LONDON: The UK government has announced significant immigration reforms that will increase financial requirements for international students while introducing new opportunities for graduate entrepreneurs, alongside a reduction in post-study work rights. Starting November 11, 2025, international students will need to demonstrate £1,529 per month in London and £1,171 outside London to cover living expenses, a notable increase from current levels.
At the same time, graduates will now have the opportunity to switch directly to the Innovator Founder visa, allowing them to start businesses in the UK without relying on the closed Start-up visa route.
Under the new reform package, international students completing their degrees in the UK will be allowed to stay for only 18 months after graduation, reducing the current two-year Graduate Route visa. However, PhD graduates will continue to receive a three-year post-study stay.
The new policy, which will affect bachelor’s and master’s graduates applying from January 1, 2027, is expected to reduce annual visa applications by around 12,000, with an estimated £50 million drop in government revenue from fees and surcharges. The Home Office stated that the decision is aimed at ensuring that graduates transition into skilled employment and contribute more effectively to the UK economy.
Additionally, stricter English language requirements will be introduced for most migrant categories, requiring applicants for Skilled Worker, Scale-up, and High Potential Individual (HPI) visas to demonstrate B2-level proficiency starting January 8, 2027.
While the reforms are expected to increase the cost of studying in the UK, they also provide new pathways for entrepreneurial and professional growth for international talent.
