FAQ sponsor licence UK immigration

FAQs on Tier 2 Sponsor Licence

On November 30, 2020 | In Tier 2 Sponsor Licence | By A Y & J Solicitors

1. Why was my UK Worker Sponsor Licence application refused?

There can be numerous reasons for the refusal of your sponsor licence by the Home Office.

However, some of the most common and basic reasons for refusal are –

  • The organisation has submitted incorrect documents
  • Failed to show the need for a Sponsor Licence
  • Poor HR practices.

2. What are the categories of UK Worker Sponsor Licence?

The Worker Licence is divided into four different categories :

  • Skilled Worker
  • Intra Company Transfer
  • Sportsperson
  • Minister of Religion

3. How can a UK startup hire non-UK/Irish nationals?

Your company will need to apply for a Worker Sponsor Licence to be able to hire overseas staff. You will need to show that your business is trading in the UK and has genuine need for skilled positions.

You will need to provide evidence that you are a genuine organisation in the UK. Some acceptable documents include:

  • Business bank statement (mandatory for Start-ups)
  • VAT certificate
  • HMRC letter showing PAYE reference number and accounts office reference
  • Employer’s liability insurance certificate, at £ 5 million minimum coverage
  • Lease agreement or evidence of ownership of your premises
  • Organisation chart

You will also require a letter from your company confirming why you need a Sponsor Licence.

Once you have gathered your supporting documents, you will be in a position to submit your online application form and pay the fee for the sponsor licence.

4. How costly is the fee for a UK Worker Sponsor Licence?

The fees to obtain a sponsor licence are as follows:

Small or charitable sponsor 

  • To apply for a Worker and Temporary Worker sponsor licence simultaneously, you will have to pay £536.
  • If you apply to add a Worker licence to an existing Temporary Worker licence, there is no fee.
  • If you apply Temporary Worker licence to an existing Worker licence, there is no fee.

Medium or large sponsor

  • To get a Worker and Temporary Worker sponsor licence simultaneously, you will have to pay £1476.
  • To get a Worker licence, you will have to pay £536.
  • If you apply to add a Worker licence to an existing Temporary Worker licence, you will have to pay £940
  • If you apply to add Temporary Worker licence to an existing Worker licence, there is no fee.

5. What is the Register of licensed sponsors: Workers?

The “Register of licensed sponsors: Workers” the list of UK organisations and businesses who have been approved as Sponsors by the Home Office, under the Worker and Temporary Worker categories.

When your Licence is approved your name will appear in the list as an approved Sponsor.

On the register, you can find the following details –

  • Name of the company
  • Location of the company
  • Category of Worker Visa, which a company can sponsor
  • The sponsor’s rating

6. Where can I find a sponsor licence number?

A Sponsor Licence number is a unique reference number or code which is assigned to a Sponsor Licence holding employer. If you are a Worker or Temporary worker, you can check your company’s Sponsor Licence number on your Certificate of Sponsorship.

7. How long does a sponsor licence last?

The Sponsor Licence is valid for 4 years from the date of approval. The Sponsor can apply to renew their licence if they would like to continue to sponsor migrant workers.

8. Why is it so important to have a sponsor licence?

From 1 January 2021, employers wanting to sponsor EEA nationals will need a Sponsor Licence.  The same applies if you wish to sponsor NON-EEA nationals.

9. How does a sponsor renew their sponsor licence?

You will need access to your Sponsor Management System (SMS).  You will then need to access the relevant section “Renew your Sponsor Licence” and pay the relevant fee depending on the size of your organisation.

When renewing the Sponsor Licence you should also have had an internal audit on your HR systems, to ensure you continue to meet the duties as a Sponsor.   This will assist you in the event you were to be visited by a Compliance Officer following the renewal of your Sponsor Licence.

To know more about the renewal of a sponsor licence, check Tier 2 Sponsor Licence Renewal.

10. How much does it cost to sponsor a Worker visa?

As above, applying for Sponsor Licence costs between £536 and £1,476, depending on the size of your organisation.

Certificate of Sponsorship Assignment for a Worker – £199

Certificate of Sponsorship Assignment for a Temporary Worker – £21

Immigration Skills Charge (Skilled Workers and Intra-Company Transfers):

  • For a small or charitable sponsor, the Immigration Skills Charge is £364for the first year and £182 for each additional six months. So the cost of sponsoring someone for five years would be £1,820.
  • For a medium or large sponsor, the charge is £1,000for the first year and £500 for each additional six months. The cost of sponsoring someone for five years would be £5,000.

Visa application fees would also be payable by the sponsor or employee.

11. UK companies willing to sponsor your Worker Visa

You will find a list of all organisations who hold a Sponsor Licence on the Register of Licenced Sponsors: Workers. Some businesses who are actually licensed to sponsor migrants may not be discoverable by a search of the register: for example if they are registered as a subsidiary or branch of another firm, who is the licence holder. It is worth contacting the company directly to find out if they are able to sponsor migrant workers.

An example of some notable UK sponsors are: Shell, TPP, UK Power Networks,  EY, Deloitte, KPMG, PwC, BDO, Airbus, Atkins, BAE Systems, Mott MacDonald, National Grid, and Network Rail.

A Y & J Solicitors

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