This article has been prepared jointly by Edwin Coe LLP and London & Partners. Organisations considering expanding their operations to the UK are encouraged to get in touch with the authors.

For many years, the United States has been the default destination for businesses seeking to build globally competitive teams. The H-1B visa, despite its limitations, has enabled US companies to selectively hire the best qualified talent from around the world. However, following the increase in costs of the H-1B, announced in September 2025, the conversations around the H-1B have evolved.  Businesses, in particular start-ups, are being forced to reassess where and how they deploy international talent given the astronomical costs.

As a result, we have seen an increase in companies looking to the UK as a destination to scale a business due to availability and lower cost of tech talent.

Shifting the focus from visas to strategy

The rising cost of the H-1B visa has meant this is no longer just a financial issue for businesses. It fundamentally changes the economic outlook of hiring international talent in the US, especially for growth-stage businesses and companies operating in highly competitive sectors such as technology, financial services and life sciences.

When the cost of securing a single international worker reaches a level that materially impacts hiring decisions, it no longer becomes ‘just another immigration consideration’ but rather a strategic decision.

We’ve seen businesses respond in a pragmatic way: rather than absorbing the additional cost or losing international talent, their commercial savviness has led them to change strategies and explore new jurisdictions where they can:

  • access global talent more predictably.
  • scale teams efficiently.
  • maintain operational flexibility.

Why the UK is well positioned

For US businesses looking to establish a presence outside their domestic market, the UK provides a platform that feels both familiar and internationally competitive. From an immigration perspective, there are several features that stand out.

Firstly, the system is structured but workable – it may be a tad expensive but still considerably cheaper than $100,000 for the H-1B. Routes such as the Skilled Worker and Global Business Mobility (GBM) allow companies to transfer or hire talent with a level of clarity that is increasingly valued. The process is not without its requirements but it is transparent and certain. If you meet the relevant number of points, the visa is granted!

Secondly, there is flexibility within the UK’s immigration framework which allows for international deployment. Businesses can move senior personnel to establish a UK presence (Expansion Worker route), relocate key team members (Skilled Worker or GBM), or hire locally while maintaining alignment with global operations. There’s also the Global Talent visa which is aimed at those deemed leaders or those with exceptional talent, within a specific sector. Such visa categories demonstrate the UK still offers balance within a global mobility context, especially when compared to the US.

Thirdly, the UK continues to position itself as open to those who are highly skilled and talented. Our clients inform us that such messaging is key: stability is a crucial factor when businesses are making long-term decisions.

Branch or Subsidiary?

The development in the past 6 months have led to a growing interest from US companies in establishing UK branches or subsidiaries as part of their global structure.

This option allows businesses to diversify their talent strategy without relying on a single and increasingly unreliable immigration system. The UK branch/subsidiary creates a base from which affected employees can contribute meaningfully. It also enables companies to build teams that are connected to other international markets such as Europe, the Middle East and beyond.

With the right support and commercial partners, setting up in the UK does not need to be complex. We can assist businesses relatively quickly and begin deploying talent in a manner that aligns with commercial objectives.

Viewing the UK as a complementary model

It’s important to stress that this is not about the UK replacing the US. For many organisations, and indeed our clients, the US will remain a central market and talent hub.

What is changing is how an organisation’s capability can take advantage of shifting to a new jurisdiction. Rather than concentrating international talent in one jurisdiction, which can often lead to limitations within rigid immigration frameworks, businesses are diversifying so that they can place teams in other jurisdictions to ensure operational efficiency whilst minimising immigration uncertainty.

In this model, the UK serves as a natural counterpart to the US: English-speaking, globally connected, providing both legal certainty and a familiar business environment that resonates with US organisations.

Looking ahead

For certain US businesses, the response to changes in the H-1B landscape has meant adapting and shifting focus. Our view is that the UK can offer benefits to organisations looking to make that shift as it offers a suitable pathway.

With an immigration and legal framework that aligns with international businesses and allows for the ideal base to expand operations, we are seeing many success stories.

This article has been prepared jointly by Edwin Coe LLP and London & Partners. Organisations considering expanding their operations to the UK are encouraged to get in touch with the authors.

 

Sundeep Rathod
Head of Immigration
Edwin Coe
Stephen Feline
Director of North America
London and Partners

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