Skilled Worker Visa Salary Thresholds 2025/26: Going Rate vs Minimum Threshold

Overview: The Two-Threshold Framework

Since the April 2024 salary reforms, Skilled Worker sponsors and their advisers must navigate a dual-threshold system when assessing whether a role meets the salary requirements for a Certificate of Sponsorship (CoS). Getting this wrong — in either direction — can result in a refused application, a civil penalty, or a damaging compliance audit. For 2025/26, the framework remains materially the same as introduced under the previous year's reform, but practitioners should be alert to incremental uplifts and occupation-specific changes.

The two thresholds that must both be satisfied are: the general minimum salary threshold and the going rate for the specific occupation code (SOC 2020). A sponsor must pay whichever of the two is higher. Misunderstanding this hierarchy is one of the most common errors seen in pre-application reviews.

The General Minimum Threshold

As of April 2024, the general minimum salary threshold for Skilled Worker visas was raised from £26,200 to £38,700 per annum for most applicants (based on a 39-hour working week). This figure applies to new applications and extensions unless a specific exemption or tradeable applies.

For 2025/26, this threshold has remained at £38,700 for the majority of occupations, though practitioners should always confirm the current figure against the Home Office's official Immigration Rules and sponsor guidance, as annual uplifts are possible. The threshold is calculated on gross basic salary — it does not include tips, discretionary bonuses, or overtime unless guaranteed and contractual.

Key Exemptions to the Standard Threshold

• New Entrants: Applicants who qualify as new entrants to the labour market may be sponsored at 70% of the going rate (subject to a floor of £30,960). New entrant status applies to those under 26, recent graduates (within four years), switching from a Student or Graduate visa, or those in a recognised professional training programme.
• National Pay Scale Occupations: Roles covered by national pay scales — such as NHS medical and dental staff, teachers, and social workers — are assessed differently. The going rate is defined by the relevant pay scale, and the general threshold interacts with those scales in a specific way.
• PhD-Level Roles: Roles on the shortage occupation list or those requiring a PhD in a relevant subject attract a 10% discount to the going rate, though the general threshold floor still applies.

The Going Rate: SOC 2020 Occupation Codes

The going rate is the median hourly rate for a given Standard Occupational Classification (SOC 2020) code, derived from the Office for National Statistics Annual Survey of Hours and Earnings (ASHE). The Home Office publishes updated going rate tables, and practitioners must use the table current at the date of CoS assignment.

Critically, the going rate is calculated on an hourly basis and then annualised using the contracted hours stated on the CoS. This means two workers in the same SOC code but on different contracted hours will have different annualised going rates. A 37.5-hour week and a 40-hour week will produce different figures even at the same hourly rate.

Practical Example

Consider a software developer being sponsored under SOC 2136 (Programmers and software development professionals). If the going rate for that code is £21.59 per hour (illustrative), the annualised figure for a 39-hour week would be approximately £43,714. Since this exceeds the general minimum threshold of £38,700, the sponsor must pay at least £43,714. Paying £38,700 alone would not be compliant — a mistake that is surprisingly common in complex multi-role organisations with standardised pay bands.

Shortage Occupations and the Shortage Occupation List

Following the Migration Advisory Committee (MAC) review, the dedicated Shortage Occupation List (SOL) with its 20% going rate discount was abolished in April 2024 and replaced by the Immigration Salary List (ISL). Roles on the ISL attract a reduced general threshold of £30,960 (80% of £38,700) but the going rate for the occupation must still be met in full unless the new entrant provisions also apply.

Practitioners advising clients in health and care, engineering, or construction sectors should audit which roles remain on the ISL for 2025/26. The ISL is reviewed periodically and occupations can be added or removed, creating compliance risk for sponsors who rely on previous year's guidance without checking for updates.

Tradeable Points and Part-Time Working

The Skilled Worker route operates on a points-based framework. Salary is a tradeable criterion in limited circumstances, but practitioners should exercise caution: the salary threshold is one of the most tightly constrained elements of the points table. While a job offer in a shortage occupation or at PhD level can reduce the required salary, the interaction between tradeables and going rates requires careful mapping before issuing a CoS.

For part-time roles, the going rate is assessed on a pro-rata basis calculated from the contracted hours. However, the general minimum threshold also applies on a pro-rata basis — meaning part-time workers in low-going-rate occupations may satisfy the going rate but still fall foul of the minimum threshold floor. Sponsors should model both thresholds against actual contracted hours at the outset.

Compliance Considerations for Sponsors

UKVI compliance visits and annual audit exercises increasingly focus on salary compliance. Sponsors should maintain records that clearly evidence:

• The SOC 2020 code used at the time of CoS assignment and the rationale for that classification
• The contracted hours stated on the CoS and how they align with the employment contract
• Evidence of actual salary payments meeting or exceeding the required threshold throughout the permission period
• Any reliance on new entrant provisions, including documentary evidence of eligibility

Where a worker moves role, is promoted, or has their hours changed, sponsors must assess whether a new CoS is required and whether the salary thresholds continue to be met. A salary reduction below either threshold — even temporarily — is a reportable event and may constitute a sponsor duty breach.

Key Takeaways for 2025/26

• Always check both thresholds: general minimum (£38,700 standard; £30,960 for ISL roles) and the occupation-specific going rate.
• Use the going rate table current at the date of CoS assignment — do not rely on cached or prior-year figures.
• Model thresholds against actual contracted hours, not a notional 39-hour week, unless that is the genuine contracted position.
• New entrant provisions remain valuable but require documented evidence of eligibility.
• Review the Immigration Salary List at the start of each sponsorship cycle to confirm continued ISL status for relevant occupations.

Salary threshold compliance is an area where small errors carry disproportionate consequences. Building a structured pre-CoS checklist that systematically applies both thresholds — and documents the analysis — remains best practice for any sponsor with a material volume of Skilled Worker applications.