The Home Office confirmed this week that the visa channel created during the pandemic for care workers will close. Ministers added that only a narrow set of “critical shortage” occupations will sit on a new permit guideline that has yet to be published.
Recruiters reacted at speed, with David Morel, who heads Tiger Recruitment, told staff and clients that hospitals and city offices alike depend on international hires and could suffer if the door narrows.
David Morel, said, “Key sectors like tech, finance, and legal have long benefited from international talent, particularly as AI and digital transformation continue to accelerate. Businesses need access to specialist skills to manage this shift effectively. If access to global talent becomes more limited, employers could face greater hiring challenges, ultimately impacting productivity.
“Nearly three in five workers (58%) say their employer has never provided training to improve their digital skills. In an environment where talent is evolving quickly, this makes upskilling and long-term workforce planning more important than ever to encourage growth and maintain the UK’s competitive edge.”
Immigration law firm DavidsonMorris reminds employers that the long-running Shortage Occupation List vanished in April 2024. It was replaced by the Immigration Salary List, which grants a lower pay threshold to overseas staff but covers far fewer posts.
Which Sectors Could Lose Overseas Talent?
Finance comes first, and Tiger Recruitment calculates that overseas workers add £1.5 trillion in turnover each year, with 23% of the workforce in the field born abroad. The agency’s figures put finance directors, investment bankers, chartered accountants and investment researchers at the top of hiring lists that look abroad.
Digital companies rely just as heavily on outside skill. Programmers, software engineers, design engineers, cybersecurity specialists and systems designers appear again and again on sponsorship paperwork.
The legal profession casts an extensive net. Lawyers, barristers, paralegals and patent attorneys often secure visas so firms can handle cross-border cases that need bilingual or technical knowledge.
Support functions round out the list. Management consultants, marketing directors and human resource heads often come from abroad when employers need global experience in branding or staff development.
More from News
- New Report From University Of Kent Uncovers Hidden History Of Fundraising For Hospital Scanner Technology
- 5 Lessons From The Industries With Britain’s Happiest Workers
- Why Are People Turning To AI Lawyers?
- How Exactly Do YouTube Ads Work?
- FBI Warns Of Deepfake Voice Scam Targeting Officials
- Number Of Female Founders Has Risen By Half Over The Past Decade, VC Data Reveals
- Coinbase Faces Cyberattack Where Workers Were Bribed To Give Out Data
- More Than Half of Small Business Founders Have Experienced Burnout This Past Year
How Large Is The Digital Skills Shortfall?
Researchers at the City-Region Economic Development Institute at the University of Birmingham warn that a shortage of digital skill poses a threat to growth. Their new paper says the economy could lose up to £27.6 billion in output by 2030 if vacancies stay unfilled.
The study believes that adverts asking for digital ability roughly doubled from 2.4 million in 2012 to 4.9 million in 2022. Almost 39% of job listings now mention coding, cloud or AI knowledge.
The academics forecast that as many as 380,000 full time posts could disappear by 2030 through lost growth if the shortage continues. Professional grades carry the greatest risk, with 69,000 high-skill jobs and 60,000 associate positions in danger.
Lower-tech areas such as manufacturing and wholesale may lose up to £14 billion because factories and supply chains now depend on data platforms to run smoothly.
Lead author Dr Huanjia Ma says Britain needs a national plan for coding courses, regional training grants and closer ties between educators and employers to build a work force ready for next-generation tools.
Will Pay-Based Visas Close The Door?
DavidsonMorris explains that the Immigration Salary List still allows a 20% discount on the headline pay bar, but only for a compact set of occupations. That means firms must raise starting pay or look inside the country if they wish to bring in accountants, programmers or barristers.
David Morel says pay pulls and skill training must work together. He adds that no single policy will fill every vacancy; universities, colleges and private boot camps all need to turn out graduates who can code, crunch numbers and handle cross-border deals.
Without that, London could fall behind rival hubs, while towns outside the South East might miss out on the technology upswing that drives wage growth. Recruiters are asking ministers for clarity on the shortlist, quicker processing and more cash for digital classrooms.
