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New UK Tier 1 Highly Skilled visa criteria – overseas earnings multipliers

by John Dunn | Apr 06, 2010
  • 6 April saw the implementation of all the Migration Advisory Committee’s (MAC) recommendations relating to the UK Tier 1 (General) highly skilled migrant category visa.

    These changes bring about the welcome reintroduction of points for Bachelor degrees; raise the age limits for scoring points; and see an increase in the salary band levels across the range of point scores.

    The Government have yet to finalise the updated overseas earnings multipliers. It was hoped that these new uplift ratios would be available by the 6th of April, but this is not the case and in the interim, they will remain unchanged.

    Overseas earnings multipliers are used to ‘uplift’ earnings from outside the UK in an effort to reflect differences in income levels across the world. For example, earnings derived in South Africa are multiplied by 3.2; for earnings in India the multiplier is 5.3; and for earnings in Australia there is no uplift.

    So for instance, someone earning R150 000 in South Africa, would multiply their earnings by 3.2 and reach a relative UK earnings amount of R480 000.

    Here are two examples of how the UK Government calculates overseas earnings:

    The uplift multiplier applied to overseas earnings in SA is 3.2:1

    ZAR140,000 = GBP12,500 (approx based on exchange rate)

    GBP12,500 x 3.2 (SA earnings uplift multiplier) = GBP40,000

    GBP40,000 = 25 points under the new criteria.

    For this example, anyone in South Africa whom is under 30 years of age and has as a minimum a Bachelor degree, will require earnings of at least ZAR140,000 to qualify.

    For overseas earnings in India, the uplift ratio is 5.3:1

    INR515,000 = GBP7,600 (approx based on exchange rate)

    GBP7,600 x 5.3 (India earnings uplift multiplier) = GBP40,280

    GBP40,280 = 25 points under the new criteria

    We are pleased to announce that the new Tier 1 visa criteria, including the interim multipliers, are now live on the 1st Contact Visas online assessment tool. To take a free assessment of your eligibility under the new criteria, please follow the link below.

    If you are eligible now based on the current criteria and earnings uplift, we urge you to apply as soon as possible, as there is no indication as to when or what the changes to these multipliers will be in the future.

    We are a professional services company that specialises in cross-border financial and immigration advice and solutions.

    Our teams in the UK, South Africa and Australia can ensure that when you decide to move overseas, invest offshore or expand your business internationally, you’ll do so with the backing of experienced local experts.

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