Orbit Or Obstacle? How UK Immigration Reforms Threaten Space Sector Talent

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Dec 21, 2023
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The United Kingdom’s thriving space industry, valued at £17.5 billion and employing nearly 50,000 people, has long relied on international talent to design satellites, manage ground systems, and deliver complex missions. But with the UK Government’s July 2025 Statement of Changes to immigration rules, this global workforce pipeline faces a major shake-up.


Effective from 22 July 2025, these reforms introduce significantly higher salary thresholds, stricter skills requirements, and eliminate several exemptions that previously enabled international recruitment of mid-level roles. The new rules are poised to impact not just hiring strategies but also the long-term growth and diversity of the UK space sector.




Key Changes Impacting the Space Industry


1. Salary Threshold Increases



The baseline salary for new Skilled Worker visas is rising from £38,700 to £41,700. Similar hikes apply across related visa categories:


  • New Entrants: £30,960 → £33,400
  • Global Business Mobility (Senior or Specialist): £48,500 → £52,500

While larger space enterprises may absorb these costs, smaller aerospace spinouts, SMEs, and mission support providers may struggle to meet these elevated pay scales—especially when hiring early-career engineers or support staff.


2. Skills Threshold Raised to Degree-Level


Perhaps more disruptive than salary is the elevation of the minimum skills threshold for Skilled Worker visas from RQF Level 3 (A-level equivalent) to RQF Level 6 (bachelor’s degree). This effectively disqualifies a wide range of mid-skilled technical occupations from sponsorship unless specifically included on the Temporary Shortage List (TSL) or the Immigration Salary List (ISL).


This includes critical roles like:


  • Science, engineering, and production technicians (3119)
  • Electrical service and maintenance mechanics (5246)
  • Metal plate workers and fabricators (5212)

Though the sector already employs a high proportion of degree-qualified talent, these excluded roles are essential to satellite manufacturing, mission operations, and infrastructure upkeep.


3. Temporary Shortage List (TSL): A Partial Lifeline


The revised TSL offers sponsorship continuity for 52 mid-skilled roles—some of which are directly relevant to the space sector:


  • Electrical & electronics technicians (3112)
  • Quality assurance and process technicians (3113–3116)
  • CAD and drawing technicians (3120)
  • Telecoms engineers and electricians (5241–5245)
  • Welders and pipefitters (5213–5223)

However, TSL roles come with notable constraints:


  • They must meet the full £41,700 salary threshold
  • No dependants can be sponsored
  • Continued access depends on sector compliance and effective workforce planning

Worryingly, many pivotal roles like systems operators and lab technicians remain absent from the TSL or ISL, meaning employers will lose access to overseas talent in these fields after 22 July.




What’s Next: Reviews, Deadlines, and Strategy


The UK Government has commissioned the Migration Advisory Committee (MAC) to conduct two reviews:


  • By early 2026: A reassessment of salary thresholds and discounts
  • By mid-2026: A full evaluation of the Temporary Shortage List

To influence these reviews, space employers must begin compiling data on unfilled roles, long recruitment lead times, and business impacts. Workforce strategies that promote ethical recruitment and UK-based training will be essential to gain future policy exemptions.




Strategic Recommendations for Employers in the Space Sector


  1. Act Quickly: Submit Certificates of Sponsorship (CoS) for RQF 3–5 roles before 22 July.
  2. Review Salary Benchmarks: Ensure salaries meet or exceed new thresholds.
  3. Audit Hiring Plans: Identify roles at risk due to RQF changes or exclusion from the TSL.
  4. Develop UK Talent Pipelines: Partner with universities, Catapult centres, and apprenticeships.
  5. Prepare for MAC Engagement: Gather evidence and coordinate sector-wide submissions.
  6. Advocate Collaboratively: Engage with sector bodies to press for expanded TSL access.
  7. Retain and Upskill: Invest in internal career progression and training to minimise attrition.



Looking Ahead


The timing of these reforms is especially significant. The House of Lords Industry and Regulators Committee is currently conducting a Space Enquiry, expected to report in November 2025. Among other priorities, the enquiry is examining workforce sustainability and global competitiveness—areas that intersect directly with these immigration changes.


As noted by the Committee Chair, Baroness Catherine Ashton, international talent is vital to the UK’s ambition in space. But policy must align with practical realities. Without a clear route to recruit mid-skilled technicians or support early-career professionals, the UK risks stalling its own orbital ascent.


Now is the moment for strategic advocacy, sector-wide collaboration, and future-focused planning. If the space sector rises to meet this challenge, it can help shape a balanced policy environment that supports both domestic training and the global expertise needed to keep the UK competitive in the final frontier.




Pros and Cons Summary


Pros:



  • Promotes higher salaries and potentially improved working conditions
  • Encourages UK-based talent development and ethical hiring practices
  • TSL includes some key technical roles relevant to space operations
  • MAC review offers future opportunity to revise or rebalance policies

Cons:


  • Immediate exclusion of many essential mid-skilled roles
  • Increased salary thresholds burden smaller firms and startups
  • No dependants allowed for TSL-sponsored workers
  • Short timeline for compliance before 22 July implementation
  • Risk of skills gap worsening before domestic training pipelines can catch up



Conclusion:
The UK's space sector must act decisively and collectively to mitigate the impact of these reforms. The window for adaptation is short—but with coordinated action and data-backed advocacy, it may yet influence a more balanced trajectory for the industry’s workforce strategy.