UK Budget 2026: What changes for UAE students planning to study and work in Britain?

Long post-study stays depend on university eligibility, while work visa rules will change

Last updated:
Justin Varghese, Your Money Editor
Students make their way around the London School of Economics campus, in central London.
Students make their way around the London School of Economics campus, in central London.
AFP

Dubai: Students from the UAE could get two years to work in Britain after graduating under plans announced in the UK’s October 28 Budget. But the longer stay will depend on which university they attend, according to the Treasury.

The Treasury says graduates from universities that follow immigration rules closely and show strong employment results will qualify. Its Budget document does not name the universities, explain how they will be assessed or announce when the change will begin.

For families choosing a university, this leaves a question unanswered: will their chosen institution qualify for the longer post-study visa? The Budget does not yet provide enough detail to establish that.

The Treasury also announced changes to work visa salary rules and an expansion of a separate route for graduates of leading overseas universities. These measures could affect UAE-based students and professionals considering work in Britain.

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Which graduates will get two years?

The Treasury says eligible graduates will receive a two-year Graduate visa, instead of the planned 18 months. The change will apply only to graduates from universities that meet the government’s requirements.

The Budget does not say how officials will measure universities’ immigration records or graduates’ employment results. It also does not explain how the change will affect students already studying in Britain.

Families therefore cannot assume that every university will qualify. A university’s position in a ranking does not establish whether it meets these still-undefined requirements.

Shara Pledger, an immigration law expert at Pinsent Masons, welcomed the announcement in commentary included in the supplied material. She said retaining two years for graduates from certain universities would be welcomed by institutions and students.

For eligible graduates, the Treasury’s proposed change would provide six more months in Britain compared with the planned 18-month period. The announcement does not promise a job or approval for a later work visa.

Will getting a work visa become easier?

The Treasury says work visa salary rules will change from spring 2027. Its plans include lowering the salary requirements linked to individual occupations while updating the general salary threshold using 2026 wage figures.

These are separate requirements. Lowering the figure for a particular occupation does not necessarily mean that every applicant will qualify on a lower salary.

According to the Budget document, occupation-specific requirements will move from the median wage—the middle point in the wage range—to the 25th percentile, a lower point in that range. The government also plans annual salary updates using Office for National Statistics earnings data.

The Treasury does not give the new general salary figure in the Budget. Students will need the detailed rules before they can judge what salary they would need for a sponsored job.

Pledger said employers should not assume the changes would reduce the overall cost of sponsorship. She said businesses would still need to assess the cost of recruiting overseas workers.

What changes for recent graduates?

The Treasury plans to introduce a single salary discount for people who are studying, have recently graduated or are undertaking professional training. The Budget also sets out plans to remove the separate discount for applicants with a PhD.

These changes could affect graduates seeking an employer-sponsored work visa. But the Budget does not provide the final figures needed to calculate an individual applicant’s salary requirement.

For students choosing a course now, the Treasury’s announcement shows what the government plans to change. It does not fix the salary they will need when they graduate.

More time to find another job

The Treasury also proposes giving the highest-skilled sponsored workers up to six months to find another job after their sponsorship ends. According to the Budget, the government plans to introduce this in 2027.

The Treasury says the time allowed would depend on how long the person had worked in their previous highly paid job. The proposal would not give every overseas worker an automatic six-month stay.

This could help qualifying UAE residents who move to Britain for work, including students who later take sponsored jobs. Pledger said the extra time would better reflect how long recruitment can take.

Alternative for overseas graduates

The Treasury plans to expand the High Potential Individual visa to eligible graduates from the world’s top 150 institutions. Its Budget document says the limit on applications will rise proportionately.

This is separate from the Graduate visa changes for people who study in Britain. The expanded scheme could provide another option for UAE-based applicants whose overseas qualifications meet its rules.

The Budget does not confirm whether a particular university or applicant will qualify. Eligibility will depend on the detailed requirements for the expanded route.

Will university fees rise?

The government’s Budget tax policy paper confirms plans to legislate for a £925 annual levy per international student at higher education providers. Department for Education policy documents specify that the charge applies to England.

According to the tax policy paper, the levy will begin on August 1, 2028, with an allowance covering each provider’s first 220 international students a year. The measure was announced previously, and the October 28 document confirms its inclusion in Finance Bill 2026-27.

The government’s documents place the charge on universities and other providers. It is not a new visa fee or an automatic £925 addition to each student’s tuition bill.

The levy could affect universities’ future spending and fee decisions. But the Budget does not announce a tuition increase at any particular institution or establish how much an individual student will pay.

For UAE families comparing universities, the details still to come include which institutions qualify for two-year Graduate visas and what fees they will charge for the relevant course years. Those details will help families assess both the cost of studying and the time available to find work afterwards.

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