According to Javid, in the case of a no-deal Brexit, the UK will "end free movement once and for all — giving us full control of our borders for the first time in decades".
"However, we need to take a practical approach and minimise disruption to ensure the UK stays open for business. That is why we will introduce time-limited transitional arrangements and grant EU citizens coming after March 29 temporary leave," he added.
Those EU citizens who would like to stay for a longer period will be "subject to identity, criminality and security checks before being granted permission to stay for three years."
The official statement outlines that the "3 months' leave to enter for EU citizens will be free of charge but applications for European Temporary Leave to Remain will be paid for. Fees will be set out at a later date."
In January, the UK House of Commons rejected the Brexit plan that was presented by Prime Minister Theresa May after months of negotiations with the European Union.
Earlier, May's cabinet reiterated its position on Brexit, saying the UK would leave the EU on 29 March regardless of the outcome of ongoing talks at home and possible discussions with Brussels. Deal or no deal, the UK will leave the bloc in March, according to May's cabinet.