Business Expansion Visa - A secret weapon in the context of economic globalisation
Economic globalisation is an inevitable trend. In the post-pandemic era, the global economy is gradually recovering, and cross-border development has become a pursuit for many companies looking to expand their business footprint.
As one of the world's most important financial centres, London naturally becomes the first choice for many overseas enterprises looking to enter the international market.
To align with this trend, the UK Home Office has introduced the Global Business Mobility (GBM) route, which consists of five types of visas:
- Expansion Worker Visa
- Senior or Specialist Worker Visa
- Graduate Trainee Visa
- Service Supplier Visa
- Secondment Visa
What is the Expansion Worker Visa?
The Expansion Worker Visa allows overseas companies to send one or more senior managers or specialist employees to the UK to establish a branch that has not started trading in UK yet.
Comparing it to the previous Representative of an Overseas Business Visa:
Advantages:
- A company is no longer limited to sending just one representative; multiple employees can now be sent to establish a branch and conduct business in the UK.
Disadvantages:
- This visa is valid for a maximum of 2 years, with each issuance lasting 1 year.
- The time spent on this visa cannot be accumulated towards the 5-year residency required for settlement.
Please note:
Priority service is not available for the application for the Expansion Worker sponsorship license therefore, the decision could take up to six months. Therefore, it is advisable to consult with an immigration specialist in advance to secure the sponsorship license as quickly as possible.
Eligibility Requirements:
The Expansion worker must have worked for the employer outside the UK for at least 12 months, evidenced by 12 months of pay slips. If the applicant's annual salary exceeds £73,900, the work duration requirement is waived, and fewer pay slips can be provided.
The applicant must meet the minimum annual salary requirement of £48,500 or the current salary requirement for the role as listed in the occupational list, whichever is higher.
The applicant must be engaged in an eligible occupation, such as Chief executive, engineering manager, finance manager, sales director, marketing manager, etc. (For a specific list of eligible occupations and codes, refer to the link: Global Business Mobility Eligible Occupations and Codes).
Documentation requirements for Expansion Worker Visa:
Basic information and documentation include:
- Certificate of Sponsorship (CoS): including reference number, employer name, and employer's sponsorship licence number
- Passport and national identity card
- Proof of the applicant's job position and salary, such as employment contract, confirmation letter of employment, payslips
- UK occupation code
- Maintenance funds proof: a bank statement showing at least £1,270 in savings for 28 consecutive days
- Tuberculosis test report: required for some countries (detailed list available at TB Test for UK Visa) https://www.gov.uk/tb-test-visa/countries-where-you-need-a-tb-test-to-enter-the-uk）
Please note:
- If the applicant has been living in the UK for 12 months, maintenance funds proof is not required.
- The visa application must be submitted within 3 months of receiving the CoS.
- All documentation must be in English or translated by a certified translation agency.
- The immigration office may request additional documents, depending on the applicant's background.
The initial Expansion Worker Visa allows the applicant to stay in the UK for up to 12 months. Upon expiration, it can be extended once, however, each applicant is limited to one extension. This means the maximum stay on this visa is 2 years.
After the Expansion Worker Visa expires, it is possible for the applicant to switch to other long-term visas or other visas under the Global Business Mobility route, such as the Senior or Specialist Worker Visa or the Skilled Worker Visa upon meeting the requirements.
Please note:
If you have held an ICT visa and visas under the Global Business Mobility route, the total time on these visas cannot exceed 5 years within any 6-year period.
The application fee for the initial and extension is £298. The processing time for application outside the UK is 3 weeks, and for applications within the UK, it is 8 weeks. Please refer to the government website for the most up to date information.
Applicants can also apply for dependent visas for their partner and children.
Summary
Advantages:
- Allows overseas companies to send multiple employees simultaneously.
- No language requirement.
- Lower financial maintenance requirements.
- Low visa application fee.
Disadvantages:
- Does not lead to settlement in the UK
- Short visa duration
- High annual salary requirement
- High requirements for the parent company
For Companies: The Expansion Worker Visa allows the parent company to send multiple senior employees to the UK to establish a branch, making the business expansion process more efficient compared to the Representative of an Overseas Business Visa, which only allowed one representative. This is ideal for overseas companies looking to expand their business in the UK. It is also a type of guarantee when using a mature parent company to address multiple employees' work and living needs in the UK simultaneously.
For Applicants: The preparation period and costs for applying for this visa are extensive, requiring a strong background from the parent company to meet the sponsorship requirements. To stay in the UK and obtain permanent residency, applicants need to switch to different visa types, increasing the time cost for applying for permanent residency.
This article is provided for general information only. It is not intended to be and cannot be relied upon as legal advice or otherwise. If you would like to discuss any of the matters covered in this article, please contact us using the contact form or email us on reception@cnsolicitors.com[/vc_column_text][/vc_column][/vc_row]
