occupation code, or the statutory hourly rate floor. Under the rules implemented on 4 April 2024, the baseline general threshold for new applicants is £38,700 per year or £15.88 per hour, alongside the 50th percentile (median) going rate for the role. Lower thresholds apply to individuals eligible for tradeable points, those in recognized health and education roles on national pay scales, and workers covered by transitional arrangements who held permission on the route prior to 4 April 2024.

The Core Legal Framework for Skilled Worker Pay

The salary assessment for a Skilled Worker visa is governed by Appendix Skilled Worker and Appendix Skilled Occupations of the UK Immigration Rules. The system operates on a points-based structure where salary forms part of the mandatory 70 points required for a successful application.

To score the required 20 points for salary, the applicant's pay must satisfy three distinct tests simultaneously:

1. The gross annual salary must equal or exceed the applicable general salary threshold.
2. The gross annual salary must equal or exceed the specified going rate for the relevant Standard Occupational Classification (SOC) code.
3. The applicant must be paid at least the minimum hourly rate applicable to their specific tradeable points option.

Caseworkers assess these figures based on gross basic pay before tax and National Insurance deductions. If an application fails on any one of these three measures, the applicant will score zero points for salary, resulting in a mandatory refusal under the Immigration Rules.

The Shift to SOC 2020 and Median Earnings Data

On 4 April 2024, the Home Office introduced comprehensive structural changes to the Skilled Worker route. The occupational classification framework transitioned from the older SOC 2010 system to the SOC 2020 system. Alongside this technical reclassification, going rates for standard applicants were recalibrated from the 25th percentile of UK earnings to the 50th percentile, representing the median full-time salary for each occupation as recorded by the Office for National Statistics (ONS) Annual Survey of Hours and Earnings (ASHE).

This shift significantly raised the financial baseline across almost all eligible occupations. Sponsoring employers must ensure that the job role is mapped to the correct four-digit SOC 2020 code, as using an outdated or incorrect classification can result in an inaccurate going rate assessment and immediate refusal.

Determining the Standard Salary Thresholds (Post-4 April 2024 Applications)

For applicants entering the Skilled Worker route for the first time on or after 4 April 2024 who do not qualify for any salary discounts or transitional protections, the standard salary requirements are set under Option A of the tradeable points table.

Under Option A, the applicant must receive:

• A gross annual salary of at least £38,700; and
• An hourly rate of at least £15.88; and
• An annual rate that meets or exceeds 100% of the full 50th percentile going rate for the occupation code.

Applicable Minimum Salary = Highest of (£38,700, Pro-rated Going Rate, Hours × £15.88)

If the going rate for a role is higher than £38,700, the employer must pay at least that going rate. If the going rate is lower than £38,700, the employer must still pay at least £38,700 per year, provided the hourly rate remains at or above £15.88.

Worked Example: Standard Route

An employer wishes to sponsor a Systems Analyst under SOC 2020 code 2135. The applicant will work 37.5 hours per week.

• General threshold: £38,700
• Going rate for SOC 2135 (based on 37.5 hours): £49,400
• Minimum hourly rate requirement: £15.88 per hour (£30,966 per year for 37.5 hours)

In this scenario, the applicable threshold is £49,400. Offering the applicant £38,700 would lead to a refusal because it fails to satisfy the occupation's going rate, even though it meets the general threshold.

Tradeable Points and Salary Discounts (Options B to E)

Where an applicant cannot meet the standard £38,700 baseline or 100% of the median going rate, Appendix Skilled Worker permits salary reductions through tradeable points under Options B, C, D, and E. These options allow for discounts based on academic qualifications, labour market shortages, or new entrant status.

Option B: Relevant PhD Qualifications

An applicant who holds a relevant PhD or other UK-equivalent doctoral qualification can trade this credential for a 10% discount on both the general salary threshold and the occupation going rate.

• General threshold requirement: £34,830 (90% of £38,700)
• Going rate requirement: 90% of the occupation going rate
• Hourly rate floor: £15.88 per hour

The sponsoring employer must verify and record on the Certificate of Sponsorship (CoS) that the qualification is relevant to the sponsored role. If the doctoral qualification was awarded outside the UK, the applicant must obtain an official Statement of Compatibility from ECCTIS confirming that the degree meets the standard of a UK PhD.

Option C: Relevant PhD in a STEM Subject

If the applicant holds a doctoral qualification in a Science, Technology, Engineering, or Mathematics (STEM) discipline, and that qualification is relevant to the job, a higher discount of 20% applies to both thresholds.

• General threshold requirement: £30,960 (80% of £38,700)
• Going rate requirement: 80% of the occupation going rate
• Hourly rate floor: £15.88 per hour

The sponsor must provide a credible justification on the CoS explaining why the STEM qualification is relevant to the duties of the position. Caseworkers retain the power to assess whether the link between the qualification and the role is genuine.

Option D: Roles on the Immigration Salary List

The Immigration Salary List (ISL) replaced the previous Shortage Occupation List (SOL). Roles listed on the ISL are recognized by the Migration Advisory Committee (MAC) as facing severe domestic recruitment shortages.

• General threshold requirement: £30,960 (80% of £38,700)
• Going rate requirement: 100% of the occupation going rate
• Hourly rate floor: £15.88 per hour

Unlike the former Shortage Occupation List, the ISL does not allow a discount on the going rate itself. Sponsoring employers may only discount the general threshold to £30,960. The applicant must still be paid 100% of the full going rate for their occupation code.

Option E: New Entrants to the UK Labour Market

The new entrant concession provides substantial salary flexibility for individuals who are at the beginning of their careers in the UK. Qualifying as a new entrant reduces the general threshold and going rate by 20% and 30% respectively.

• General threshold requirement: £30,960 (80% of £38,700)
• Going rate requirement: 70% of the occupation going rate
• Hourly rate floor: £15.88 per hour

To qualify as a new entrant, the applicant must meet at least one of the following criteria at the time of application:

1. The applicant is under 26 years of age on the date of application.
2. The applicant is switching in the UK from a Student visa, having completed (or being within three months of completing) a UK bachelor's degree, master's degree, PGCE, or having completed at least 12 months of a UK PhD.
3. The applicant is switching in the UK from a Graduate visa, or their most recent grant of permission was under the Graduate route.
4. The job offer is for a role leading to a recognized professional qualification in a regulated profession (such as chartered accountancy, legal practice, or architecture).
5. The applicant is working towards full registration or chartered status with the recognized professional body for their occupation.

The Four-Year Cumulative Limit for New Entrants

A critical restriction applies to the new entrant route: an individual can only benefit from new entrant status for a maximum cumulative period of four years. This four-year period includes all historical time spent in the UK under:

• Any previous Skilled Worker or Tier 2 (General) permission granted as a new entrant; and
• Any time spent on the Graduate route.

For example, if an applicant held a Graduate visa for two years, they can only be sponsored as a Skilled Worker under the new entrant provisions for a maximum of two additional years. If an employer attempts to assign a three-year CoS under Option E to an individual who has already used two years on a Graduate visa, the Home Office will refuse the application because the total grant exceeds the four-year limit.

Transitional Arrangements for Pre-4 April 2024 Visa Holders (Options F to K)

To prevent existing visa holders from falling out of status due to the April 2024 threshold increases, the Home Office established transitional rules under Options F, G, H, I, J, and K of Appendix Skilled Worker.

Who Qualifies for Transitional Protection?

An applicant qualifies for transitional rules if they meet both of the following conditions:

• They held valid permission as a Skilled Worker (or Tier 2 General migrant) before 4 April 2024, or applied before that date and were subsequently granted permission; and
• They have maintained continuous permission on the Skilled Worker route ever since (excluding standard statutory grace periods or section 3C leave extensions).

Transitional protection applies to applications for extensions of stay, changes of employment (switching sponsors), and applications for Indefinite Leave to Remain (settlement) made before 1 December 2030.

Transitional Salary Thresholds

Under the transitional framework, going rates continue to be benchmarked against the 25th percentile of earnings rather than the 50th percentile, and the baseline general threshold is anchored at £29,000 rather than £38,700.

• Option F (Standard Transitional): Gross salary of at least £29,000 per year, £11.90 per hour, and 100% of the 25th percentile going rate.
• Option G (Transitional + Relevant PhD): Gross salary of at least £26,100 per year, £11.90 per hour, and 90% of the 25th percentile going rate.
• Option H (Transitional + STEM PhD): Gross salary of at least £23,200 per year, £11.90 per hour, and 80% of the 25th percentile going rate.
• Option I (Transitional + ISL Role): Gross salary of at least £23,200 per year, £11.90 per hour, and 100% of the 25th percentile going rate (or 80% if the role was on the pre-April 2024 Shortage Occupation List).
• Option J (Transitional + New Entrant): Gross salary of at least £23,200 per year, £11.90 per hour, and 70% of the 25th percentile going rate.
• Option K (Transitional + National Pay Scales): Paid in accordance with the relevant public sector or national pay band structure, with a minimum floor of £23,200.

Health and Care Worker Visa and National Pay Scale Roles

Specific carve-outs apply to individuals working in designated healthcare, social care, and education occupations.

Roles Subject to National Pay Scales

Occupations listed in Table 3, Table 4, or Table 5 of Appendix Skilled Occupations - such as NHS doctors, registered nurses, midwives, allied health professionals, and state school teachers - are tied to nationally agreed pay scales (e.g. NHS Agenda for Change, national school teacher pay frameworks).

For these roles:

• The general annual salary threshold is £23,200.
• The hourly rate floor is £11.90.
• The going rate is determined by the specific pay band and step assigned to the post under the national agreement.

Employers sponsoring staff under national pay scales cannot reduce pay below the nationally agreed entry point for that specific grade or band, even if that rate is higher than £23,200.

Health and Care Roles Not on National Pay Scales

For Health and Care Worker roles that do not operate on national pay scales (such as care workers under SOC code 6135 and senior care workers under SOC code 6136 in private sector settings):

• If applying under the post-4 April 2024 rules without transitional protection, the general threshold is £29,000 per year, with an hourly floor of £11.90, alongside 100% of the going rate.
• Care providers sponsoring staff in England must be registered with the Care Quality Commission (CQC) to carry out regulated activities. Sponsoring care staff without active CQC registration invalidates the CoS.

Comprehensive Threshold and Tradeable Points Matrix

The following table sets out the baseline thresholds, going rate percentages, and minimum hourly rates across all standard and transitional options in Appendix Skilled Worker.

Working Hours, Pro-Rating Calculations, and Allowable Pay

A frequent source of error in Skilled Worker sponsorship is the failure to adjust going rates for contracted hours that differ from the standard baseline.

The Standard Working Week Baseline

All annual going rates published in Appendix Skilled Occupations are based on a 37.5-hour working week, unless explicitly stated otherwise in the occupational notes. If an employee is contracted to work more or fewer than 37.5 hours per week, the going rate must be pro-rated accordingly.

Importantly, the general salary threshold (e.g. £38,700 or £29,000) is never pro-rated downwards for part-time hours. An applicant working 20 hours per week under Option A must still earn at least £38,700 in gross annual pay, resulting in an effective hourly rate of £37.21.

Pro-Rating Formula for Sponsoring Employers

To calculate the pro-rated going rate for a role, apply the following formula:

Pro-rated Going Rate = (Published Annual Going Rate ÷ 37.5) × Contracted Weekly Hours

Worked Example: Pro-Rating for 40 Hours per Week

An employer wishes to sponsor an Operations Manager (SOC 2020 code 1139) under Option A. The published going rate in Appendix Skilled Occupations is £50,200 based on a 37.5-hour week. The employee will be contracted for 40 hours per week.

1. Calculate the base hourly going rate: £50,200 ÷ 37.5 = £1.338.67 per hour.
2. Pro-rate for 40 hours: £1,338.67 × 40 × 52 weeks = £53,546.67.
3. Compare thresholds:
   • General threshold: £38,700
   • Pro-rated going rate: £53,546.67
   • Minimum hourly rate check: 40 hours × 52 weeks × £15.88 = £33,030.40

The employer must pay a minimum salary of £53,547 gross per year. If the employer only paid the baseline £50,200, the application would be refused because the salary fails the pro-rated going rate test for a 40-hour week.

Definition of Allowable Salary Elements

Under paragraph SW 14.2 of Appendix Skilled Worker, only gross basic pay can be counted towards the salary threshold. The Home Office strictly limits what forms of remuneration can be included:

• Allowable: Guaranteed gross basic pay, calculated on an hourly, weekly, monthly, or annual rate.
• Non-allowable: Overtime pay (guaranteed or voluntary), performance-related bonuses, commission, London weighting or regional allowances, accommodation allowances, travel or subsistence allowances, employer pension contributions, health insurance, and any other non-guaranteed or variable payments.

Even if an employment contract guarantees a £10,000 performance bonus, that amount cannot be counted towards the £38,700 threshold. The guaranteed basic salary alone must clear all thresholds.

Step-by-Step Process for Assessing Salary Compliance

Sponsoring employers and legal representatives should follow a sequential six-step assessment before assigning a Certificate of Sponsorship.

[1. Select SOC Code] 
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[2. Establish Route & Timing (Standard vs Transitional)]
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[3. Check Eligibility for Tradeable Points / Discounts]
       │
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[4. Pro-rate Going Rate to Contracted Hours]
       │
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[5. Test Basic Pay vs Hourly Floor & General Threshold]
       │
       ▼
[6. Draft & Assign CoS with Full Justification Notes]

Step 1: Identify the Correct SOC 2020 Occupation Code

Review the specific job description, day-to-day duties, and required qualification levels. Match these against the Office for National Statistics Occupational Hierarchy tool and Appendix Skilled Occupations. Identify the correct four-digit SOC 2020 code. Do not select a code solely because it has a lower going rate; doing so violates the Genuine Vacancy test.

Step 2: Establish the Applicable Regulatory Regime

Determine whether the applicant is subject to the standard post-4 April 2024 regime or the transitional framework. Check past grant letters, biometric residence permits (BRPs), or digital immigration status records to confirm whether the applicant held continuous Skilled Worker leave prior to 4 April 2024.

Step 3: Assess Eligibility for Tradeable Points (Options A to K)

Evaluate whether the applicant meets the strict legal criteria for a tradeable points reduction:

• If claiming a PhD discount, check that the degree is relevant, verified by ECCTIS if overseas, and that the sponsor provides explicit justification on the CoS.
• If claiming new entrant status, confirm the applicant meets one of the statutory definitions and calculate past time spent on Graduate or Tier 2/Skilled Worker visas to verify they will not exceed the 48-month lifetime limit.
• If claiming an ISL discount, confirm the occupation code is actively listed in Appendix Immigration Salary List.

Step 4: Calculate the Pro-Rated Going Rate and Minimum Hourly Floor

Determine the exact weekly contracted hours from the employment contract. Apply the pro-rating formula if hours differ from 37.5. Multiply the total annual hours by the applicable hourly rate floor (£15.88 for standard routes; £11.90 for transitional/health routes) to ensure the total basic pay covers all contracted working time.

Step 5: Compare All Three Metrics and Set Guaranteed Basic Pay

Set the applicant's guaranteed gross basic salary at or above the highest of:

• The general threshold;
• The pro-rated going rate; and
• The total calculated from the minimum hourly rate floor.

Ensure no variable allowances, bonuses, or overtime are included in this calculation.

Step 6: Draft the CoS and Record Sponsoring Notes

When assigning the Defined or Undefined CoS via the Sponsorship Management System (SMS):

• Enter the exact gross basic annual pay in the salary field.
• Enter the precise weekly contracted hours.
• In the job description or sponsor notes field, state the applicable tradeable points option (e.g. Option A, Option E).
• If relying on a PhD or professional qualification, provide the required explanatory text and ECCTIS reference numbers.

Evidential Requirements and Caseworker Scrutiny

Home Office caseworkers apply strict scrutiny to the salary data submitted on the CoS and supporting application documentation.

Evidence Required from Applicants and Sponsors

Depending on the application route and points claimed, the following evidence must be retained by the sponsor and submitted if requested:

• Employment Contract or Formal Written Offer: Specifying job title, gross basic salary, payment frequency, and exact contracted weekly hours.
• Academic Verification: For PhD claims, a copy of the doctoral certificate and, where obtained outside the UK, an official ECCTIS statement confirming UK equivalence.
• Proof of New Entrant Status: Copies of UK degree certificates, transcripts, or official university completion letters for student switchers; previous Graduate visa grant notifications; or evidence of registration with relevant statutory professional bodies.
• Payslips and Bank Statements: For individuals extending or switching in the UK, caseworkers may request three to six months of recent payslips and matching personal bank statements showing salary credits.

Automated Caseworker Verification: HMRC Real Time Information (RTI)

The Home Office routinely shares data with HM Revenue & Customs (HMRC). Caseworkers possess automated access to HMRC Real Time Information (RTI) records.

When an extension, switching, or settlement application is submitted, caseworkers cross-reference the salary stated on the CoS against the PAYE income reported to HMRC by the employer. If the PAYE data shows that the worker has been paid less than the salary stated on their previous CoS, the caseworker will issue an explanation letter or proceed directly to refusal and initiate sponsor compliance action.

The Genuine Vacancy and Skill Level Test

Caseworkers assess whether the role represents a genuine vacancy under paragraph SW 5.5 of the rules. A refusal may occur if the caseworker believes the employer has deliberately selected a SOC code with a lower going rate that does not accurately reflect the higher-level duties the applicant actually performs. Misclassifying an IT Director (SOC 1136) as an IT Operations Technician (SOC 3131) to access a lower salary threshold constitutes sponsor non-compliance and will lead to visa refusal and sponsor licence revocation.

Common Mistakes and Refusal Triggers

Salary-related errors remain the leading cause of refusals on the Skilled Worker route. Sponsoring employers and applicants must avoid several distinct traps:

1. Inadvertent Hourly Rate Breaches Due to Unpaid Overtime

An employer may offer a salary of £38,700 for a role with a standard going rate of £38,700. However, if the employment contract specifies a 48-hour working week, the effective hourly rate is:

£38,700 ÷ (48 hours × 52 weeks) = £15.50 per hour

Because £15.50 is below the statutory £15.88 hourly floor, the application will be refused. Sponsoring higher-hour roles requires raising the annual salary to satisfy the hourly floor.

2. Including Allowances to Reach the Threshold

An employer offers a basic salary of £32,000 plus a guaranteed £7,000 London Weighting allowance, entering £39,000 on the CoS. The caseworker will strip out the £7,000 allowance, assessing the application at £32,000. Under Option A, this results in an immediate refusal for failing the £38,700 general threshold.

3. Exceeding the 4-Year New Entrant Limit

Assigning a three-year CoS under Option E to an individual who has already completed two years on a Graduate route visa will result in a refusal. The caseworker will calculate that the grant would bring the total new entrant leave to five years, breaching the four-year statutory cap under paragraph SW 12.3.

4. Failure to Pro-Rate for Roles Over 37.5 Hours

Assuming that paying the published going rate is sufficient when the employee works 40 or 42.5 hours per week. If the going rate is £45,000 for 37.5 hours, paying £45,000 for 40 hours is an automatic shortfall of £3,000 per year.

5. Incorrect Use of Transitional Codes

Applying transitional salary rates (Option F) to an applicant who held a Student or Graduate visa before 4 April 2024, but who never held leave as a Skilled Worker before that date. Transitional rules apply only to those who held continuous permission on the Skilled Worker (or Tier 2) route specifically.

Edge Cases and Complex Scenarios

Immigration rules contain specific provisions for non-standard circumstances that arise during the course of sponsorship.

Unpaid Leave and Reductions in Salary

Under paragraph SW 14.1 of the Immigration Rules, a Skilled Worker's salary cannot be reduced below the level stated on their CoS or below the applicable threshold, except in strictly prescribed circumstances:

• Statutory Maternity, Paternity, Adoption, or Shared Parental Leave;
• Statutory Sick Leave lasting more than one consecutive month;
• Assisting with a national or international humanitarian or environmental crisis (with sponsor agreement); or
• Taking part in legally organized industrial action (striking).

If a worker takes unauthorized unpaid leave or reduces their hours such that their salary drops below the threshold for more than four weeks in any calendar year (excluding the statutory exemptions above), the employer must terminate sponsorship and report the cessation via the SMS within 10 working days.

Restructuring and Pay Cuts Across the Workforce

If an employer undergoes collective restructuring and introduces universal pay reductions across all employees, a sponsored worker's salary may only be reduced if the new salary still meets or exceeds the current minimum thresholds for their tradeable points option. If the reduced salary falls below £38,700 (or the pro-rated going rate), the employer cannot apply the pay cut to the sponsored worker without causing them to breach their visa conditions.

Dependant Financial Requirements

Dependants (partners and children) do not have independent salary thresholds. However, their right to join or remain in the UK depends on the primary worker's lawful status and sponsorship:

• Maintenance funds: Unless the sponsor certifies maintenance on the CoS (A-rated sponsors only), the applicant or dependants must show cash savings held for 28 consecutive days (£285 for a partner, £315 for the first child, £200 for each additional child).
• Health and Care restriction: Since 11 March 2024, care workers (SOC 6135) and senior care workers (SOC 6136) are barred from bringing dependants to the UK, unless they held continuous leave on the route prior to that date.

Salary Requirements for Indefinite Leave to Remain (Settlement)

When applying for settlement after five years of continuous residence, the applicant must satisfy the salary rule under paragraph SW 24.1:

• Standard Settlement: The applicant must be paid at least £38,700, or the going rate for the occupation, whichever is higher, and at least £15.88 per hour.
• Transitional Settlement: If the applicant qualified for transitional provisions (held Skilled Worker leave before 4 April 2024), the settlement threshold is £29,000, or the 25th percentile going rate, whichever is higher, and at least £11.90 per hour.
• ISL Settlement: If the job is on the Immigration Salary List, the general threshold is £30,960 (standard) or £23,200 (transitional).

Crucially, new entrant discounts (Option E and Option J) do not apply at the settlement stage. A worker who entered as a new entrant must have progressed in salary to meet the full going rate and general threshold by the time they apply for indefinite leave to remain.

Switching Between Sponsoring Employers

When a Skilled Worker switches employers, a new Certificate of Sponsorship is required. The new sponsor must assess salary rules based on the applicant's status at the date of the new application:

• If the worker held Skilled Worker permission before 4 April 2024, the new sponsor can use the transitional thresholds (Option F) even though it is a new job.
• If the worker originally switched from a Graduate visa after 4 April 2024, the new sponsor must apply the standard post-April 2024 rules (Option A or Option E if within the 4-year limit).

Summary of Compliance Duties for Sponsoring Employers

Sponsoring organizations carry statutory reporting and record-keeping duties under Appendix D of the sponsor guidance. Regarding salary management, employers must:

1. Maintain exact payroll records, contracts, and timesheets showing that the worker receives the guaranteed basic pay stated on the CoS for all hours worked.
2. Report any change in salary (increases or allowed reductions) via the Sponsorship Management System (SMS) within 10 working days of the change taking effect.
3. Report any change in contracted hours or job duties via the SMS.
4. Retain qualification documents and ECCTIS statements where points were traded for doctoral credentials.
5. Conduct annual reviews of working hours to ensure that unpaid overtime has not depressed the worker's effective hourly rate below the statutory floor.

Failure to maintain these standards exposes the organization to compliance audits, downgrading of sponsor licence status, formal suspension, or total licence revocation.

Next Steps

Employers planning to assign a Certificate of Sponsorship, or individuals preparing a Skilled Worker application, should conduct a line-by-line verification of the proposed employment terms before submitting data on the SMS. Calculate the pro-rated going rate against exact contracted hours, establish whether transitional protections apply, verify the validity of any claimed tradeable points, and ensure that gross basic pay fully satisfies the statutory hourly rate floor.

Reviewed by Wesbridge Associates team on 31 August 2026. We check our published guidance against GOV.UK and current Home Office rules.