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Labour Ministers Want a Compromise on the 10-Year Settlement Plan

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April 8, 2026
10-Year Settlement Plan

Labour Ministers Want a Compromise on the 10-Year Settlement Plan

Home Secretary Shabana Mahmood has had to back down on her major idea to double the qualifying time for Indefinite Leave to Remain (ILR) from five to ten years because there is disagreement within the governing Labour Party. A Guardian report that came out overnight says that a group of ministers is now working with back-bench MPs on a set of exemptions meant to stop a full-scale rebellion in the Commons. The original plan, which was made public in November and put out for public comment on March 5, would make the path to settlement longer for practically all categories of work and family migration. Business groups, universities, and health service employers all quickly warned that the change will make the UK less appealing to talented people who want to move across the world and make it harder for sponsors who have already hired workers from overseas to keep them. Critics on the back benches want the rules to only apply to people who come after the reform goes into effect. They also want permanent exemptions for migrants working in jobs that are hard to fill, like social care workers and many NHS personnel. They say that making adjustments retroactively would be unjust and legally risky. Officials from the Home Office have said that compromises are feasible, but they also say that the government needs to “earn public confidence” following several years of record net migration. If a deal is reached, companies won’t have to pay for thousands of repeat visa extensions for employees who were already on a five-year path to settlement.

Moving to a new country Advisers nevertheless tell businesses to check their sponsored workers immediately and file any ILR applications that have been in the works for five years before the new laws are set in stone. HR teams should also plan for additional government expenses and an extra five years of the Immigration Health Surcharge if the settlement is delayed. The episode shows how politically charged immigration has grown in the lead-up to the 2027 general election. Labour wants to take a stronger stance to stop attacks from the right, but they also need to calm down progressive MPs in urban areas who are worried about losing pro-migrant support to the Greens and Liberal Democrats.

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