Mahmood refuses to detail cost of revised settlement plans

The home secretary has refrained from providing a specific figure on how much scrapping her original plan—delaying permanent settlement for foreign care workers currently in the UK—will cost the government. Initially, Shabana Mahmood proposed increasing the qualifying period from five years to ten, with some individuals potentially facing a 15-year wait. The Home Office had suggested that this measure could result in savings of up to £10 billion.

Under the updated scheme, certain foreign care workers will only have to wait five years, with others given the option to apply for a five-year visa extension, a move that Conservatives have described as a “U-turn.” Despite not outlining the exact financial implications of this adjusted approach, Mahmood told the BBC that the government would still save “billions” because other sectors’ workers will face longer waiting periods for settlement.

In March, the Home Office estimated that the net lifetime fiscal cost of care workers and their adult dependants expected to settle between 2026 and 2030 would be around £10 billion based on current rules. Mahmood’s proposal to delay settlement for this group was primarily a response to soaring net migration numbers following Brexit, a trend critics have referred to as the “Boriswave.” However, following public backlash, Mahmood announced that care workers who arrived before May 2025 and earned at least £25,000 annually would remain eligible for settlement after five years, alongside some other groups.

Care workers who do not meet the five-year settlement criteria will now be allowed to apply for a new five-year visa before seeking settlement. Holding indefinite leave to remain (ILR), or settlement, allows an individual to live, work, and study in the UK indefinitely and access benefits if eligible. It also provides a pathway to British citizenship. When asked about the costs of the revised plans, Mahmood told BBC Radio 4’s Today programme that detailed figures would be published when the proposals are presented to Parliament. She emphasized the overall changes would still save “billions” by reducing benefit claims from those not employed in care work. Responding to the decision, Conservatives claimed Mahmood’s “U-turn” would cost the government billions