Tradeable Points and Salary for Skilled Worker Visa
What you need to know
- •Tradeable points can reduce the salary threshold for Skilled Worker visas.
- •Shortage occupation roles, PhDs, and new entrant status all qualify.
- •New entrant discounts are time-limited to four years.
- •The reduced salary must still meet a minimum floor set by the government.
- •Employers should factor tradeable points into their hiring strategy.
Tradeable points in the Skilled Worker visa system allow applicants with specific characteristics to qualify at a lower salary. These characteristics include shortage occupations, relevant PhDs, new entrant status, and STEM qualifications. This guide explains each category, the salary reductions available, and how employers and applicants can use them.
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How the Points System Works
To qualify for a Skilled Worker visa, applicants need 70 points. Some points are mandatory (job offer, skill level, English language), while others are tradeable. Tradeable points allow flexibility on salary:
- Mandatory points (50): Job offer from a licensed sponsor (20), job at appropriate skill level (20), English language at B1 (10)
- Salary points (20): Meeting the salary threshold earns 20 points, but tradeable characteristics can substitute for a lower salary
The standard salary threshold and the going rate for the specific occupation are the benchmarks. Tradeable points reduce these benchmarks. See the GOV.UK Skilled Worker job requirements page for current thresholds.
Shortage Occupation Roles
If the job is on the shortage occupation list, the applicant can qualify at a lower salary. The going rate discount is typically 80% of the standard going rate for the occupation.
This benefits both employers (who can offer competitive but lower salaries to international recruits) and workers (who can qualify for roles that would otherwise fall below the threshold).
The shortage occupation list is reviewed periodically by the Migration Advisory Committee. Roles can be added or removed, so always check the current list before relying on this discount.
New Entrant Discount
New entrants to the UK labour market benefit from the most generous salary discount. You qualify as a new entrant if you are:
- Under 26 years old at the date of application
- Switching from a Student visa or Graduate route
- In a recognised postdoctoral position
- On a recognised professional training programme
- Working toward a recognised professional qualification
The new entrant discount reduces the salary requirement to 70% of the going rate, subject to an overall minimum floor. This discount can only be used for a maximum of four years. After that, you must meet the full salary at your next visa application.
This is particularly relevant for graduates moving from the Graduate route to Skilled Worker visa.
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PhD Discount
Holding a PhD relevant to the job provides a tradeable point that reduces the salary requirement. There are two levels:
- PhD in a relevant subject: Reduces the going rate requirement
- PhD in a STEM subject relevant to the job: Provides a larger reduction
The PhD must be relevant to the specific role, not just any doctorate. The employer must confirm on the certificate of sponsorship that the PhD is relevant.
Health and Care Worker Discount
Workers in eligible health and social care roles benefit from specific salary discounts under the Health and Care Worker visa route. These roles have a lower general salary threshold and reduced application fees and IHS charges.
For Employers
Understanding tradeable points can expand your talent pool. Practical considerations:
- Check whether the role qualifies for any tradeable characteristics before setting the salary
- Remember that the new entrant discount is time-limited — the worker will need a higher salary at the next visa renewal
- Ensure the certificate of sponsorship correctly reflects any tradeable points being claimed
- Factor in future salary increases when planning the role's long-term viability as a sponsored position
For a broader view, see our employer visa type overview. Check the GOV.UK going rates table for current figures.
Next Steps
If you are an applicant, check whether you qualify for any tradeable points that could reduce your salary requirement. If you are an employer, review your sponsored roles to see if tradeable points could make more candidates eligible.
Related guides:
This guide is general information, not immigration advice. Immigration rules change frequently. For advice on your specific situation, consult an OISC-registered adviser or immigration solicitor. Always check GOV.UK for the latest rules.
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