UK Firms Spend N556.6 Billion to Recruit Nigerian Talents as Brain Drain Worsens
British employers spent an estimated N556.6bn sponsoring work visas for 84,106 Nigerian skilled workers between April 2023 and March 2024, data from the UK Home Office has shown, underscoring both the growing reliance of UK firms on Nigerian professionals and rising concerns about talent loss in Nigeria.
The spending, which covered mandatory employer-paid sponsorship fees under Britain’s post-Brexit immigration system, places Nigeria as the second-largest source of UK-sponsored skilled workers, behind only India during the period reviewed.
An analysis of the Home Office data obtained by investigations indicate that most Nigerian workers were absorbed into the healthcare, information technology, and engineering sectors, industries facing persistent labour shortages in the UK.
The figures cover the 2023–2024 fiscal year, the most recent comprehensive data released by the Home Office. During this period, UK employers were required by law to shoulder the core costs of recruiting skilled foreign workers, including the Certificate of Sponsorship (CoS) fee and the Immigration Skills Charge.
At the time, the CoS fee stood at £239 per worker, while the Immigration Skills Charge ranged from £364 to £1,000 per year, depending on the size of the sponsoring firm. Using the Central Bank of Nigeria’s NFEM exchange rate of N1,876.91 to the pound sterling as of February 6, the cumulative cost translated into hundreds of billions of naira paid by UK employers to hire Nigerian professionals.
On average, British firms spent about £3,525 in mandatory sponsorship fees for each Nigerian worker over a typical three-year visa period, comprising the CoS fee and roughly £3,000 in Immigration Skills Charge. These costs, under UK immigration rules, must not be transferred to the migrant worker.
Although additional expenses such as visa application fees and the Immigration Health Surcharge may be paid by the worker, employers may voluntarily cover them.
However, sponsorship-related charges remain the sole responsibility of firms.
In April 2025, the financial burden on employers increased further when the UK government raised the CoS fee by 120 per cent, pushing it to £525 per worker.
Beyond Nigeria, Home Office statistics released in May 2025 show that the UK granted skilled work visas to nationals from 194 countries in 2024. India topped the list with 160,676 visas, followed by Nigeria (84,106), Pakistan (43,287), Zimbabwe (29,814), and the Philippines (26,503). Others in the top 10 included Bangladesh, Ghana, the United States, South Africa, and Kenya.
The Skilled Worker visa, introduced in December 2020, replaced the former Tier 2 (General) route as part of the UK’s points-based immigration framework after Brexit. To recruit foreign talent, employers must first obtain a sponsor licence, which costs £1,579 for large companies and £536 for small businesses and charities, before assigning a CoS to each worker.
Since December 31, 2024, UK regulations have explicitly barred employers from recovering any sponsorship costs from workers, forcing firms to absorb the full financial weight of international recruitment.
Eligibility for the visa includes a confirmed job offer in an approved occupation with a minimum annual salary of £38,700, following an increase from £26,200 in April 2024. Applicants must also meet English language requirements and show proof of financial self-sufficiency.
Despite Nigeria’s strong presence among skilled migrants, visa approvals for Nigerians have declined following recent policy shifts by the previous Conservative government. Between April 2024 and January 2025, skilled worker visa applications dropped by 10 per cent compared to the same period a year earlier, even as Health and Care Worker visa applications surged by 81 per cent.
Reacting to the trend, Abuja-based development economist, Dr Aliyu Ilias, warned that the sustained outflow of professionals poses long-term risks to Nigeria’s economy.
He said, “It’s definitely a cause of concern because this includes our professionals who are moving, and it takes a whole lot to train them.
“In the medical sector, Nigeria subsidises a lot to get people trained. You cannot get trained as a medical doctor or an engineer abroad for a cheaper cost compared to what we get in Nigeria.
“So, it is a total brain drain in the long run, and for the economy, it is reducing our GDP. The appalling part is that most of our Nigerian brothers and sisters who go out do not return. They get permanent residency, and they become valuable to the immediate country.”
As UK employers continue to invest heavily in foreign talent to bridge domestic skills gaps, the data highlights a widening imbalance—one that benefits receiving countries financially and professionally, while raising urgent questions about workforce sustainability and economic development in talent-exporting nations like Nigeria.
