The requirement for job creation is important for Tier 1 (Entrepreneur) visa holders in order for extension or settlement. An applicant must have created at least two new full-time jobs for settled workers and these jobs must have existed for at least 12 months. Further, if an applicant has taken over or joined an existing business, their investment must have resulted in a net increase in employment.

The jobs should be:

• ‘the equivalent of’ a full-time job: 2 or more part-time jobs that add up to 30 hours per week, if each job exists for at least 12 months or one full-time job of at least 30 hours of work per week; and
• Complied with the National Minimum Wage Regulations and the Working Time Regulations 1998.

The jobs must have existed for at least 12 months during the applicant’s most recent grant of leave as a Tier 1 (Entrepreneur) Migrant or, where that leave was granted less than 12 months ago, for at least the 12 months immediately before the date of application.

As a result of the impact of Covid-19, the Home Office acknowledged that many Tier 1 (Entrepreneur) applicants will have difficulty extending their stay or making settlement applications. The Home Office introduced a CoVID-19 job creation concession for extension and settlement applications for Tier 1 entrepreneurs who can demonstrate business disruption due to the coronavirus epidemic.



This COVID-19 concession for Tier 1 Entrepreneurs applies to applications made after 31^st May 2020 where the business was disrupted due to COVID-19.

Extension requirement in regard to Job Creation

Possible to extend the visas without 12 months of employment

Due to the impact of the pandemic, applicants who have not been able to employ for consecutive 12 months by the time their visa expires, are allowed to extend their stay for further 2 years. Applicants should show that they have created at least 2 jobs for settled workers but they cannot continue to employ them continuously for 12 months.

Time Spent on Furlough scheme payments can be counted

If the employees have been paid at least 80% of the normal salary under the Government’s Job retentions Scheme during the pandemic, any period of time spent can be counted towards the job creation requirement.

Possible to combine different jobs from different months to satisfy the 2 full-time job creation

The Covid concession allows the combination of two different jobs which have lasted together for at least one year. The 12months period of employment requirement can be made up of multiple jobs across different months, provided that they are equivalent to two full-time jobs when combined.



Accordingly, an applicant is allowed to combine the time spent by two settled workers in the same role if neither of them lasted 12 consecutive months in the role on their own. For example, a person may be recruited for six months in one year to work on the post of "IT manager," and another person could be filled for six months in the next year to work for the same post.

Settlement Requirement with Job creation Covid- 19 Concession

The Tier 1 Entrepreneur ILR job creation requirement is identical to the Tier 1 Entrepreneur Extension job creation requirement.

If an applicant relied on the Covid-19 concession to extend their Tier 1 Entrepreneur visa, they must provide evidence that either two full-time jobs have lasted for at least 24 months or four jobs have lasted for at least 12 months when they apply for settlement.

However, in reality, it can be a very difficult task for Tier 1 Entrepreneur visa holders to overcome the difficulties of COVID-19 impact and to meet the job creation requirement which combines extension and settlement requirements within 2 years at the time to apply for settlement.

This implies that if they cannot meet the job creation requirement for 2 years for settlement, they need to extend their time to satisfy the job creation requirement.

For expert advice regarding an application for Tier 1 extension or settlement application, please contact us at 0203 865 6219 or leave a message.