Tier 1 Entrepreneur Visa UK

If you’ve heard of the Tier 1 Entrepreneur Visa UK, chances are you’re either a past applicant, currently holding the visa, or trying to make sense of what options exist now that it’s no longer open. The visa was once a popular route for non-UK nationals looking to start or run a business here, but as of 2025, this immigration category has been closed for a number of years.

That said, it still affects many people, especially those with legacy visas, those approaching their Indefinite Leave to Remain (ILR), and individuals looking for the best current visa alternatives to start or run a business in the UK. In this article, we’ll explain what the Tier 1 Entrepreneur Visa was all about, why it was closed, and what you can do now.

What Was the Tier 1 Entrepreneur Visa?

The Tier 1 Entrepreneur Visa allowed non-UK nationals to come to the UK to set up or take over a business. It was aimed at individuals with either:

• • £200,000 in investment funds, or

• • £50,000 from a recognised funding source, such as a UK government department or approved venture capital firm.

Once approved, it gave people the ability to start their own company, work for themselves, and even bring their family members along. It was also a route to settlement in the UK in most cases, after five years, or in as little as three for those who showed strong business performance.

Many successful business owners came through this visa route and built companies that created jobs and contributed to the UK economy. However, the Home Office became concerned about the quality of businesses being created and the potential for abuse, which led to the route being phased out.

Is the Tier 1 Entrepreneur Visa Still Available in 2025?

No, the Tier 1 Entrepreneur Visa is no longer open to new applicants.

The route officially closed to new applications in March 2019. That means you cannot apply for it anymore unless you already hold a valid Tier 1 Entrepreneur Visa and are eligible for an extension or ILR.

Even extension opportunities are now extremely limited. The final deadlines for most extension applications passed in April 2023. If you didn’t submit your application before the deadline, you’re no longer eligible to extend this visa. However, some people may still be in the UK under an existing Tier 1 Entrepreneur Visa and could qualify for ILR.

Can I Extend My Tier 1 Entrepreneur Visa?

If you already had a Tier 1 Entrepreneur Visa before the route closed, and you applied for an extension before April 2023, you may still be in the UK under that extended visa.

To qualify for that extension, applicants had to:

• • Register their business within six months of arriving

• • Create at least two full-time jobs for settled workers in the UK

• • Use the investment funds as stated in their original application

• • Provide business accounts and financial evidence

• • Meet the English language and maintenance requirements

Extensions are now closed to anyone who missed the 2023 cut-off, but if you’re already on an extended visa, you may still be eligible for Indefinite Leave to Remain.

Tier 1 Entrepreneur Visa Requirements (Legacy Cases)

For those still on a Tier 1 Entrepreneur Visa, or preparing to apply for ILR, it’s vital to understand the legacy requirements. These are the rules you had to follow during your visa period:

• • Business registration: You had to register your business (as a director or self-employed) within 6 months of arriving in the UK.

• • Job creation: At least 2 full-time positions had to be created and filled by UK-resident workers.

• • Investment use: The full amount of investment had to be put into the business, and properly documented.

• • Financial records: You needed to keep clear accounts, payroll records, tax returns, and other paperwork to show your business was genuine and active.

• • English language: You needed to prove English ability, either through a test or a UK degree.

• • Maintenance funds: You had to show you had enough money to support yourself and any dependants.

These requirements still matter if you’re now applying for ILR from this visa route.

What Replaced the Tier 1 Entrepreneur Visa?

When the Tier 1 Entrepreneur Visa was scrapped, the government replaced it with other visa types aimed at encouraging business growth while ensuring applicants had credible plans and backing.

Innovator Founder Visa (2023–present)

This is the closest alternative to the old Tier 1 route. It’s aimed at more experienced business founders who want to set up an innovative business in the UK.

Key features:

• • No fixed minimum investment – but you must prove that your business idea is scalable and innovative

• • Requires endorsement from an approved UK body
    

• • Open to individuals with solid business plans and realistic growth potential

Unlike Tier 1, the focus here is on innovation and sustainability, rather than just investment capital.

Start-up Visa 

The Start-up Visa was originally aimed at newer entrepreneurs who hadn’t yet launched a business. This route has now been merged into the Innovator Founder Visa, streamlining the process and removing some confusion.

Other Visa Options

If you’re not eligible for the Innovator Founder route, here are a few other options:

• • Skilled Worker Visa: For those who want to take up employment with a licensed UK sponsor.

• • Global Talent Visa: For people recognised in fields such as tech, science, and the arts.

• • Self-sponsorship: Some applicants now create their own company and sponsor themselves under the Skilled Worker route – though this requires careful legal planning.

ILR and British Citizenship from Tier 1 Entrepreneur Route

If you’re still in the UK on a valid Tier 1 Entrepreneur Visa or an approved extension, you might be eligible for Indefinite Leave to Remain (ILR).

To apply, you’ll need to:

• • Show five years of continuous residence
    

• • Provide evidence of genuine business activity and job creation
    

• • Pass the Life in the UK Test
    

• • Meet the English language requirement

Some applicants may qualify for accelerated settlement after 3 years if they’ve created at least 10 jobs or generated £5 million in turnover.

Once you’ve held ILR for 12 months, you can apply for British citizenship, which allows you to apply for a UK passport.

Common Issues with Tier 1 Entrepreneur Applications

Many applicants ran into problems when applying for extensions or ILR from the Tier 1 Entrepreneur Visa. Here are some of the most frequent pitfalls:

• • Lack of genuine business activity: The Home Office closely examined whether the business was real, trading, and active.

• • Not enough jobs created: If you didn’t create two full-time roles for settled workers, your application may have been refused.

• • Poor record-keeping: Missing tax documents, inaccurate accounts, or inconsistent bank statements often led to rejections.

• • Incorrect supporting evidence: Many applications failed simply because the paperwork wasn’t presented clearly or was incomplete.

If you’re applying for ILR or preparing documents now, it’s important to review everything carefully.

FAQs – Tier 1 Entrepreneur Visa UK

Can I still extend my Tier 1 Entrepreneur visa in 2025?

No. The deadline for extensions passed in April 2023. If you didn’t apply before then, you’re no longer eligible to extend. However, if you did extend successfully before the cut-off, you may still be in the UK legally and eligible for ILR.

What replaced the Tier 1 Entrepreneur Visa?

The Innovator Founder Visa is the closest replacement. It requires an endorsement from a UK body and focuses on innovation and growth rather than just funds. Other routes like the Skilled Worker Visa or Global Talent Visa may also be worth looking into.

Can I apply for ILR if my Tier 1 visa has expired?

If your visa has already expired and you didn’t extend it, you’re unlikely to qualify for ILR through this route. You should speak to a legal adviser about your options, as overstaying may affect future visa eligibility.

Is the Innovator Founder Visa better than the old Tier 1 route?

That depends on your situation. The Innovator Founder Visa is more focused on genuine business innovation, and it’s arguably stricter in terms of scrutiny. But it’s more flexible around investment levels and encourages modern, scalable business ideas.

Can I switch from Tier 1 Entrepreneur to Skilled Worker Visa?

In many cases, yes. If you’ve been offered a job by a UK company with a sponsorship licence, you may be able to switch to the Skilled Worker route but you must meet all the criteria, including salary thresholds and role eligibility.

The Tier 1 Entrepreneur Visa may be closed, but its impact is still being felt by many people who built their lives and businesses in the UK. Whether you’re nearing the end of your visa, thinking about settlement, or looking at your next move, it’s important to understand what your options are.

If you’re starting fresh in 2025 and want to build a business in the UK, the Innovator Founder Visa is likely your best route. And for those still holding legacy Tier 1 visas, now’s the time to get your paperwork in order and plan for ILR or alternative pathways.

Are you a current or former Tier 1 Entrepreneur Visa holder? 

We at solicitors in Manchester offer free immigration advise and can help you understand the best options based on your circumstances. Call us now on 0161 464 4140 or book an appointment to speak with a immigration adviser based in Manchester UK.