More technology visas granted after fears of worker shortage

The Government will grant more visas to technology workers in a major boost to the industry’s attempts to secure access to overseas talent after the Brexit vote.

Tech City UK, the government organisation that processes applications for the special visa, has been granted the right to endorse 250 immigration visas this year, 50 more than it had originally been allocated.

The move comes after surging demand for the visas following the EU referendum and amid concerns in the technology industry that Britain’s exit from Europe will make it harder to hire talented foreign workers.

The “Tech Nation” visa was introduced in 2014 as a way to address a shortage of skilled coders among the UK’s fast-growing technology company start-ups.

However, the original requirements were seen as onerous, and originally it only saw a trickle of applications. In late 2015 the rules were relaxed, leading to a leap in applications which has increased again since the referendum last year.

In the current fiscal year, which runs to April 6, the Home Office has granted more than 170 tech visas, so was likely to hit the previous ceiling of 200 in the coming weeks.

Gerard Grech, Tech City UK’s chief executive, said raising the number to 250 showed that the Government had responded to the technology sector’s call for greater access to foreign talent.

Any curbs on European freedom of movement after Brexit mean the visas are likely to take on growing importance. Mr Grech said:

“We are delighted that the Home Office has been able to respond to concerns over how the UK would continue to attract the skills its tech sector needs by allowing Tech City UK to endorse more visas to exceptionally talented individuals.

The UK must demonstrate that it is open for business to the brightest and best around the world.”

He added that Tech City UK, which was set up by David Cameron as prime minister in 2010 to help foster Britain’s young tech companies, would push for a further increase in the next fiscal year.

The Tech Nation visa is one of the  six “Tier 1 Exceptional Talent” visas, which are also available for science, engineering, humanities, medicine and the arts.

Tech City UK was able to increase its allocation since other bodies, which include the British Academy and the Royal Academy of Engineering, did not use up theirs.

According to a recent report from industry body techUK, 28pc of new workers in the tech industry between 2009 and 2015 were from outside the European Union.