Tech policy and startup support organisation, the Startup Coalition, has called on the UK government to capitalize on the Trump administration’s H-1B visa crackdown.
On Friday 21 September, the Trump administration said it will ask companies to pay $100,000 per year for H-1B worker visas, which are designed specifically for hiring of foreign workers in specialist occupations.
In an open letter addressed to Home Secretary Shabana Mahmood, the non-profit urged the government to step in following the announcement, describing the move as an “unprecedented opportunity” for the country’s technology sector.
“The introduction of a $100,000 fee for H-1B visas has created uncertainty across Silicon Valley and left tens of thousands of the world's most talented engineers, founders, and researchers reconsidering their futures,” the letter reads.
“This is not a moment for quiet diplomacy or understated British reserve. This is a moment for bold, decisive action.”
Dom Hallas, executive director at the Startup Coalition, said the government faces a “once in a generation chance for Britain to attract genuinely top tier global tech talent”.
Capitalizing on the H-1B crackdown
The open letter recommended several key actions the government should take to step in and lure talent to the country. This includes an expansion of the Global Talent Fund, which is designed to attract science, technology, and engineering talent to the UK.
The non-profit urged the government to introduce changes aimed specifically at supporting talent displaced by US policy changes.
Elsewhere, the letter called for “expedited processing” for H-1B holders and individuals looking to relocate, alongside updates to the Enterprise Management Incentive (EMI) scheme to beef up equity packages.
Notably, the letter highlighted key advantages the UK boasts in terms of talent acquisition compared to the US, including the fact its visa routes are “dramatically cheaper” and can be processed in “week’s not months”.
The Startup Coalition added that the current political situation in the UK offers a greater degree of certainty for workers.
“We offer clear pathways to settlement without lottery systems or arbitrary caps,” it reads.
Trump’s visa bombshell has Silicon Valley sweating
President Trump’s move has shocked Silicon Valley following months’ worth of close ties between big tech and the administration.
Big tech companies rely heavily on H-1B visas to attract talent to the United States, meaning costs for organizations of all sizes could surge as a result of the policy change.
Figures show there are over 700,000 people currently working in the US on H-1B visas, and just 85,000 are awarded annually despite hundreds of thousands of applications.
While the policy change will hurt US enterprises, foreign nationals from a host of countries will also be impacted. Indian nationals are among those expected to feel the biggest impact, according to reports from BBC News.
Indians made up more than 70% of H-1B visas in recent years, with Chinese nationals the second largest pool of talent using the scheme.
The Indian Government’s Ministry of Foreign Affairs issued a statement on 20 September warning the measures are “likely to have humanitarian consequences by way of disruption caused for families”.
“Industry in both India and the US has a stake in innovation and creativity,” the ministry said.
“Skilled talent mobility and exchanges have contributed enormously to technology development, innovation, economic growth, competitiveness, and wealth creation in the United States and India”.
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