In this Tier 1 Entrepreneur guidance, we update on the current status of this route, the options for existing Tier 1 Entrepreneur visa holders and the alternative routes for those looking to come to the UK to set up their own business.
Tier 1 Entrepreneur visa: where are we now?
The Tier 1 Entrepreneur visa was a UK immigration route that allowed individuals to set up or take over a business in the UK. It required applicants to invest either £50,000 or £200,000, depending on their circumstances, and actively manage the business. Although the route has now closed to new applicants, those already on this visa may still apply for extensions or Indefinite Leave to Remain (ILR) if they meet the relevant requirements.
For those seeking to remain in the UK under an alternative route, the Innovator Founder visa is now the primary option for business-minded individuals. This visa requires an endorsement from a recognised body and a viable, scalable, and innovative business idea.
Applicants who wish to extend their Tier 1 Entrepreneur visa must demonstrate genuine business activity, financial investment, and job creation for UK residents. Failure to meet these criteria could result in a refusal, leading to the loss of lawful status. Additionally, applicants working towards ILR must ensure they meet the continuous residence and financial requirements.
Given the strict criteria and high refusal rates, seeking professional immigration advice is strongly recommended for those looking to extend their stay or transition to another visa category.
Tier 1 Entrepreneur 2025 deadlines
The Tier 1 Entrepreneur visa route has been closed to new applicants since 29 March 2019. For existing visa holders, the UK Home Office has set specific deadlines for extension and settlement applications.
Extension Applications
- Deadline: 5 April 2023
- Eligibility: Applicants must have registered as a director or as self-employed within six months of their initial visa grant, invested the required funds into one or more UK businesses, and created at least two full-time jobs for settled workers, each lasting a minimum of 12 months.
Settlement (Indefinite Leave to Remain) Applications
- Deadline: 5 April 2025
- Eligibility: Applicants must have completed five years of continuous residence in the UK under the Tier 1 Entrepreneur route (or three years if qualifying for accelerated settlement), maintained compliance with visa conditions, and met the job creation and investment requirements.
Special Provisions for Tier 1 Graduate Entrepreneurs
Individuals who previously held a Tier 1 Graduate Entrepreneur visa before switching to the Tier 1 Entrepreneur category are granted extended deadlines for both extension and settlement applications.
- Extension Applications Deadline: 5 July 2025
- Settlement Applications Deadline: 5 July 2027
Existing Tier 1 Entrepreneur visa holders have to adhere to these deadlines and ensure all application criteria are met. Failure to apply within the specified timeframes or to satisfy the necessary requirements may result in the inability to extend stay or achieve settlement in the UK under this route.
Can I still apply for a Tier 1 Entrepreneur visa?
No, the Tier 1 Entrepreneur visa route closed to new applicants on 29 March 2019. This means that no new applications for entry clearance or switching into this category from another visa route are being accepted.
If you are an entrepreneur looking to set up a business in the UK, the Innovator Founder visa has replaced the Tier 1 Entrepreneur route. This route requires endorsement from an approved body and a viable, scalable and innovative business plan. Unlike the Tier 1 Entrepreneur visa, the Innovator Founder visa does not have a specific financial investment threshold but requires applicants to demonstrate a high-potential business idea.
Read more about the Innovator Founder visa here >
What is the deadline for Tier 1 Entrepreneur settlement applications?
The deadline to apply for Indefinite Leave to Remain (ILR) under the Tier 1 Entrepreneur visa was 5 April 2025. This means that any remaining visa holders who meet the settlement criteria had to submit their application before this date, or lose the opportunity to settle in the UK under this route.
To be eligible for settlement, applicants must have continuously resided in the UK for five years under the Tier 1 Entrepreneur visa. There is also an accelerated settlement route available after three years for those who have created at least 10 full-time jobs or generated a business income of at least £5 million.
In addition to meeting the investment and job creation requirements, applicants must ensure they have not spent excessive time outside the UK, as this could break their period of continuous residence. They must also pass the Life in the UK test and meet the English language requirements.
No further extensions or settlement applications are to be accepted under this route after the April 2025 deadline.
Tier 1 Entrepreneur visa holders who have missed the deadline would need to explore alternative visa routes, such as the Innovator Founder visa, if they wish to remain in the UK.
Options after 5 April 2025
If you are a Tier 1 Entrepreneur visa holder and you did not apply for ILR before the 5 April 2025 deadline, once your visa expires, you will need to leave the UK or switch to another immigration category to remain here lawfully.
Failing to apply before the deadline means you have lost your ability to settle under this visa, and there will be no exceptions or grace periods. If you do not hold ILR by the time your current visa expires, or switch to a different status, you will be expected to leave the country, or you could become an overstayer, which can negatively impact any future UK immigration applications.
If you miss the ILR deadline, your options may include switching to a different visa category, such as the Innovator Founder visa or the Skilled Worker visa, if you meet the relevant criteria. However, these routes do not provide a direct transition from the Tier 1 Entrepreneur visa and may require additional requirements, such as securing an endorsement or a UK-based job offer from a licensed sponsor.
Contact us for advice if you are concerned about your options.
Can I switch from a Tier 1 Entrepreneur visa to another visa?
If you are not eligible for settlement or missed the ILR deadline under the Tier 1 Entrepreneur route, you may be able to switch to a different visa category, depending on your circumstances.
The most relevant alternative is the Innovator Founder visa, which is designed for entrepreneurs looking to establish a business in the UK. Unlike the Tier 1 Entrepreneur visa, this route does not have a specific investment threshold but requires endorsement from an approved body for a business idea that is innovative, scalable, and viable. Applicants must also play a key role in developing and running their business.
Another option is the Skilled Worker visa, which requires sponsorship from a UK employer. This could be suitable if you wish to remain in the UK as an employee rather than as a business owner. You would need to secure a job offer from a UK company that is a licensed sponsor and meets the required skill and salary thresholds.
If you have family in the UK, you may also explore options such as the Family visa if you are eligible. However, each visa has its own requirements, and switching may not always be straightforward. Seeking professional immigration advice can help determine the best route based on your circumstances.
What if I held a Tier 1 Graduate Entrepreneur visa?
If you previously held a Tier 1 Graduate Entrepreneur visa before switching to the Tier 1 Entrepreneur visa, different deadlines apply for extension and settlement applications.
The deadline for extension applications is 5 July 2025. The deadline for settlement (ILR) applications is 5 July 2027.
These extended deadlines apply only to individuals who initially held a Tier 1 Graduate Entrepreneur visa before transitioning to the Tier 1 Entrepreneur route. Applicants must still meet all the relevant requirements, including investment thresholds, job creation, and continuous residence criteria, to qualify for ILR.
If you are unsure whether your past visa history affects your application deadlines, it is advisable to check the latest Home Office guidance or consult an immigration specialist to ensure you do not miss any deadlines.
Need assistance?
For specialist advice on your Uk immigration options, either to remain in the UK following the Tier 1 Entrepreneur visa, or to come to the UK to set up your own business, contact us.
FAQs
Can I still apply for a Tier 1 Entrepreneur visa?
No, the Tier 1 Entrepreneur visa closed to new applicants on 29 March 2019, while extensions closed in April 2023 and ILR applications closed in April 2025.
When is the deadline for ILR under the Tier 1 Entrepreneur visa?
The deadline for ILR applications under the Tier 1 Entrepreneur visa was 5 April 2025. After this date, settlement applications under this route are no longer accepted.
What happens if I don’t apply for ILR before the deadline?
If you did not apply before 5 April 2025, you would have to switch to another visa route or leave the UK when your current visa expires to avoid overstaying.
Can I switch from the Tier 1 Entrepreneur visa to another visa?
You may switch to the Innovator Founder visa, Skilled Worker visa or another category if you meet the eligibility criteria before your current visa expires.
Can I apply for ILR with absences from the UK?
Yes, but you must not have spent more than 180 days outside the UK in any 12-month period during your qualifying residency period.
What if my ILR application is refused?
If refused, take advice on your options. For example, you may request an Administrative Review if you believe a decision-making error was made. Otherwise, you may need to explore alternative visa options.
Do I need to take the Life in the UK test for ILR?
All ILR applicants must pass the Life in the UK test and meet the English language requirements, unless exempt due to age or disability.
What is the Innovator Founder visa?
The Innovator Founder visa replaced the Tier 1 Entrepreneur visa. It requires an endorsement for a viable, innovative, and scalable business idea with active involvement from the applicant.
Can I still extend my Tier 1 Entrepreneur visa?
The extension deadline was 5 April 2023. If you did not apply before this date, you must consider switching to another visa category or applying for ILR if eligible.
Glossary
| Term | Definition |
|---|---|
| Tier 1 Entrepreneur Visa | A visa category that allowed individuals to set up or take over a business in the UK. It closed to new applicants on 29 March 2019. |
| Indefinite Leave to Remain (ILR) | Permanent residency status in the UK, allowing individuals to live and work without immigration restrictions. |
| Extension Deadline | The final date by which Tier 1 Entrepreneur visa holders could apply for an extension. The deadline was 5 April 2023. |
| Settlement Deadline | The last date for Tier 1 Entrepreneur visa holders to apply for ILR, which was 5 April 2025. |
| Accelerated Settlement | An option for Tier 1 Entrepreneurs to apply for ILR after three years instead of five, if they created at least 10 jobs or generated £5 million in business income. |
| Innovator Founder Visa | The visa that replaced the Tier 1 Entrepreneur route, requiring an endorsement for a viable, innovative, and scalable business. |
| Continuous Residence | A requirement for ILR applicants to have legally lived in the UK for the required period without excessive absences. |
| Life in the UK Test | A mandatory test assessing knowledge of UK history, culture, and values, required for ILR and citizenship applications. |
| English Language Requirement | A condition for ILR and citizenship applicants to demonstrate proficiency in English, usually through a test or a UK degree. |
| Overstayer | Someone who remains in the UK beyond their visa’s expiry date without valid immigration status. |
| Job Creation Requirement | A rule under the Tier 1 Entrepreneur visa requiring the creation of at least two full-time jobs for settled workers, lasting a minimum of 12 months. |
| Switching Visa Routes | The process of changing from one visa category to another, such as from Tier 1 Entrepreneur to Skilled Worker or Innovator Founder. |
| Skilled Worker Visa | A work visa requiring sponsorship from a UK employer, available for those who meet the job and salary thresholds. |
| Tier 1 Graduate Entrepreneur Visa | A visa for graduates with an innovative business idea. It was discontinued, but holders had extended deadlines for settlement applications. |
| Administrative Review | A process where an applicant can request a review of a visa decision if they believe an error was made. |
| Sponsor Licence | A licence required for UK employers to hire skilled workers from overseas. |
Author
Founder and Managing Director Anne Morris is a fully qualified solicitor and trusted adviser to large corporates through to SMEs, providing strategic immigration and global mobility advice to support employers with UK operations to meet their workforce needs through corporate immigration.
She is a recognised by Legal 500 and Chambers as a legal expert and delivers Board-level advice on business migration and compliance risk management as well as overseeing the firm’s development of new client propositions and delivery of cost and time efficient processing of applications.
Anne is an active public speaker, immigration commentator, and immigration policy contributor and regularly hosts training sessions for employers and HR professionals
