Leader Nigel Farage told the party's annual conference in London that public services could not cope with growing numbers of migrants.
The ban would stay in place until "proper controls" on people entering the country had been implemented.
UKIP is also promising stronger border controls, with all non-UK nationals being "registered and tracked".
The proposals are contained in a policy review put to the party conference, which runs until Saturday.
UKIP has now created 17 groups to consider its policies and said it would publish its ideas in full on a daily basis if an election was called.
Its main policy is a commitment to remove the UK from the European Union.
Mr Farage said migrants, particularly those arriving from eastern Europe, were placing too great a strain on public services.
UKIP would "put in place border controls so that all non-UK nationals who enter the UK can be registered and tracked on their entry and exit from the country".
"Anyone overstaying their visa will be subject to arrest and removal from the country and will incur a ban on further entry to the UK for a minimum of five years," a party spokesman said.
UKIP says anybody who wishes to come to the UK must be able to speak fluent English and have educational qualifications.
They must also demonstrate loyalty to the UK and be able to support themselves and their family without help from the taxpayer, it adds.