If you have made the decision to start recruiting overseas talent for your start-up or existing business, one of the first and most important steps you will need to take involves securing a sponsor licence from UK Visas and Immigration (UKVI). A sponsor licence is required before you can start issuing Certificates of Sponsorship (CoS), allowing you to hire international skilled workers. Securing a sponsor licence is not merely a form-filling exercise; there are a number of actions that you will need to complete before you meet the requirements set out by UKVI and the Home Office. In the following guide, we will explain the steps that you will need to take to make a successful application for a sponsorship licence.
Do you meet the eligibility criteria for a sponsor licence?
Broadly speaking, most businesses in the UK are eligible for a sponsor licence, but certain applicants are ineligible. In order to apply for a sponsor licence to hire overseas workers, you must not have any unspent criminal convictions for immigration offences or other specific crimes, including fraud or money laundering. In addition, you must not have had a sponsor licence revoked in the last 12 months.
Assuming that you meet the above criteria, you will need to demonstrate that you have the systems and processes in place to monitor your sponsored workers and Key Personnel to manage sponsorship within your business.
Another aspect of eligibility is that you must meet the UK’s minimum wage and working time regulations and the visa requirements for sponsored workers (e.g. salary requirements). These requirements will depend on whether you are hiring workers with a skilled worker, health or care worker, Global Business Mobility, scale-up worker, government authorised exchange, seasonal worker, International Sportsperson, international agreement, creative worker, charity worker, a minister of religion or religious worker visa.
If you intend to sponsor religious, creative workers, or international sportspeople, there are additional criteria that must be met before you can apply for a sponsor licence. Please speak to an immigration lawyer who can explain the specific rules for your chosen sponsorship category.
What are the types of sponsor licences?
It is important to ensure that you apply for and secure the correct type of licence. There are two categories of licence, worker licenses (for skilled workers) and temporary worker licences, as follows:
Worker licences
- Skilled Worker
- Senior or Specialist Worker visa (Global Business Mobility) – this is for multinational companies planning to transfer existing employees to the UK
- Minister of Religion
- International Sportsperson
Temporary Worker licence
- Scale-up Worker
- Creative Worker
- Charity Worker
- Religious Worker
- Government Authorised Exchange
- International Agreement
- Graduate Trainee (Global Business Mobility)
- Service Supplier (Global Business Mobility)
- UK Expansion Worker (Global Business Mobility)
- Secondment Worker (Global Business Mobility)
- Seasonal Worker
If you are unsure which licence type you need, please speak to one of our immigration lawyers. Based on your immediate and longer-term recruitment needs, we will be able to advise you which licence type is best for your needs. We can also assist you in the application process, ensuring you receive a timely decision to enable you to start recruiting overseas workers.
Remember, just because you hold a sponsor licence does not mean you can sponsor an overseas worker for any role. You can only sponsor workers for roles listed as eligible for the type of licence you hold. Failure to sponsor workers in the correct categories may result in your licence being downgraded, suspended, or revoked.
Sponsorship management roles
To manage your sponsored staff, you will need to use the UKVI’s online Sponsorship Management System (SMS). The SMS is used to request and issue new Certificates of Sponsorship and report changes to the Home Office. Only certain individuals can use the SMS:
- Authorising officers – this is a senior and ‘competent person’ who is responsible for the actions of staff and representatives who use the SMS
- Key contact – this is your business’s main point of contact with UK Visas and Immigration (UKVI)
- Level 1 user – Level 1 users are responsible for all day-to-day management of your licence using the SMS, and
- Level 2 users – have fewer user permissions than level 1 users.
These key roles can be filled by the same person or different people. Before deciding on who will take these sponsorship roles, you will need to carry out suitability checks. In order to be one of your Key Personnel, your member of staff must have no unspent criminal convictions, have not been fined by UKVI in the last year, have broken the law, have not been a ‘key person’ at a sponsor that had its licence revoked in the last 12 months, or have failed to pay VAT or other excise duty.
The Key Personnel you choose must be based in the UK most of the time.
Understanding your sponsorship duties and obligations
Before the UKVI grants you a sponsor licence, they want to be assured that you have the necessary systems and processes in place to meet your sponsorship duties and obligations. As a sponsor of overseas workers, you must fulfil the following duties:
- Maintain accurate records (e.g. contact details)
- Report certain changes to UK Visas and Immigration (UKVI)
- Check the immigration status of sponsored employees and ensure that sponsored workers have valid visas and are compliant with the terms of their
- Comply with immigration laws, and
- Not engage in behaviour or actions that are not conducive to the public good.
It is important to understand that any breach of these duties may result in your licence being downgraded, revoked, or suspended. If this happens, you may be unable to sponsor more overseas workers and those you already sponsor may have their visas curtailed.
Before you apply for your sponsor licence, it is important to put in place systems that will enable you to meet these requirements. For advice on how to put in place the necessary sponsor management systems and processes for your business, please speak to a member of our immigration law team who can guide you through what you will need to do. We will also advise on how you can maintain your compliance with these duties and obligations over time.
How to apply for a sponsor licence
Assuming that you are eligible, know the type of licence you need, and understand the duties and obligations you will need to meet, you can now apply for a sponsor licence. The application steps are as follows:
- Complete the online sponsor licence application form
- Pay the required application fee: £536 for small or charitable sponsors or £1,476 for medium or large sponsors
- Post the submission sheet provided at the end of the application
- Submit any supporting documents requested during the application process
Once you have completed the above steps, you can expect to receive a decision within 8 weeks. If you need your licence faster, you can pay an additional £500 for a decision within 10 working days.
If your licence application is refused for any reason, be reassured that there are a number of steps that can be taken, including requesting a review of the decision and submitting a fresh application. Please speak to a member of our team if your application has been refused. We will recommend the best course of action and deal with UKVI on your behalf to ensure a positive outcome.
Final words
Securing a sponsor licence will enable you to sponsor overseas workers and grow your business in the future. As we have set out in this guide, taking on a sponsor licence should not and cannot be taken lightly. Being a sponsor comes with a host of legal duties and obligations. For help with any aspect of overseas talent recruitment, please speak to one of our expert business immigration lawyers. We will guide you through the process, apply on your behalf, and help you maintain compliance throughout your sponsorship journey.
A Y & J Solicitors is a specialist immigration law firm with extensive experience with all types of visa applications. We have an in-depth understanding of immigration law and are professional and results-focused. For assistance with your visa application or any other UK immigration law concerns, please contact us on +44 20 7404 7933 or contact us today. We’re here to help!
