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UK Home Secretary Shabana Mahmood’s Earned Settlement Reform Faces Widespread Criticism

6/25/2026, 11:34:38 AM

Earned Settlement Reform: Core Provisions

Home Secretary Shabana Mahmood announced the “earned settlement” reform, which doubles the default qualifying period for indefinite leave to remain (ILR) from five to ten years and applies the change retrospectively to migrants already in the United Kingdom, extending the time needed for permanent residency.

Policy Context

The reform targets a surge in low-skilled migration that followed post-Brexit visa liberalisation under former Prime Minister Boris Johnson. Labour officials cite migration reduction as a priority, noting the party trails Reform UK in polls.

Estimated Impact

Work Rights Centre analysis of Home Office data estimates 2.06-2.47 million people, including 426 000-593 000 children, would be affected. The charity warns the retrospective rule could raise labour exploitation, extend temporary status for children and increase child poverty by delaying public-fund access.

Government Response

The Home Office says it is reviewing consultation responses on the retrospective element. Home Secretary Mahmood stressed the need to address the “very large number of lower-skilled migrants.” The Lords Justice and Home Affairs Committee warned the proposals are “manifestly unfair” and may be unlawful.

Opposition and Critique

The cross-party Home Affairs Select Committee warned that extending the ILR timeline could jeopardise integration, increase low-skill worker exploitation and worsen child poverty. Work Rights Centre CEO Dora-Olivia Vicol called the projected impact on two million people “extraordinary” and urged abandonment. Labour MP Andy Burnham has been urged to reject the retrospective changes.

Verbatim Quotes

  • “These are just some examples of the expansive repercussions ‘earned’ settlement could have on those around us,” — Work Rights Centre report
  • “We do need to deal with the very large number of lower-skilled migrants who have come into this country, the largest rate of low-skilled entry into this country that we have ever seen in our history, and all of the attendant issues that that has.” — Shabana Mahmood
  • “ Dora-Olivia Vicol, CEO of the Work Rights Centre, said: “Our analysis of Home Office data finds that upwards of two million people – including half a million children – could be negatively affected by ‘earned’ settlement.” — Dora-Olivia Vicol, CEO, Work Rights Centre
  • “If he becomes the next prime minister, we urge Andy Burnham to lead with integrity: drop ‘earned’ settlement and refuse to threaten retrospective rule changes that betray migrant communities and the businesses and public services that so rely on them.” — Dora-Olivia Vicol

Conflicting Data and Gaps

The Work Rights Centre’s impact estimate varies between 2.06-2.47 million people and 426 000-593 000 children, and the Home Office has not published an impact assessment.

Future Outlook

The Home Office’s consultation outcome, possible legal challenges, and any policy shift by a future Labour government under Andy Burnham will decide the reform’s fate.