New rules for UK companies hiring from the EU

Oct 30 | 2020

The Rt Hon Alok Sharma MP, UK Secretary of State for Business, Energy & Industrial Strategy, has announced the new rules for UK companies hiring workers from EU countries.

HM Government Transition

In a letter to business he said that the transition period will end on 31 December, 2020 and there will be no extension.   He also advised business to find out what other actions should be taken by visiting gov.uk/transition and using the checker tool.

The letter said that from 1 January, 2021, the UK will introduce a points-based immigration system that will treat EU and non-EU citizens equally and transform the way in which employers recruit internationally. “The new points-based system will ensure we prioritise and invest in those people already in the UK, upskilling our current work force, whilst also attracting the best and brightest from around the world,” he said.

Regardless of the nature of the future trading relationship with the EU, from 1 January there will be guaranteed changes for businesses:

  • You will need to be a licensed sponsor to hire eligible workers from outside the UK. This normally takes 8 weeks and fees apply. Check your business is eligible and read the accompanying sponsorship guidance.
  • New job, salary and language requirements will apply to anyone that you want to hire from outside the UK. Check that the people you want to hire will meet the requirements for coming to the UK for work.

The new system will not apply to hiring Irish citizens, or EU citizens already living and working in the UK who are eligible under the EU Settlement Scheme.

Alok Sharma MPMr Sharma said that the UK government will continue to provide the information and support needed to prepare for these changes. This includes sector-specific webinars. All previously recorded webinars are also available on demand now. He warned that if businesses don’t take action their business operations “will be interrupted”.


Photo: Alok Sharma MP