Do I need to stay for 5 years to transfer from work permit to permanent residence? 2026 salary threshold £41,700

Many friends who have obtained a Skilled Worker (work permit) in the UK have been asked the most in the past six months: "Does the agreed five-year period for permanent residence have to be changed to 10 years? Do I have to count again?"

Let me give you some reassurance - As of today (July 25, 2026), the path to permanent residence from a 5-year work permit is still complete and valid. ’s controversial “earned settlement” reform has not yet been implemented into rules. But the calculation of salary has indeed changed quietly. If you don't understand it, it's easy to live in vain for 5 years.

How to calculate continuous residence when transferring from work permit to permanent residence? 5 years is a hard line

Skilled Worker takes the standard ILR (Indefinite Leave to Remain, permanent residence) after 5 years of continuous legal residence. Everyone must memorize the core exit red lines:

In any "rolling 12-month period", the total number of days spent outside the UK must not exceed 180. Once a certain 12-month window exceeds the standard, continuous residence will be interrupted, and the five years may have to be counted from the beginning.

Note that it is "any rolling 12-month period" and is not cut into pieces by visa year or natural year. Many people have fallen into this trap - they returned to China last year to take care of their families and stayed there for more than half a year. They thought that "it will be fine after two years." In fact, a certain sliding window has already burst. If you want to be accurate to the day, it is recommended to use 永居计算器APP to run through each entry and exit record, which is much more reliable than manual counting.

The salary threshold for converting work permit to permanent residence is £41,700. At what time is it verified?

This is the easiest thing to trip up in 2026. Standard Skilled Worker applies for ILR, and the salary must meet £41,700/year, or the going rate corresponding to your occupation code (SOC), whichever is higher . Moreover, the going rate has been raised from the 25% percentile in the past to the 50% percentile (median), and the threshold has been raised overall.

The key pitfall is: the salary is based on the current threshold at the moment you submit ILR, not the old figure when the CoS was issued. In other words, even if the threshold is only £25,600 when you get the visa in 2022, you will still need to pay £41,700 (or the current going rate for your occupation) to apply for permanent residence in 2026. Expecting to "muddle through using old standards" will not work.

In addition, starting from April 8, 2026, Appendix Skilled Worker has added the salary calculation cycle framework of SW 14.3B. How to calculate annual salary and whether overtime/bonuses are counted, the details are stricter. Specific positions such as medical care and education, as well as old CoS before April 2024, may apply to lower thresholds (such as £33,400, £31,300), but these are exceptions. Do not default that you are eligible. Be sure to check the latest form of GOV.UK item by item.

Have the new rules for 10-year permanent residence been changed? Latest progress of earned settlement

This is the “earned settlement” that everyone is most anxious about. The government's "A Fairer Pathway to Settlement" consultation ended on February 12, 2026, and received more than 200,000 responses. The general direction of the proposal is to extend the standard permanent residence waiting period for most people from 5 years to 10 years, and even to 15 years for some work permit positions below RQF6; conversely, high income can "buy time" - taxable income exceeding £125,140 for 3 consecutive years can be reduced for 3 years at the fastest, and up to 5 years for taxable income exceeding £50,270.

Key point: It was originally supposed to be implemented in the statement of changes in April 2026, but as of now, the government’s official response to the consultation has not been announced, the 5-year and 10-year paths are still valid, and the rules have not been actually changed.

So the current situation is "boots hanging in the air." People who have been on the road for 5 years don’t panic, but don’t delay either – if you really want to change it, there will usually be transitional arrangements. The sooner you meet the conditions and submit the application, the better you can lock in the current rules. Don’t count the number of consecutive residences incorrectly and don’t let your salary get stuck under the threshold. These are the things you can control now.

📌 To summarize in one sentence: The 5-year path is still there, don’t leave the country for more than 180 days, the salary will be calculated based on the £41,700 at the time of submission, and pay attention to the follow-up announcement of earned settlement. This article is for reference only. Please consult a licensed lawyer for specific cases; if you are not sure about your timeline, you can add our lawyers to chat on WeChat.

💬 Chat in the comment area: In what year did you get your work permit, and what year is it now? Are you worried that the earned settlement reform will affect you? Send the visa type and year and check the timeline together. If finds it useful, bookmark this article so that you can come back and check the threshold and number of days at any time in the future.

[Data source] GOV.UK: Skilled Worker going rates (gov.uk/government/publications/skilled-worker-visa-going-rates-for-eligible-occupations); GOV.UK Consulting "A Fairer Pathway to Settlement" (gov.uk/government/consultations/earned-settlement). The latest announcement from GOV.UK shall prevail.

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