The UK is implementing major reforms that reshape how international students transition from academic study to entrepreneurship. One of the most impactful changes, taking effect from 25 November 2025, allows eligible students to switch to the Innovator Founder visa without leaving the country. This new pathway eliminates previous travel barriers, reduces processing delays, and supports the government’s vision of positioning the UK as a global hub for innovation-driven ventures.
This update reflects the UK government’s broader intention to support entrepreneurial talent emerging from universities, strengthen innovation-driven economic growth, and reduce unnecessary administrative hurdles for international graduates. Combined with evolving policy reforms across the immigration system, this transition aims to create a more practical, business-friendly environment for student innovators.
Understanding the Innovator Founder Visa
The Innovator Founder visa provides a route for entrepreneurs who plan to establish or run an innovative business in the UK. Unlike traditional work visas, it does not require employer sponsorship. Instead, eligibility is based on innovation, viability and scalability, as confirmed through a mandatory endorsement from a Home Office-approved endorsing body.
Holders of Innovator Founder visa can stay for three years, with no limit on extensions, and may progress to settlement if specific business performance criteria are met. The Innovator Founder visa route also allows the inclusion of dependants, who may switch at the same time or at any point before their existing permission expires.
New In-Country Switching Policy for Student Visa Holders
Beginning 25 November 2025, international students who hold valid Student visa permission and have completed the course for which their Confirmation of Acceptance for Studies (CAS) was issued or, in the case of full-time PhD students, have completed at least 24 months of study will for the first time be able to apply for the Innovator Founder visa from inside the UK.
The updated rule allows qualifying students to begin preparing and operating their approved business ideas while their application is under review. Their student visa will remain valid until a decision is issued, ensuring a smooth transition from study to entrepreneurship.
Students studying full-time toward a PhD may also apply once they have completed at least 24 months of study, offering research-focused graduates an early route into entrepreneurship.
Benefits of In-Country Switching
Allowing students to switch visas from within the UK offers several advantages, including:
- Continuity and Stability
Graduates can begin developing their business immediately after completing their studies without travel disruptions or loss of momentum.
- Permission to Begin Self-Employment
Once the application is submitted with a valid endorsement, applicants may lawfully begin early-stage business activities while awaiting a decision, provided they remain within permitted conditions.
- Long-Term Prospects
The Innovator Founder visa allows a stay of three years with no limit on extensions. It also offers a pathway to settlement, making it one of the most attractive options for entrepreneurial graduates.
- Strengthened National Innovation Goals
The policy aligns with the UK’s broader objective of retaining high-potential talent, reinforcing the nation’s position as a global hub for innovation-driven business development.
- No More Mandatory Travel Abroad
Previously, most students were required to return to their home country to apply for a business visa. The updated rule removes this disruption, allowing graduates to remain in the UK while applying to switch.
Key Eligibility Requirements for Switching to the Innovator Founder Visa
To switch to the Innovator Founder route, applicants must satisfy core criteria designed to ensure that only credible, growth-oriented business ideas are approved. Key requirements include:
Completion of the Sponsored Course:
The applicant must have completed the degree or programme for which their Confirmation of Acceptance for Studies (CAS) was issued. PhD students qualify if they have completed at least two years of full-time research.
Valid Student Permission:
A switch can only be made while the student visa is still active. Any period of overstaying makes an applicant ineligible.
Endorsement from an Approved Body:
An endorsing body recognised by the Home Office must confirm that the business idea demonstrates innovation, viability and potential for growth. The applicant must also play an active role in the venture.
Financial Requirements:
Applicants who have been in the UK for less than one year must show proof of maintenance funds. These funds cannot be sourced from investment capital or employment that breaches Student visa conditions. UKVI requires evidence of funds held over a continuous 28-day period.
English Language Ability:
As part of a wider reform to skilled and entrepreneurial migration, the minimum English language requirement for various routes, including the Innovator Founder pathway, is increased to B2 CEFR from January 2026. Students switching after this date must meet the updated language threshold.
Who Cannot Switch to the Innovator Founder Visa?
Certain categories remain barred from switching within the UK. Individuals holding the following visas or statuses must apply from abroad:
- Visitor visa
- Short-term Student
- Parent of a Child Student
- Seasonal Worker
- Domestic Worker in a Private Household
- Immigration bail
- Permission granted outside immigration rules
These restrictions ensure that only students on genuine long-term study routes can benefit from the new provisions.
Application Process and Decision Timelines for Innovator Founder Visa
All applications must be submitted online. Identity verification will be completed either through the UK Immigration: ID Check app or by attending a biometric appointment. Applicants must not travel outside the Common Travel Area until a decision has been issued, as doing so will automatically withdraw their application. Most applicants receive a decision within eight weeks, unless the Home Office requires additional checks or an interview. Delays may occur if:
- Documents require verification
- Family members apply at different times
- An interview is scheduled
- The applicant has complex personal circumstances
Priority services may be available for an additional fee and can significantly reduce waiting times.
Once granted, applicants can begin trading, building their team and refining their product or service. The Innovator Founder visa also provides a pathway to settlement after three years, provided the business meets specific growth and performance indicators.
How the Changes Interact with Other Post-Study Visa Options
The Innovator Founder route is now one of several options available to graduates, alongside the Skilled Worker, Scale-Up, Global Talent, and Graduate Routes. From 1 January 2027, the Graduate Route duration will reduce from two years to 18 months for most international graduates, while PhD holders will continue to be eligible for the full three-year allowance. These adjustments reflect the government’s focus on encouraging graduates to transition into skill-aligned roles or entrepreneurial pathways sooner.
The Innovator Founder visa may be particularly attractive for those ready to commercialise academic research, early business prototypes, or market-tested concepts. Students should consider whether they need the temporary unrestricted work conditions of the Graduate Route, especially if their business requires additional time for endorsement or early-stage development.
The Closure of the Start-up Visa and the Shift Toward Supporting Graduates
The Start-up visa is no longer open to first-time applicants, making the Innovator Founder route the primary entrepreneurial entry point for international graduates looking to launch a business in the UK. This policy aligns with the UK government’s commitment to retaining high-potential graduates and enabling them to launch commercially credible ventures as they move from student life into professional entrepreneurship.
The change also mirrors recommendations from the 2025 UK White Paper, which emphasised the need to keep entrepreneurial graduates in the UK long enough to build businesses, generate employment, and contribute to the innovation economy.
A Forward-Looking Pathway for Student Innovators
The UK’s decision to allow in-country switching from the student visa route to the Innovator Founder visa marks a pivotal shift in how international graduates can build their futures after study. By removing the need to leave the country, streamlining the transition process, and strengthening post-study entrepreneurial opportunities, the UK is signalling its commitment to nurturing the next generation of innovators.
For graduates with ambition, research-backed ideas or early-stage ventures ready to evolve, this pathway provides not just a visa option, but a realistic platform for long-term growth, business creation and eventual settlement. As the immigration landscape continues to evolve, students who understand these new provisions will be better positioned to turn academic insight into entrepreneurial impact and contribute meaningfully to the UK’s expanding innovation ecosystem.
