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No. Set(LR) DOES NOT permit dependents to apply with main ILR applicant.Ques1: Can I apply together with my wife for ILR (LR) when she qualifies in Feb 2016?
See #1 answerQues2: If yes, which form should I use?
You should ideally apply for FLR(M) if you meet the financial requirements or FLR(FP) if you don't meet them.Ques3: If no, what would be the best way to apply together; as I believe that once my wife switches to ILR(LR), I will also have to switch with her?
You can continue on your existing visa and apply for ILR LR on SET(LR) on 2nd June 2017, provided you have no plans to travel outside the UK.Ques4: As my PBS(DEP) permit expires in Feb 2019 and I will qualify for ILR(LR) in June 2017, will I be able to continue with my PBS Dep. permit till June 17; whereby I can apply for ILR(LR) on my own merit?
Nonsense!! No it won't. Who told you it will disqualify you from 10 years ILR?Ques5: I also understand that an FLR(M) application will disqualify my 10 years continuous residence (as a dependant) and I will have to start off again as a dependent of a settled person through the 5 years route?
Stick it out in the UK till June.Ques6: What are the best options for me and my wife, as we really want to apply for her ILR(LR) in Feb17?
Either of your incomes would suffice for FLR(M).Ques7: As my wife was in Tier4 permit throughout, she did not work and I have been the earning member; just in case we go the FLR(m) route, will my current earnings (£31k pa), be useful to meet the financial requirements?
You can continue on your existing visa and apply for ILR LR on SET(LR) on 2nd June 2017, provided you have no plans to travel outside the UK.Ques4: As my PBS(DEP) permit expires in Feb 2019 and I will qualify for ILR(LR) in June 2017, will I be able to continue with my PBS Dep. permit till June 17; whereby I can apply for ILR(LR) on my own merit?
Possibly yes. You need to switch to FLR(M).* Will this CAS withdrawal affect my Dependent Visa (valid till 03/02/2019)?
Your status is directly dependent on your wife's status and she is no longer sponsored by Tier 4 sponsor.* Is my Wife's CAS sponsorship attached to my Dependent VISA? and if so, will it affect my current leave to remain status in the UK
Possible that you will be issued with a curtailment letter, which can take a while to be sent out. Hopefully you can stretch it till 1st June to apply for ILR.** I understand that this will only be an issue if I leave the UK; I do not plan to leave the UK till the end of this Year - nonetheless, I am going to file my ILR (LR) in a few months, during June 2017.