On December 21, 2022, the British High Court issued a decision declaring the rules applied by the British Home Office to EU citizens which filed for residence permit in the country are incompatible with the so-called Brexit agreement.
According to the current rules adopted in 2018, those EU citizens who were already settled there before Brexit, can reside legally in the UK, with the end of the transition period set for December 31,2020. The legality of residence must be proven during a two-stage procedure, whereby if the residence lasted less than 5 years, these persons acquire the status of "pre-settled". If this stay is longer than 5 years, they are entitled to the status of "settled person", which is associated with the right of permanent residence.
The residence rules applied by the UK authorities stipulate that if pre-settled EU nationals have not applied for permanent residence within 5 years of obtaining this status of "pre-settled", they would lose all existing rights. As all “pre-settled” permits will have expired in August 2023, this would mean for many EU – and also European Economic Community citizens not only loss of employment but also loss of access to healthcare or even expulsion. 2.6 million people could lose their residency rights as a result.
However, the above rule is in conflict with the terms agreed in the Brexit deal, under which EU citizens can only lose residency rights for specified reasons, and failure to apply for settled status does not fall within them.
However, this court decision is not final, as the Home Office has already announced, that they will appeal the decision.