Graduate Visa Cut to 18 Months from January 2027: What Current Students Need to Know

PSW Visa Cut

The UK Graduate visa—often referred to as the post‑study work visa—has been a major attraction for international students, offering a flexible two‑year period to work, look for work, or be self‑employed after completing a degree. However, that period is about to become shorter.

From 1 January 2027, the standard Graduate visa duration for bachelor's and master's graduates will be reduced from two years to 18 months. This change, first announced in the May 2025 Immigration White Paper and confirmed in a Statement of Changes to the Immigration Rules laid before Parliament on 14 October 2025, reflects the government's aim to encourage graduates to transition more quickly into skilled employment or sponsored visa routes.

The government's stated rationale is that data showed many graduates were not moving into graduate‑level roles within the two‑year window, and the shorter period is intended to "focus on employability outcomes and better manage migration levels". The change has been fiercely opposed by universities, which argue that post‑study work rights are a key factor in international students' decisions about where to study.

This blog explains exactly what is changing, who is affected, and what you should do now to protect your post‑study options.

What Is the Graduate Visa?

The Graduate visa allows international students who have successfully completed an eligible UK degree at a licensed higher education provider to remain in the UK to work, look for work, or be self‑employed without requiring employer sponsorship.

Key features of the visa include:

• No job offer is required to apply

• No minimum salary threshold

• No sponsor licence needed from an employer

• Holders can work full‑time, part‑time, be self‑employed, or start a business

• Dependants (partners and children) may accompany the main applicant

The Graduate visa is not a direct route to settlement (ILR), but time spent on it counts towards the 10‑year long residence route for indefinite leave to remain. More commonly, graduates use the visa to find qualifying employment and then switch to a Skilled Worker visa, which does lead to settlement.

What Is Changing from 1 January 2027?

The change is straightforward but significant. For Graduate visa applications submitted on or after 1 January 2027, the duration of permission granted will be:

Qualification	Current Duration	Duration from 1 January 2027
Bachelor's degree	2 years	18 months
Master's degree	2 years	18 months
PhD or other doctoral qualification	3 years	3 years (unchanged)

Importantly, the change applies only to applications submitted on or after 1 January 2027. Any application submitted on or before 31 December 2026 will still be considered under the current rules and, if successful, will receive the full two‑year permission.

The Home Office caseworker guidance updated on 11 November 2025 explicitly states that the duration of stay on the Graduate route has been "amended from two years to 18 months, for applications from 1 January 2027". The official GOV.UK Graduate visa page has also been updated to reflect this.

A Parliamentary written answer on 13 April 2026 reiterated that the change was "announced in the Immigration White Paper" and that from 1 January 2027 graduates will be granted 18 months of permission "in recognition of the need for Graduates to transition into Graduate level jobs more quickly".

Who Is Affected?

Current Students (Studying Now)

If you are currently studying in the UK and will complete your course before 31 December 2026, you can still apply for the Graduate visa under the current rules and receive two years of permission. You should apply as soon as you are eligible—after your university has notified the Home Office of your successful course completion.

Students Starting in 2026

This is the group most affected. Students who begin a one‑year master's degree in September or October 2026 will typically complete their course and graduate in late 2027. Their Graduate visa application would be submitted on or after 1 January 2027, meaning they will receive only 18 months of permission, not two years.

Similarly, students starting two‑ or three‑year undergraduate programmes in 2026 will graduate in 2028 or 2029, squarely within the new rules.

PhD Students

Doctoral graduates remain unaffected. The three‑year post‑study period for PhD holders continues unchanged.

Practical Impact of the 18‑Month Period

The reduction from 24 months to 18 months may not sound dramatic, but in practical terms it significantly compresses the timeline for graduates to:

• Explore the UK job market

• Gain relevant work experience

• Secure a qualifying role

• Switch to a Skilled Worker visa (or another sponsored route) before Graduate permission expires

Under the current two‑year period, graduates have approximately 24 months to find sponsored employment. Under the new rules, that window shrinks to 18 months—a reduction of six months, or 25% less time.

This matters because switching to a Skilled Worker visa requires:

• A job offer from a Home Office‑approved sponsor

• A role that meets the appropriate skill level (RQF3 or above, typically graduate‑level)

• A salary that meets the relevant threshold (with possible new entrant discounts for recent graduates)

• A valid Certificate of Sponsorship (CoS) from the employer

Graduates who do not secure sponsorship before their Graduate visa expires will need to leave the UK or apply for a different visa route.

Strategic Considerations for Students

Apply Before 31 December 2026 If You Can

If you are completing your course in 2026, you should aim to submit your Graduate visa application as soon as your university has reported your successful completion to the Home Office. You do not need to wait for your graduation ceremony or formal certificate. Applications submitted on or before 31 December 2026 will still receive two years of permission.

Start Your Job Search Early

With only 18 months available from 2027 onwards, graduates will need to begin their job search earlier—ideally before they even complete their course. Many graduate recruitment schemes open months in advance, and securing a job offer before your visa is granted can save valuable time.

Understand the Skilled Worker "New Entrant" Rules

Graduates switching to a Skilled Worker visa may benefit from the "new entrant" salary threshold, which is typically 70% of the standard going rate for the occupation. To qualify as a new entrant, you generally need to be under 26, a recent graduate, or in a recognised graduate training programme. This can make sponsorship more achievable for early‑career professionals.

Consider Your Long‑Term Plans

The Graduate visa is not a settlement route. If your long‑term goal is indefinite leave to remain (ILR) or British citizenship, you will need to switch to a sponsored route such as the Skilled Worker visa, or another qualifying route, before your Graduate permission expires.

What About Employers?

For UK employers, the change means that graduates hired on a Graduate visa will have a shorter window before they require sponsorship. Employers who wish to retain talented graduates beyond the 18‑month period should:

• Consider applying for a Skilled Worker sponsor licence well in advance, if they do not already hold one

• Plan graduate recruitment timelines with the shorter visa window in mind

• Factor sponsorship costs (including the Immigration Skills Charge and visa fees) into their recruitment budgets

The Graduate visa remains an attractive option for employers because it requires no sponsor licence and no Home Office reporting duties while the graduate is on the visa. However, the shorter duration means succession planning becomes more urgent.

Costs and Application Requirements

The current application fee for a Graduate visa is £880, although this increased to £937 on 8 April 2026. Applicants must also pay the Immigration Health Surcharge (IHS), which is £1,035 per year of the visa. For an 18‑month visa, the IHS would be approximately £1,552.50 (calculated on a pro‑rata basis for the additional six months).

To be eligible for a Graduate visa, applicants must:

• Hold a valid Student visa (or Tier 4 General student visa) at the time of application

• Have successfully completed an eligible UK bachelor's degree, master's degree, or other eligible course

• Be in the UK when applying

• Have their education provider notify the Home Office of successful course completion

• Apply before their Student visa expires

How Hextons Law Can Help

Navigating the Graduate visa process—especially with these upcoming changes—can be challenging. At Hextons Law, we can assist with:

• Timing your application to ensure you benefit from the current two‑year rules where possible

• Advising on eligibility and documentation requirements

• Planning your transition from a Graduate visa to a Skilled Worker visa

• Sponsor licence applications for employers who wish to retain Graduate visa holders

• Alternative visa routes if you do not qualify for the Graduate visa

If you are an international student currently studying in the UK or planning to start your studies in 2026, contact Hextons Law today to discuss your post‑study options and ensure you are prepared for these important changes.

Hextons Law LTD