Mahmood refuses to put cost on care worker settlement climbdown

UK Home Secretary Shabana Mahmood has declined to specify the exact financial cost of scrapping her controversial plan to make foreign care workers already in the UK wait longer for permanent settlement, following a significant backlash from some Labour MPs.

Mahmood had originally proposed doubling the waiting period from five years to 10 years for most migrants, with some facing up to 15 years, a move the Home Office previously suggested could save £10bn. However, under revised plans labeled a U-turn by the Conservatives, some foreign care workers will maintain the five-year qualifying period, while others can seek a five-year extension.

While omitting specific cost estimates for the updated measures, Mahmood told the BBC that the changes would still generate billions in savings because workers in other employment sectors would face extended waiting periods. In March, the Home Office estimated that the net lifetime cost of care workers and adult dependents settling between 2026 and 2030 would reach £10bn under existing regulations.

"The reason for that is the cohort that was most likely to fall upon the state is that cohort of care workers not doing care work at the moment - if they'd settled at five years, many more of those would have gone on to claim benefits."

Shabana Mahmood

Stock photo for illustration only, not from the actual event

Following the revisions announced on Monday, foreign care workers who arrived in the UK prior to May 2025 and earn at least £25,000 annually will continue qualifying after five years. Those who do not meet these criteria will be permitted to apply for a new five-year visa before seeking settlement, reducing the number of individuals facing delayed permanent residency to just over 500,000 from nearly 800,000.