Admitting third country nationals for business purposes National Contribution from the United Kingdom Home Office Science December 2014 Disclaimer: The following responses have been provided primarily for the purpose of completing a Synthesis Report for the above-titled European Migration Network (EMN) Focused Study. The contributing EMN National Contact Points have provided information that is, to the best of their knowledge, up-to-date, objective and reliable within the context and confines of this study. The information may thus not provide a complete description and may not represent the entirety of the official policy of an EMN National Contact Point s Member State.
Contents Top-line factsheet 3 1. National frameworks for admitting third country nationals for business purposes 6 1.1 Immigrant investors: Overview of national policies 6 1.2 Immigrant investors national policies: Pre-arrival stage (admission criteria) and stay (renewal) 9 1.3: Immigrant business owners: Overview of national policies 11 1.4: Immigrant business owners national policies: Pre-arrival stage (admission criteria) and stay (renewal) 14 1.5: Other business persons: Overview of national policies 19 1.6: Other business persons national policies: Pre-arrival stage (admission criteria) and stay (renewal) 22 2. Measures to prevent misuse / abuse of immigration channels for business purposes 26 3. Evaluation of policies to admit third country nationals for business purposes, challenges and barriers 31 3.1 Immigrant investors 31 3.2 Business owners 33 3.3 Other business people 34 3.4 Challenges and obstacles to admitting third country nationals for business purposes 35 4. Good practices and lessons learned 37 Annex A 38 Annex B 45 2 Admitting third country nationals for business purposes
Top-line factsheet This study gives an overview of the UK policies in relation to admission and stay of third country nationals coming to the UK for the purpose of business. Investors The UK makes specific provision for the admission of immigrant investors through the Tier 1 (Investor) category of entry and stay, which is defined in the UK s Immigration Rules as being for high net worth individuals making a substantial investment in the UK. An applicant seeking initial entry or stay as a Tier 1 (Investor) must have funds that are under their own control and held in a regulated financial institution amounting to no less than 2 million. Successful visa applicants can stay in the UK for a maximum of three years. They can apply for a two-year extension if they are already in this category. There has been a steady increase in the number of applications and admissions in the Tier 1 (Investor) category. The number of applications has risen from 173 in 2009 to 604 in 2013 and the number of admissions from 110 in 2009 to 315 in 2013. Business owners The Tier 1 (Entrepreneur) category of entry and stay is defined in the UK s Immigration Rules as being for migrants who wish to establish, join or take over one or more businesses in the UK. There are different eligibility rules depending on whether an applicant has access to 50,000 or 200,000. Where an applicant was previously granted permission to stay under the Tier 1 (Post-study work) category they can apply if they have access to 50,000. Individuals can also apply with access to 50,000 when funding is being made available by a UK government department, a recognised UK seed funding competition, or a UK-regulated venture capital business. In these cases the investment fund cannot include an individual s own money or any money from third parties. Individuals with access to 200,000 of their own or third party funding can also apply. The Tier 1 (Graduate entrepreneur) category of entry and stay is defined in the UK s Immigration Rules as being for: 3 Admitting third country nationals for business purposes
UK graduates who have been identified by higher education institutions as having developed genuine and credible business ideas and entrepreneurial skills to extend their stay in the UK after graduation to establish one or more businesses in the UK; and graduates who have been identified by UK Trade and Investment as elite global graduate entrepreneurs to establish one or more businesses in the UK. There are no minimal capital requirements for applicants under the Tier 1 (Graduate entrepreneur) category. Those granted a Tier 1 (Entrepreneur) visa may stay in the UK for three years and four months. They can apply for a two-year extension if they are already in this category. There has been a large increase in the number of entrepreneur applications and admissions. There were 179 entrepreneur applications in 2009 compared with 2,454 in 2013. The number of admissions has risen from 125 in 2009 to 805 in 2013. Conditions for investors and entrepreneurs Applicants must be over the age of 16. There are no English language requirements for investors but entrepreneurs must meet the English language requirement. It is possible for individuals who have been granted Tier 1 investor or entrepreneur visas to bring their dependants, as long the main applicant can financially support the dependant while they are in the UK. As with any non-european Economic Area (EEA) migrants admitted in accordance with the Immigration Rules it is a condition of stay that Tier 1 investors and entrepreneurs and their family members do not have recourse to public funds. Other business persons In the UK the pre-defined six Mode 4 categories on temporary business persons covered by the EU free-trade agreements do exist but under broader categories. Business visitors for the establishment of business purposes and business sellers fall under the heading of prospective entrepreneur visitors and business visitors respectively. The UK s Immigration Rules provide for the admission of intra-corporate transferees and graduate trainees though the Tier 2 (Intra-company transfer) category under the points-based system. The UK s arrangements for the admission of independent professionals and contractual service suppliers are implemented through the Tier 5 (International agreement) sub-category of the UK s points-based system. Misuse of immigration channels for business purposes The UK s immigration services have not encountered significant levels of abuse of the Tier 1 (Investor) category. The UK s immigration services have, however, encountered significant levels of abuse of the Tier 1 (Entrepreneur) category. This is not sector specific, although retail, restaurant and information technology are common sectors. It is typically connected with those who have been admitted to the UK for the purpose of study and who seek to use the route as a means of extending their stay. At the admissions stage checks are made on a Tier 1 investor or entrepreneur applicant s immigration history, criminal record and if they genuinely have access to funds. 4 Admitting third country nationals for business purposes
Where a person admitted to the UK as a Tier 1 investor or entrepreneur was found to have breached the conditions of their leave to remain, the usual consequence would be curtailment of their permission to remain leaving them liable to removal. An individual who fails to comply with a condition attached to their leave to remain, or who is found to have obtained entry by deception, would also be liable to a re-entry ban and/or prosecution for an offence under the Immigration Act 1971. 5 Admitting third country nationals for business purposes
1. Section 1: National frameworks for admitting third country nationals for business purposes Section 1.1: Immigrant investors: Overview of national policies (Maximum 1 page) This section asks for information on the national institutional framework and the main policy objectives in relation to immigrant investors from third countries. It will provide a mapping of the national stakeholders involved in the design and implementation of the policies to attract such investors, and the incentives that apply. European Migration Network (EMN) National Contact Points (NCPs) are asked to answer the following questions, at times guided by a non-exhaustive list of prompts. Q1. How does the national legislation of your Member State define immigrant investors? The UK makes specific provision for the admission of immigrant investors through the Tier 1 (Investor) category of entry and stay, which is defined in the UK s Immigration Rules as being for high net worth individuals making a substantial investment in the UK. They must be from outside the European Economic Area (EEA) and Switzerland. Q2a. Does your Member State have a specific policy, programme or scheme for immigrant investors? Yes. Q2b. If yes, please provide more information about the specific policy, programme or scheme, including a) the name of the policy / programme / scheme; b) its main policy objectives (neutral, pro-active); whether it targets c) specific investment types, e.g. real estate, transfer of capital, national funds / bonds, business investments, endowment to public projects, mixed investments, joint ventures, etc. or d) economic sectors / geographical areas / strategic partners; and whether e) a quota / limitation system is in place to govern the number of entries or permits that can be issued to migrant investors? a) Name of policy / programme and legal basis The Tier 1 (Investor) category. This is a category of entry and stay under the UK s pointsbased system. The requirements to be met by applicants are set out in the Immigration 6 Admitting third country nationals for business purposes
Rules, which are made pursuant to the Immigration Act 1971 and which can be found at: http://www.legislation.gov.uk/ukpga/1971/77/contents b) Main policy objectives To provide for the entry and stay of high net worth individuals making a substantial investment in the UK c) Type of investment (e.g. real estate, transfer of capital, national funds / bonds, business investments, endowment to public projects, mixed investments, joint ventures, etc.) Those admitted under this category of stay are required to demonstrate that they have invested the required level of funds in UK Government bonds or in share or loan capital in active and trading companies that are registered in the UK. Most types of investments are allowed, with some exceptions: individuals with a Tier 1 (Investor) visa cannot invest in companies mainly engaged in property investment, property management or property development. Investment must be in either unit trusts or private companies (not bank accounts or offshore companies). d) Priority national economic sectors / priority national geographical areas / countries of origin targeted / strategic partners required. The UK s requirements for immigrant investors make no specification as to priority sectors or regions, nor are specific countries of origin targeted. e) Quotas in place There is no upper limit on the number of immigrant investors that can be admitted under this route. Q3a. What is/are the main actor(s) and institution(s) involved in the development of policies to attract immigrant investors? If multiple authorities are involved, how are they coordinated? Is there an official mandate e.g. an Action Plan governing the involvement of these authorities? The Home Office has primary responsibility for the development of policies to attract immigrant investors. UK Visas and Immigration, a Directorate of the Home Office, administers the Tier 1 (Investor) category of entry and stay. Other government departments involved in the development of policies to attract immigrant investors include the Department of Business, Innovation and Skills and Her Majesty s Treasury. Q3b. Which actor / institution is responsible for the promotion of the policy with the target group? The Home Office. Q4a. Does your Member State have specific measures in place to attract immigrant investors? Yes. 7 Admitting third country nationals for business purposes
Q4b. If yes, please complete the table below with regard to the (applicable) policy measures in place to attract immigrant investors in your Member State. Measures Brief description of the measure in the Member State What do these specific measures entail? (Active promotion / information dissemination / campaigns / events including in third countries, etc.) Does a list of specific procedural facilitations for admission exist? If yes, please explain what they entail (reduced costs, shortened processing time, reduced documentary requirements, minimum residence period required [per year], possibility of renewal, etc.) Are there specific tax incentives? (Benefits, exemptions, etc.) Does the possibility exist for immigrant investors to be accompanied by family members? Are family members allowed to access the labour market? Are immigrant investors granted access to social benefits? Are immigrant investors granted access to citizenship? The UK makes specific provision for the admission on immigrant investors through the Tier 1 (Investor) route. Yes. Immigrant investors will be granted permission to stay for an initial period of 3 years and may be granted a further extension of stay if they invest the minimum required level of investment ( 2 million) in the UK. They may qualify for permanent residence after this 5-year period. There are two additional procedural facilitations: (i) the granting of permanent residence is conditional on the investor not having been absent from the UK for more than 180 days in any 12 months for each year of their stay, as opposed to the 90-day maximum permitted absence applied to other categories of stay; and (ii) investors may qualify for permanent residence on an accelerated basis if their level of investment is higher (i.e. after 3 years if they invest 5 million and after 2 years if they invest 10 million). No. Yes, by partners and children under the age of 18. Yes. No. As with any non-eea national admitted in accordance with the Immigration Rules, it is a condition of stay that a Tier 1 (Investor) migrant and their family members will not have recourse to public funds within the meaning of the Immigration Rules. Yes, but they are subject to the same qualifying requirements as any other applicant for British citizenship. Other (please state) Q5a Does your Member State have any bilateral or other agreements in place with third countries to attract immigrant investors? No. Q5b. Does your Member State share information with other Member States? Does your Member State consult other Member States on the issuing of the documents listed in Q4.b to immigrant investors? No. The UK Government primarily consult with stakeholders in the UK. Section 1.2: Immigrant investors national policies: Pre-arrival stage (admission criteria) and stay (renewal) Section 1.2 aims at providing an overview of the admission criteria applied by Member States in order to admit immigrant investors from third countries to the national territory. The section also examines whether Member States require investors to submit an 8 Admitting third country nationals for business purposes
investment plan and the specific procedures in place with regard to this. Finally, this section also touches on criteria linked to the renewal / withdrawal of their residence permit / longstay visa. Q6a. Please indicate which of the list act as criteria to admit immigrant investors in your Member State in the table below. All listed requirements imply a Yes/No answer: in affirmative cases, EMN NCPs are asked to describe the criteria. If possible, EMN NCPs should also explain whether the same criteria apply to third country nationals admitted to the national territory under a different immigration channel (family reunification, study, etc.) but willing to change their status into immigrant investors. Admission criteria Explanation Do the same criteria apply to third country nationals present in your Member State who have another status and are willing to change it into investor? Minimum financial amount to invest (please indicate the financial amounts applied to each of the investment types identified above in Question 2b point c) Investment plan If yes, please complete the table in Q6b Expected impact of proposed investment in the Member State (economy, public life, etc.) Minimum education / professional skills An applicant seeking initial entry or stay through the Tier 1 (Investor) route must have funds that are under their own control and held in a UK-regulated financial institution amounting to no less than 2 million. No investment plan is required. No such requirement is applied. None. Yes. There are, however, some restrictions on which categories can switch to investor status. For example, a person admitted to the UK as a visitor cannot change their status in this way. N/A N/A N/A Language knowledge (certification, pre-entry tests, mandatory courses, etc.) Age requirement for applicants (minimum / maximum) Security / health / background checks in place (origin of investment, fraud checks, previous bogus activities, etc.) Other (please state) None. Must be at least 16 years of age and in full control of the investment funds. Applicants must provide evidence of the source of the funds and / or evidence that they have held the funds themselves for at least 90 days. Checks on conduct and criminality are carried out in the same way as for applicants in other immigration categories. Applicants must invest their funds via a UKregulated financial institution within 3 months of entering the UK. These institutions carry out their own background checks on the investor. Those who fail to invest within this timeframe may have their stay in the UK curtailed. N/A Must be at least 16 years of age and in full control of the investment funds. Applicants must provide evidence of the source of the funds and / or evidence that they have held the funds themselves for at least 90 days. Checks on conduct and criminality are carried out in the same way as for applicants in other immigration categories. 9 Admitting third country nationals for business purposes
Q6b. In case an investment plan is required, EMN NCPs are asked to complete the table below. All listed requirements imply a Yes/No answer; in affirmative cases, EMN NCPs are asked to describe the requirements with additional information. Investment plan requirements Explanation Information required on legal aspects of the investment Information required on the commercial and financial aspects (nature of the investment, origin of the capital to invest, target groups, preliminary contracts, performance indicators, etc.) National institution responsible for the assessment/ approval Duration of examination / due diligence phase Documentation required (if a list exists, please report it here) Review period N/A N/A N/A N/A N/A N/A Other Q7. If the criteria for admission are satisfied what initial document is issued? Please provide any detail on: - type of document issued (e.g. short-stay visa, authorisation to stay, long-stay visa, residence permit, etc.) - its duration - whether it is longer than the usual duration that applies to other categories of third country nationals - whether its validity differs (and how) from its renewal. The applicant is issued with a long-stay visa for three years. Under current arrangements, on admission to the UK this document will also amount to a residence permit. It can be extended for a further two years. These durations are the same as for most other economic routes of entry for third country nationals. Q8. Where and by which institution / organisation (internal or abroad) are the documents issued? (For example, diplomatic mission in the third country; other responsible representative; intermediary agency, etc.) The document is issued by UK Visas and Immigration entry clearance officers located at British diplomatic missions overseas. 10 Admitting third country nationals for business purposes
Q9. EMN NCPs are asked to provide information on the criteria to be met in case of extension of the document issued for the stay of immigrant investors. Please provide details of the type of document issued and its duration. Renewal criteria Explanation What are the requirements related to the purpose of stay (investment) that need to be met in order to prolong / extend the initial authorisation of stay / long-stay visa / residence permit? A person applying for an extension of stay in the Tier 1 (Investor) category must demonstrate that they have invested 2 million in the UK, in permitted forms of investment, and the remainder may be in other forms of investment. An applicant using their own money to invest, must should be able to show: how much money they have and where it is being held; where the money came from if they have not had the money for at least 3 months (e.g. they inherited it from a relative); that the money can be transferred to the UK and converted to sterling (if it is not already in the UK). An applicant using their partner s money must provide: a certificate of marriage or civil partnership, or in the case of unmarried or same-sex relationships, proof that they are in a long-term (at least 2 years) relationship; a statement from their partner confirming that they will allow them to control the funds in the UK; a letter from a legal adviser stating that the declaration is valid. The investment must have been made within 3 months of the applicant s arrival. The applicant must also demonstrate that they have maintained the value of the investment, i.e. if they sell part of their investment portfolio such that it falls below 2 million, they will be expected to purchase new qualifying investments to rectify the shortfall. Section 1.3: Immigrant business owners: Overview of national policies This section asks for information on the national institutional framework and the main policy objectives in relation to immigrant business owners from third countries. It will provide a mapping of the national stakeholders involved in the design and implementation of the policies to attract business owners, and the incentives that apply. Q9. How does the national legislation of your Member State define immigrant business owners? The UK makes specific provision for the admission of immigrant business owners through: the Tier 1 (Entrepreneur) category of entry and stay, which is defined in the UK s Immigration Rules as being for migrants who wish to establish, join or take over one or more businesses in the UK. the Tier 1 (Graduate entrepreneur) category of entry and stay, which is defined in the 11 Admitting third country nationals for business purposes
UK s Immigration Rules as being for: (i) UK graduates who have been identified by higher education institutions as having developed genuine and credible business ideas and entrepreneurial skills to extend their stay in the UK after graduation to establish one or more businesses in the UK; and (ii) graduates who have been identified by UK Trade and Investment as elite global graduate entrepreneurs to establish one or more businesses in the UK. Q10a. Does your Member State have a specific policy, programme or scheme for immigrant business owners? Yes. Q10b. If yes, please provide more information about the specific policy, programme or scheme, including a) the name of the policy / programme / scheme: b) its main policy objectives (neutral, pro-active); whether it targets c) specific type of businesses; and / or d) economic sectors / geographical areas / strategic partners; and whether e) a quota / limitation system is in place to govern the number of entries or permits that can be issued to immigrant business owners? a) Name of policy / programme As in answer to Q9. b) Main policy objectives As in answer to Q9. c) Type of business (e.g. any specific sector, knowledge-based sector, start-up / spinoff, etc.) The UK requirements in respect of immigrant business owners make no specification in terms of sectors. There are lower financial thresholds for applicants who have received funding from specific regulated sources, and these provisions are intended to support the establishment of start-ups. d) Priority national economic sectors / priority national geographical areas / countries of origin targeted / strategic partners required The UK s requirements for immigrant investors make no specification as to priority sectors or regions, nor are specific countries of origin targeted. e) Quotas in place The Tier 1 (Graduate entrepreneur) category is subject to an upper limit on numbers (currently 2,000 places per year). There is no upper limit applied to the Tier 1 (Entrepreneur) category. Q11a. What is / are the main actor(s) and institution(s) involved in the development of policies to attract immigrant business owners? If multiple authorities are involved, how 12 Admitting third country nationals for business purposes
are they coordinated? Is there an official mandate e.g. an Action Plan governing the involvement of these authorities? The Home Office has primary responsibility for the development of policies to attract immigrant business owners. UK Visas and Immigration, a Directorate of the Home Office, administers the relevant categories of entry and stay. Other government departments involved in the development of policies to attract immigrant business owners include the Department of Business, Innovation and Skills and Her Majesty s Treasury. Q11b. Which actor / institution is responsible for the promotion of the policy with the target group? The Home Office. Q12a. Does your Member State have specific measures to attract immigrant business owners? Yes. Q12b. If yes, please complete the table below (next page) with regard to the policy measures in place to attract immigrant business owners in your Member State. Measures Brief description of the measure in the Member State What do these specific measures entail? (active promotion / information dissemination / campaigns / events including in third countries, etc.) Does a list of specific procedural facilitations for admission exist? If yes, please explain what they entail (reduced costs, shortened processing time, reduced documentary requirements, minimum residence period required [per year], possibility of renewal, etc.) Do specific support measures exist? (financial / logistic, business support to applicants to establish a business plan, recognition of qualifications, etc.) Are there specific tax incentives? (Benefits, exemptions, etc.) UK Trade and Investment (an Executive Agency of the Department for Business, Innovation and Skills) operates a Global Entrepreneur Programme aimed at helping overseas entrepreneurs and early stage technology businesses or start-ups that want to relocate their business to the UK. It also operates the Sirius Programme (see: http://www.siriusprogramme.com/) aimed at attracting graduate entrepreneurs to the UK and awarding places under the Tier 1 (Graduate entrepreneur) category. Yes. Immigrant business owners admitted under the Tier 1 (Entrepreneur) category will be granted permission to stay for an initial period of 3 years and may be granted a further extension of stay for 2 years if their business meets the relevant extension criteria, which are to have registered the business, invested funds, and created the equivalent of at least 2 full-time jobs for resident workers in the UK. They may qualify for permanent residence after this 5-year period. A Tier 1 (Entrepreneur) applicant may qualify for permanent residence on an accelerated basis if their level of investment is higher (i.e. after 3 years if they have created 10 full-time jobs or their business has generated a total turnover of 5 million over a 3-year period). A proportion (i.e. 100) of the places available under the Tier 1 (Graduate entrepreneur) category is reserved for non-eea nationals who are accepted onto the Sirius Programme administered by UK Trade and Investment. The Sirius programme provides talented graduate entrepreneurs with an opportunity to win a place at a leading UK accelerator, obtain mentoring, financial support, help with scaling their business, receiving investments and gaining clients, and the possibility of a visa endorsement. Further details of the support provided under this programme are set out at the link above. There are no tax incentives specifically linked to admission under these categories of entry and stay. 13 Admitting third country nationals for business purposes
Are immigrant business owners granted access to social benefits? Are immigrant business owners granted access to citizenship? Does the possibility exist for immigrant business owners to be accompanied by family members? Are family members allowed to access the labour market? No. As with any non-eea national admitted in accordance with the Immigration Rules, it is a condition of stay that a Tier 1 (Entrepreneur) migrant and their family members will not have recourse to public funds within the meaning of the Immigration Rules. Yes, but they are subject to the same qualifying requirements as any other applicant for British citizenship. Yes, by partners and children under the age of 18. Yes. Other (please state) Q13a Does your Member State have any bilateral or other agreements in place with third countries to attract immigrant business owners? No. Q13b. Does your Member State share information and coordinate its policies with other Member States? Does your Member State consult other Member States on the issuing of the documents listed in Q15 to immigrant business owners? No. Section 1.4: Immigrant business owners national policies: Prearrival stage (admission criteria) and stay (renewal) Section 1.4 aims at providing an overview of the admission criteria applied by Member States in order to admit immigrant business owners from third countries to the national territory. The section also examines whether Member States require business owners to submit a business plan and the specific procedures in place with regard to this. Finally, this section also touches on criteria linked to the renewal / withdrawal of their residence permit / long-stay visa. Q14a. Please indicate the criteria to admit immigrant business owners in your Member State in the table below. All listed requirements imply a Yes/No answer; in affirmative cases, EMN NCPs are asked to describe the criteria. If possible, EMN NCPs should also explain whether the same criteria apply to third country nationals admitted to the national territory under a different immigration channel (family reunification, study, etc.) but willing to change their status into immigrant investors. If possible, EMN NCPs should also explain whether the same criteria apply to third country nationals admitted to the national territory under a different immigration channel (family reunification, study, etc.) but willing to change their status into immigrant investors. Admission criteria Explanation Do the same criteria apply to third country nationals present in your Member State who have another status and are willing to change it into business owners? Evidence of entrepreneurial skills (experience in running businesses, turnover of activities in the country No. The reduced funding threshold where funding is from specified sources (see below) applies on the basis that the organisation Yes, but there are restrictions on the ability of those admitted on some other basis to switch into 14 Admitting third country nationals for business purposes
of origin, etc.) providing the funding will have carried out its own assessment of the applicant s entrepreneurial skills. the Tier 1 (Entrepreneur) category. For example, those admitted to the UK as a student will only be permitted to switch into the Tier 1 (Entrepreneur) category if they are in receipt of funding from a recognised seed funding competition or a UK government department. Those admitted to the UK as a visitor cannot switch into the Tier 1 (Graduate entrepreneur) or Tier 1 (Entrepreneur) categories, unless they were admitted specifically under the prospective entrepreneur visit category. Minimum level of educational achievement / professional skills (please specify) Those applying for leave to enter or stay under the Tier 1 (Graduate entrepreneur) category must have a degree qualification, and their application must be endorsed by a UK higher education institution or by UK Trade and Investment. There are no minimum educational requirements for those applying under the Tier 1 (Entrepreneur) category, but the applicant s educational and professional history may be taken into account in assessing the genuineness of their intention to establish a business. Those applying for leave to enter or stay under the Tier 1 (Graduate entrepreneur) category must have a degree qualification, and their application must be endorsed by a UK higher education institution or by UK Trade and Investment. There are no minimum educational requirements for those applying under the Tier 1 (Entrepreneur) category, but the applicant s educational and professional history may be taken into account in assessing the genuineness of their intention to establish a business. Evidence of capital (minimum sum required) There are no minimum capital requirements for applicants under the Tier 1 (Graduate entrepreneur) category. Those applying under the Tier 1 (Entrepreneur) category must have access to: (i) 200,000; or (ii) 50,000 where this is being made available by a UK government department; a recognised UK seed funding competition; or by a UK-regulated venture capital business; or where the applicant was previously granted permission to stay under the Tier 1 (Post-study work) category of stay. There are no minimum capital requirements for applicants under the Tier 1 (Graduate entrepreneur) category. Those applying under the Tier 1 (Entrepreneur) category must have access to: (i) 200,000; or (ii) 50,000 where this is being made available by a UK government department; a recognised UK seed funding competition; or by a UK-regulated venture capital business; or where the applicant was previously granted permission to stay under the Tier 1 (Post-study work) category of stay. Contribution to the economy / employment of the Member State (national interest, jobs created, contribution to specific sector, innovativeness of activity, introduction of new technologies, etc.) No economic need test is applied to initial applications under these categories of stay but those admitted under the Tier 1 (Entrepreneur) category will be expected to show that they have created at least 2 fulltime jobs in order to qualify for an extension of stay. No economic need test is applied to initial applications under these categories of stay but those admitted under the Tier 1 (Entrepreneur) category will be expected to show that they have created at least 2 full-time jobs in 15 Admitting third country nationals for business purposes
order to qualify for an extension of stay. Business plan If a business plan is required, please complete the table in Q14b The UK s Immigration Rules make no prescription as to the form and content of business plans submitted in support of an application under the Tier 1 (Entrepreneur) category. Such applications are, however, subject to a genuineness test, and the applicant s business plan may be requested and its credibility taken into account in applying that test. The UK s Immigration Rules make no prescription as to the form and content of business plans submitted in support of an application under the Tier 1 (Entrepreneur) category. Such applications are, however, subject to a genuineness test, and the applicant s business plan may be requested and its credibility taken into account in applying that test. Language knowledge (certification, pre-entry tests, mandatory courses, etc.) Applicants under the Tier 1 (Graduate entrepreneur) and Tier 1 (Entrepreneur) categories are expected to demonstrate a knowledge of English equivalent to level B1 or above of the Council of Europe's Common European Framework for Language Learning. Applicants under the Tier 1 (Graduate entrepreneur) and Tier 1 (Entrepreneur) categories are expected to demonstrate a knowledge of English equivalent to level B1 or above of the Council of Europe's Common European Framework for Language Learning. Age requirement for applicants (minimum / maximum) Insurance requirement (personal and/or for the investment) Security / background checks in place (fraud checks, tax avoidance, previous bogus activities, money origin / money laundering, etc.) At least 16 years. None. Standard background checks as per other immigration categories. At least 16 years. None. Standard background checks as per other immigration categories. Q14b. In case a business plan is required, EMN NCPs are asked to complete the table below. All listed requirements imply a Yes/No answer; in affirmative cases, EMN NCPs are asked to describe the requirements with additional information: Business plan Explanation National institution responsible for the approval / self-assessment Information required on legal aspects of the business (form of the business, principal activity, subsidiary of existing activity) Information required on the commercial and financial aspects (type of business / services, origin of the capital to invest, target groups, preliminary contracts, nature of the investment, performance indicators, feasibility analysis, etc.) N/A N/A The UK s Immigration Rules make no prescription as to the form and content of business plans submitted in support of an application under the Tier 1 (Entrepreneur) category. Such applications are, however, subject to a genuineness test, and the applicant s business plan may be requested as a part of this test and its credibility taken into account. N/A 16 Admitting third country nationals for business purposes
Duration of examination of the business plan Documentation required (please provide a list of the documents required) Review period N/A N/A N/A Other Q15. If the criteria for admission are satisfied what initial document is issued? Please provide any detail on: - type of document issued (e.g. short-stay visa, authorisation to stay, long-stay visa, residence permit, etc.); - its duration; - whether it is longer than the usual duration that applies to other categories of third country nationals; - whether its validity differs (and how) from its renewal. The applicant is issued with a long-stay visa for three years. Under current arrangements, on admission to the UK this document will also amount to a residence permit. It can be extended for a further two years. These durations are the same as most other economic routes of entry for third country nationals. Q16. Where and by which institution / organisation (internal or abroad) are the documents issued? (For example, diplomatic mission in the third country; other responsible representative; intermediary agency, etc.) The document is issued by UK Visas and Immigration entry clearance officers located at British diplomatic missions overseas. Q17. EMN NCPs are asked to complete the information requested in the table below in relation to registration of businesses by immigrant business owners in your Member State. Registration of businesses by immigrant business owners in your Member State Explanation National institution responsible for the registration of the business in the Member State Type of business (main business, subsidiary or branch. Please explain whether it is a transparent or non-transparent entity for tax reasons, i.e. determining if the business owner registers himself/herself as an individual or as a legal entity). The registration of companies established in the UK is the responsibility of Companies House, an Executive Agency of the Department of Business, Innovation and Skills. The UK s Immigration Rules require a person granted entry or stay as a Tier 1 (Entrepreneur) to have been registered with Companies House as the director of a business, or to have been registered as self-employed with Her Majesty s Revenue and Customs within six months of their entry to the UK, or the date on which they were first granted leave to remain as a Tier 1 (Entrepreneur). There is no restriction on the type of business, but the entrepreneur must be registered as stated above. 17 Admitting third country nationals for business purposes
Place of registration of business (in the Member State or in the country of origin / a third country. Is it mandatory for a third country national to be present in a country when registering a business or can this be done outside (using an agent / third party)? Main requirements for registration of business (capital, employees. Please state whether the requirements are different from those applied to EU nationals) Does your Member State impose restrictions to admit immigrant business owners based on the type of business, the specific sector or their country of origin? The registration scheme operated by Companies House applies to all UK businesses, not just those owned by non-eea nationals. While there are specific arrangements for overseas companies establishing a branch in the UK, these would not normally apply in the case of a Tier 1 (Entrepreneur) migrant, who would normally be establishing a new business, or taking over an existing one, in the UK. The requirements for the registration of a new company are set out at: http://www.companieshouse.gov.uk/infoandguide/companyregistration.shtml No. Other (health, etc.) Q18. EMN NCPs are asked to provide information on the criteria to be met in case of extension of the document issued for the stay of immigrant business owners. Please provide details of the type of document issued and its duration. Renewal criteria What are the requirements related to the purpose of stay (business) that need to be met in order to prolong / extend the initial authorisation of stay / longstay visa / residence permit? Explanation In order to qualify for an extension of stay as a Tier 1 (Entrepreneur) migrant, the applicant will need to demonstrate that: they have registered as self-employed or as the director of a business in the UK; they have invested 200,000 (or 50,000 if they qualified for their initial grant of leave on the basis of that level of funding) in one or more businesses in the UK; their business has created the equivalent of two new full-time jobs for persons permanently resident in the UK. Is there a requirement that a business is active during the extension of permits? If so, what indicators are used to assess this? (Volumes of turnover, amount of paid taxes, staff employed, compliance of immigrant investors and their investment, etc.) Who assesses this information? Are there time-related requirements during which a business needs to have been started up, taxes paid and staff employed in order to get the validity of the document extended? Yes. In addition to the above, the UK s Immigration Rules require a person granted entry or stay as a Tier 1 (Entrepreneur) to have been registered with Companies House as the director of a business, or to have been registered as self-employed with Her Majesty s Revenue and Customs within six months of their entry to the UK, or the date on which they were first granted leave to remain as a Tier 1 (Entrepreneur). They must also be so registered within the three months before they apply for an extension. The jobs they have created (see above) must have existed for at least 12 months during their grant of leave to remain. Subject to the above requirements, there is no requirement that a person present as a Tier 1 (Entrepreneur) migrant be continuously economically active as an entrepreneur for the duration of their leave. Information submitted in support of an application for an extension of stay as a Tier 1 (Entrepreneur) migrant will be assessed by UK Visas and Immigration caseworkers. As above. 18 Admitting third country nationals for business purposes
Section 1.5: Other business persons: Overview of national policies This section examines the conditions for the admission of other third country nationals who travel to the EU for business reasons ( other business persons ). These categories include (but are not limited to) the temporary admission of third country nationals under international trade agreements (i.e. the pre-defined six Mode 4 categories tackled by the EU free-trade agreements listed in Annex 2). Other business persons may be admitted either on a short-stay visa or long-stay visa. Q19. How are the following categories (listed in Annex 2) defined under the national legislation of your Member State? Categories of other immigrant business persons Definitions Business visitors for establishment purposes (BVEP) Intra-corporate transferees (ICT) 1 See below. See below. Business sellers (BS) See below. Independent professionals (IP) See below. Contractual services suppliers (CSS) Graduate trainees (GT) See below. See below. Other (please describe) Q20. Does your Member State have a specific policy (programme, scheme) for other business persons as defined by the study template? EMN NCPs are asked to complete only the sections that are relevant to their national context. Categories of other immigrant business persons Is there a specific policy for these categories of other business persons? Is it based on tailored multilateral / bilateral trade agreements with third countries? Name of policy / programme What are its main policy objectives (include information on priority national economic sectors / geographical areas / countries of origin if relevant) Are there any quotas in place? Business visitors for establishment purposes (BVEP) Non-EEA nationals seeking entry to the UK for purposes connected with the establishment of a business may be admitted under the UK s arrangements for prospective entrepreneurs if they are applying to secure funding from one of the specified funding sources in the Tier 1 Prospective entrepreneur. There are no sectoror region-specific objectives in relation to these categories of stay. No. 1 For intra-corporate transferees, please indicate where the scope of current legislation (and the definition used therein) differs from Directive 2014/66/EU on intra-corporate transferees. 19 Admitting third country nationals for business purposes
(Entrepreneur) route (listed seed competitions, UK government departments and UK-regulated venture capital firms). Non-EEA nationals seeking entry to the UK specifically for the purpose of establishing a UK branch or subsidiary of an overseas business may qualify for entry under the separate Representative of an Overseas Business category. These categories are not specifically modelled on commitments under relevant trade agreements. Representative of an overseas business. Intracorporate transferees (ICT) The UK s Immigration Rules provide for the admission of intra-corporate transferees through the Tier 2 (Intra-company transfer) category under the UK s points-based system. This category is not specifically modelled on commitments under relevant trade agreements but has the effect of implementing those commitments. Tier 2 (Intracompany transfer). There are no sectoror region-specific objectives in relation to this category of stay. No. Business sellers (BS) Non-EEA nationals seeking entry to the UK for purposes of selling goods and services may be admitted under the UK s arrangements for business visitors provided that the activities they will be engaged in are consistent with the permitted activities of business visitors (see https://www.gov.uk/business-visitorvisa/eligibility) and that their stay will not exceed 6 months. Business visitor. There are no sectoror region-specific objectives in relation to this category of stay. No. Independent professionals (IP) The UK s arrangements for the admission of independent professionals are currently restricted to implementing its commitments under the EU-CARIFORUM 2 Economic Partnership Agreement (EPA). These commitments are implemented though the Tier 5 (International agreement) subcategory of the UK s points-based system. Tier 5 (International agreement). Provision is restricted to the sectoral coverage of the UK s scheduled commitments in the EU-CARIFORUM EPA. No. Contractual services suppliers (CSS) The UK s arrangements for the admission of contractual service suppliers are currently restricted to implementing its commitments under the General Agreement on Trade in Services (GATS) and other bilateral freetrade agreements currently in force. These commitments are implemented though the Tier 5 (International agreement) subcategory of the UK s points-based system. Tier 5 (International agreement). Provision is restricted to the sectoral coverage of the UK s scheduled commitments in the relevant agreements. No. 2 The CARIFORUM is a regional organisation of 15 independent countries in the Caribbean region (Antigua and Barbuda, Bahamas, Barbados, Belize, Dominica, the Dominican Republic, Grenada, Guyana, Haiti, Jamaica, Saint Lucia, Saint Vincent and the Grenadines, Saint Christopher and Nevis, Surinam, and Trinidad and Tobago). The agreement aims to promote the gradual integration of the CARIFORUM states into the world economy, in accordance with their political choices and development priorities. 20 Admitting third country nationals for business purposes
Graduate trainees (GT) The UK s Immigration Rules provide for the admission of graduate trainees in the context of an intra-corporate transfer through the Tier 2 (Intra-company transfer) category under the UK s points-based system. This category is not specifically modelled on commitments under relevant trade agreements but has the effect of implementing the UK s commitments in respect of graduate trainees under the GATS and bilateral free-trade agreements. Tier 2 (Intracompany transfer). There are no sectoror region-specific objectives in relation to this category of stay. No. Other (please describe) Q21. Considering the specific policy (programme, scheme) in the previous question, what are the actor(s) and institution(s) involved in the development and implementation of policies on other business persons? If multiple authorities are involved, how are they coordinated? Is there an official mandate e.g. an Action Plan governing the involvement of these authorities? Which actor / institution is responsible for the promotion of such policy abroad? Categories of other immigrant business persons Actors / institutions involved in the development of these policies Actors / institutions involved in the implementatio n of these policies If multiple authorities are involved, how do they coordinate? Is there an official mandate governing their roles? Actors / institutions responsible for the promotion of such policy abroad Business visitors for establishment purposes (BVEP) The Home Office is the lead department responsible for the development of policies in relation to the admission of non-eea nationals. Policies on the admission of non-eea nationals for economic purposes are developed in consultation with other government departments, in particular the Department for Business, Innovation and Skills (BIS) and Her Majesty s Treasury (HMT) through the Home Affairs Committee. Major reviews are likely to involve consultation with external stakeholders including the Confederation of British Industry. The Home Office. UK Trade and Investment, an Executive Agency of the Department of Business Innovation and Skills, promotes trade and investment with the UK and, in doing so, promotes awareness of relevant immigration arrangements. Intracorporate transferees (ICT) As above. Business sellers (BS) As above. 21 Admitting third country nationals for business purposes