Home Secretary Shabana Mahmood has launched a bombshell immigration shake-up that slashes welfare and social housing access to British citizens only. Her “Fairer Way to Settlement” plan, unveiled in Parliament on November 20, 2025, will hit around 1.6 million migrants who arrived after 2021 – with many facing a much longer wait to settle permanently in the UK.
Years-Long Waits for Settlement
Currently, migrants can apply for Indefinite Leave to Remain (ILR) after five years – opening the door to benefits like Universal Credit. Mahmood’s new rules turn ILR into an “earned privilege,” based on factors like employment, earnings, English skills, and volunteering. Benefits and social housing will only be open to full British citizens, who must wait an additional 1-3 years after ILR to apply.
“To settle forever is not a right, but a privilege,” Mahmood declared in the Commons. She called for “fair play” and better integration while promising fast-track routes (3-5 years) for high earners, doctors, and nurses.
Work and Family Migrants Face Decade-Plus Delays
- Standard work or family visa holders must wait at least 10 years for ILR.
- Those claiming benefits for under 12 months could face 15 years.
- Health and social care workers face a straight 15-year wait, no matter what.
- Low-skilled workers on benefits might wait up to 25 years before settlement.
Illegal arrivals and asylum seekers face the toughest hurdles: up to 30 years before they can settle. Refugee status will no longer be permanent but temporary, needing renewal every 30 months—and could be revoked if their home country is judged “safe.” This mirrors harsh Danish asylum policies.
Welfare Bill Sparks Clampdown
In 2025 alone, 1.3 million migrants claimed benefits—a 6.7% rise year-on-year and a 50% surge since 2022. These claims add to the colossal £313 billion welfare bill, projected to hit £373 billion by 2030. Mahmood’s reforms target these costs by ending automatic benefit access at ILR, reserving welfare for citizens only.
Other measures include:
- Banning visas from countries that refuse deportees.
- Scrapping statutory asylum housing and £47 weekly support.
- Limiting safe refugee routes.
- Introducing digital ID cards for undocumented migrants.
Opposition and Backlash
The proposals sparked fierce criticism. Labour’s left wing and rights groups slammed the plans, while Tory MPs called them “recycled” policies. Reform UK branded the changes “not nearly tough enough.” Thirty-two Labour MPs had earlier warned that the complex new rules risk “significant economic harm.”
Lara Parizotto of Migrant Democracy Project: “Unworkable. Risks return to danger.”
Enver Solomon, Refugee Council CEO: “Instead of deterring, it leaves people in intense anxiety for many, many years.”