The Home Office is set to increase visa fees: what you need to know and how to prepare

In recent weeks, rumors of another increase in visa fees and other migration-related charges in the UK have once again attracted attention. Insider information circulating online confirms that the UK Home Office is considering raising fees for services related to immigration and visas.

What is this based on?

An article in The Times examines the UK Home Office’s plans to reduce expenses by £2.2 billion by tackling the backlog in asylum cases. However, many experts are sceptical about these intentions. The department aims to cut its budget by 3.2% over the next two years, including a reduction of £200 million in the current fiscal year and £2 billion next year. Much of this saving is expected to be achieved by reducing the waiting times for asylum seekers, which is currently very long.

However, there is discussion that measures to speed up processing asylum applications may not deliver the anticipated financial results or reduce costs by the planned £2.2 billion. There are also reports that the budget shortfall will be covered by increasing fees for foreign tourists entering the UK. Additionally, various immigration fees, such as visa charges and the Immigration Health Surcharge (IHS), which foreign nationals must pay for access to the NHS (National Health Service), are expected to increase.

Moreover, in July 2024, the Conservative Party manifesto announced plans for further visa fee increases to cover defense and law enforcement costs.

Although the Home Office has not yet determined the exact amount of the increase, it has stated that the price hike will affect the standard tourist visa, currently priced at £115 for stays up to six months.

Insiders, along with articles from The Times and NIESR, warn that significant fee increases could impact not only individuals but also the British economy. As an alternative, a study from NIESR points out that the economic and social benefits of lifting work restrictions for asylum seekers could be substantial.

Historical moments of sudden fee hikes

It’s important to note that such measures are not uncommon in Home Office policy. The UK government has repeatedly raised visa fees and migration-related payments, sometimes with little warning. In the past, these changes were often introduced without public or professional discussion, leaving potential migrants and their employers in a challenging situation.

The Home Office does not always provide early warning of changes in fees and immigration rules. For example, the increase in the IHS from £624 to £1,035 was announced a few months before it took effect, while changes to financial requirements for Skilled Worker and Spouse Visas were introduced with minimal notice, surprising many applicants and their employers.

In the past, there have been periods where visa and fee increases reached 10–20% without any months-long notice. For example, during economic crises or significant political shifts, the government has sometimes opted for sharp fee hikes to boost the budget and streamline the application processing.

An analysis of UK visa fee changes over the past three years shows a steady upward trend:

• Indefinite Leave to Remain (ILR): in 2022 – £2,404; as of October 4, 2023 – £2,885; currently – £2,885
• Naturalisation: in 2022 – £1,250; as of October 4, 2023 – £1,500; currently – £1,630
• Spouse Visa: in 2022 and 2023 – £1,048; currently – £1,258
• Skilled Worker Visa (depending on term and application location): in 2022 – £625-£719 (up to 3 years) and £1,235-£1,423 (more than 3 years); in 2023 – £719-£827 and £1,420-£1,500 respectively; currently – £719-£827 and £1,420-£1,636 respectively.

Given this trend, further fee increases are likely in the coming years, underscoring the need for potential migrants to stay updated on current information and prepare for possible changes promptly.

When to expect the next increase?

The Home Office usually announces fee increases in April or October, but given the political instability and economic pressure, there is no guarantee that this will happen at these times. According to recent data, the increase could be implemented within the next six months, meaning it could take effect as early as January. This leaves clients and employers with limited time to submit applications under the current rates.

Potential migrants and their employers should be prepared for a possible price surge. It is advisable to submit applications as soon as possible to minimise additional expenses.