According to the UK Government's announcement, the Immigration Health Surcharge (IHS) increase will commence in January 2024. The increase, according to the government, will be used to fund public sector pay increases.

The increase in the Immigration Health Surcharge is part of the government's review of fees across the immigration and nationality systems. The IHS change will have a significant impact on the majority of applicants because the standard IHS fee will increase by an astounding 66%.

The amendment is expected to take effect on 16 January 2024, or maybe later depending on the timing of the Parliament Order being laid.

What is the IHS?

IHS, or the Immigration Health Surcharge, was initially implemented on April 6, 2015, to ensure that migrants contribute to the cost of NHS-provided healthcare.

The IHS is usually payable in addition to the application fee and is required for most visa applicants. An annual fee is charged for each permission request. Migrants are granted access to the National Health Service in the United Kingdom for the duration of their visa upon payment of the IHS. No limit exists on the extent of one's access to the NHS. Furthermore, the Immigration Health Surcharge remains mandatory, irrespective of whether a migrant plans to use the NHS or prefers to pay for private healthcare.

The healthcare surcharge for the applicant and any dependents must be paid before the application for a visa or immigration may be submitted.

If an applicant is applying for a UK visa outside of the UK with the purpose of working, studying, or visiting family for a period longer than six months, they must pay the Immigration Health Surcharge. Otherwise, their application will be refused.

If an individual is applying for immigration from within the United Kingdom for any length of time, they must pay the Immigration Health Surcharge.

They may be required to pay an additional fee if they are applying for a visa extension. They will not pay the fee if they apply for and are granted indefinite leave to remain.

If an applicant fails to pay the surcharge or provides insufficient payment with their visa or immigration application, UK Visas and Immigration will be in contact with them.

If they fail to make the entire payment within 10 working days, if they are in the UK, or within 7 working days, if they are outside the UK, their visa or immigration application will be refused.

IHS increase per year of permission

For students, their dependents, individuals requesting entrance clearance or leave to remain under the Youth Mobility Scheme, and applications from children under the age of 18, the Immigration Health Surcharge is rising from £470 to £776 annually.

The Immigration Health Surcharge for all other applicable immigration categories for entry clearance or leave to remain for individuals who are 18 years of age or older on the application date is going to increase from £624 to £1,035 per year. As a result, the Immigration Health Surcharge will rise by 66% as of January 16, 2024.

Who can be exempted from paying the Immigration Health Surcharge?

Certain applicants may qualify for an exemption from the Immigration Health Surcharge. Visitors to the United Kingdom, applicants under the EU Settlement Scheme, and those who have applied under the Health and Care provisions qualify for an IHS exemption. The Home Office has confirmed that National Health Service employees and their dependents will continue to receive an exemption from the IHS. Furthermore, individuals seeking immigration permission for a period not exceeding six months from outside the United Kingdom are not required to pay the IHS. Additionally, there is no requirement to pay the IHS for those applying for indefinite leave to remain or for British Citizenship.

Applicants still need to use the service to get an immigration health surcharge reference number but they will not need to pay if they:

• are a child under 18 who has been taken into care by a local authority; or
• they are a relevant civilian employee at NATO or the Australian Department of Defence in the UK (or you’re their dependant)
• applying for the Health & Care Worker visa
• applying as a dependant of a Health & Care Worker
• applying for a visitor visa – instead, you’ll have to pay for any healthcare you get through the NHS at the point you use it
• applying for indefinite leave to remain
• a diplomat or a member of a visiting armed forces and not subject to immigration control
• a dependant of a member of the UK’s armed forces
• the dependant of a member of another country’s armed forces who is exempt from immigration control
• an EU citizen or their family member exercising European Union treaty rights or making applications under the EEA Regulations or EU settlement scheme
• a British Overseas Territory citizen resident in the Falkland Islands
• an asylum seeker or applying for humanitarian protection (or you’re their dependant)
• a domestic worker who has been identified as a victim of slavery or human trafficking
• applying for discretionary leave to remain in the UK as someone who has been identified as a victim of slavery or human trafficking (or you’re their dependant)
• the Home Office’s domestic violence concession applies to you (or you are their dependant)
• being made to leave the UK would be against your rights under Article 3 of the European Convention of Human Rights (or you’re their dependant)

If an applicant qualifies for one of these exemptions, the IHS online system will identify their status, notify them that they are not required to pay the application fee and provide them with the healthcare surcharge reference number they require.

If they are exempt from paying, they can use the NHS; but if they are on a visitor's visa, they will be required to pay for any care they get through the NHS at the point they use it.

Can visa applications be submitted earlier to avoid or reduce the impact of this increase?

To avoid paying the increased fees, applicants are advised, where possible, to finalize and submit their applications before the new fees take effect in January. In some cases, you may be able to submit your application earlier than you think, therefore paying the current IHS fees.

It is possible to submit an in-country application earlier than the current expiry date, and, in some cases, there may be a significant cost-saving in doing so. However, it is important that timings be carefully considered. Filing an application too early may lead to a further extension application, and critically, a further set of application fees is needed before ILR can be obtained.

It is important that you seek legal advice to avoid any potential adverse effect on your immigration status or history. For expert advice and assistance in relation to a visa or immigration application, contact us on 0203 865 6219 or leave a message.