Current UK laws allow immigrants from outside the EU to gain permanent residence in the UK via investments of over £1 million. This route of getting a Visa has increased in popularity over the past years. Officials at the Home Office are considering options on how to make better use of these incoming funds, including possible changes to the Investor Visa laws.
Permanent residence in the UK can be fast tracked by making investments of 1, 5 or 10 million pounds. The British government sees these investments as a great boost to the economy when invested in British companies. But, currently the law allows migrant entrepreneurs to design the payments as a loan to their own business, thus minimizing the positive effect of the investment to the UK.
Although most UK officials are on board with the investment visa program, the overall issue of immigration and foreign students has been a constant source of conflict. Some officials feel that some changes in the investor route could help appease all sides. One proposal is that the investments from this form of resident Visa be channeled towards a fund supporting youth unemployment. Another proposal is that a £20 million bond be created for “Ultra-investors” who would be granted permanent residence within one year in return for their investment into social causes. Even if this number of “ultra-investors” is capped at 50 to 100 a year, it would create an enormous financial benefit with limited number of new immigrants.
Immigration minister Mark Harper said, “Investors and entrepreneurs play a major role in our economic growth which is why we have given them extra incentives to start up businesses and invest in the UK.” The challenges facing the UK now, is how to maximize the benefits to the UK, as well as continue to encourage future investments.
Investor route visas have increased by 20 percent over the past year. Russians have accounted for over 20% of these types of visas in the last year. Chinese investors account for about 15%, while US and Egypt investors are the next two highest groups who have received investor visas.
Source: www.ft.com
