Sponsorship Licence

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  1. What is a Sponsorship Licence?
  2. Who needs a Sponsorship Licence?
  3. How much does it cost to apply for a Sponsorship Licence?
  4. What are the processing times for a Sponsorship Licence?
  5. What are the different types of Sponsorship Licences?
  6. What are the ratings for a Sponsorship Licence?
  7. How do I apply for a Sponsorship Licence?
  8. What are the eligibility criteria for a Sponsorship Licence?
  9. What documents are required for a Sponsorship Licence application?
  10. How long does it take to get a Sponsorship Licence?
  11. What are the duties of a Sponsorship Licence holder?
  12. What is a 'Key Personnel' role in Sponsorship Licence management?
  13. What happens when my Sponsorship Licence is Successful?
  14. What happens if my Sponsorship Licence is refused?
  15. What is the Sponsorship Management System (SMS)?
  16. What is the Resident Labour Market Test (RLMT)?
  17. Can a small business apply for a Sponsorship Licence?
  18. What is the cost of a Sponsorship Licence?
  19. How long is a Sponsorship Licence valid for?
  20. What is a UKVI compliance visit or audit?
  21. What is the difference between Refused, revoked and rejected Sponsorship Licence?
  22. Refusal
  23. Suspension
  24. Revocation
  25. What are the compliance duties for a Sponsorship Licence?
  26. How to Upgrade Sponsorship Licence application?
  27. What happens if my Sponsorship Licence application is refused?
  28. What are common reasons for Sponsorship Licence refusal?
  29. Who is a Sponsorship Licence Authorising Officer?
  30. Who are the key personnel involved with your Licence?
  31. Who can be a Key Contact on a Sponsorship Licence?
  32. Who can be a level 1 user on the Sponsorship Licence?
  33. Who cannot be a level 1 user on the Sponsorship Licence?
  34. What is the role of a Level 1 user on the Sponsorship Licence?

What is a Sponsorship Licence?

A UK Sponsorship Licence allows an organisation to sponsor eligible overseas workers to come to the UK for work. Without this licence, a UK employer cannot issue Certificates of Sponsorship, which are essential for most skilled worker visa routes.

Who needs a Sponsorship Licence?

Any UK-based employer who wishes to employ skilled workers from outside the UK, who are not otherwise exempt from immigration control, needs a Sponsorship Licence.

How much does it cost to apply for a Sponsorship Licence?

The fee for submitting a sponsor licence application will vary depending on the size of the organisation. To learn about the latest fees Click here

What are the processing times for a Sponsorship Licence?

Sponsor licence applications usually take up to 6-8 weeks to be decided by the Home Office. There is also a priority service that costs £500, which will return a decision within 10 working days. To learn about the latest fees Click here

What are the different types of Sponsorship Licences?

There are several types of Sponsorship Licences, categorised broadly:

  • Worker Licence: This includes routes like Skilled Worker, Minister of Religion, International Sportsperson, and Seasonal Worker.
  • Temporary Worker Licence: This covers various short-term routes such as Creative Worker, Charity Worker, Religious Worker, Government Authorised Exchange, and International Agreement.
  • Student Sponsor Licence: For educational institutions wishing to sponsor international students under the Student or Child Student routes.
  • Global Business Mobility Licence: This encompasses routes for multinational businesses transferring staff to the UK, including Senior or Specialist Worker, Graduate Trainee, UK Expansion Worker, Service Supplier, and Secondment Worker.

What are the ratings for a Sponsorship Licence?

If successful, the sponsors will usually be rated ‘A’ on the published register of licenced sponsors. UK Expansion Worker sponsor licence applicants may be given a ‘Provisional’ rating instead if their Authorising Officer (and Level 1 User) is an employee of the overseas business.

If a sponsor fails to meet their sponsorship licence duties, including conducting appropriate right to work checks, they could lose their licence.

How do I apply for a Sponsorship Licence?

Applications are made online through the UK Visas and Immigration (UKVI) Sponsorship Management System (SMS). You will need to complete the online form, provide supporting documents within 5 working days, and pay the relevant application fee.

What are the eligibility criteria for a Sponsorship Licence?

You must be a genuine organisation operating lawfully in the UK, with no history of immigration-related offences. You must also have appropriate HR and reporting systems in place to monitor sponsored individuals and comply with your sponsor duties. For Student Sponsor Licences, you must also demonstrate appropriate educational oversight.

What documents are required for a Sponsorship Licence application?

Required documents vary based on the licence type and your organisation’s structure, but typically include proof of your business address, HMRC registration, company bank statements, employer’s liability insurance, and evidence of your HR systems. For Student Sponsor licences, evidence of educational oversight is also required.

How long does it take to get a Sponsorship Licence?

Standard processing times for a Sponsorship Licence application are typically around 8 weeks. A priority service is available for an additional fee (£750) which aims to process applications within 10 working days.

Take the first step to Secure your Sponsorship Licence

Securing the right Sponsorship Licence is a critical step for businesses and educational institutions looking to access global talent or welcome international students. For personalised guidance and expert support tailored to your specific needs, contact Morgan Smith Immigration today to ensure a smooth and successful application.

What are the duties of a Sponsorship Licence holder?

Sponsors have various stringent duties, including reporting migrant or student activity to UKVI via the SMS, keeping comprehensive records, and complying with all UK immigration laws and wider UK legislation. Failure to comply can lead to licence revocation or downgrading.

What is a ‘Key Personnel’ role in Sponsorship Licence management?

Key Personnel are individuals within your organisation designated to manage the Sponsorship Licence. These typically include the Authorising Officer (senior and responsible for SMS actions), the Key Contact (main point of contact with UKVI), and Level 1 Users (day-to-day SMS management).

What happens when my Sponsorship Licence is Successful?

Once a sponsor has been granted a sponsor licence, they will be able to start assigning Certificates of Sponsorship to migrants who want to work for them.
Sponsors will be given access to the Sponsor Management System (SMS). This is an online portal where they can manage their sponsor licence. They must also use the system to report certain events, such as if a migrant fails to report to work.

What happens if my Sponsorship Licence is refused?

There is no right of appeal against the refusal of an application for a sponsor licence.
If the Sponsor Licence Refusal decision was the result of either a caseworker error or because supporting evidence sent as part of the application was not considered by UKVI then our immigration lawyers can assist requesting that the error be corrected and, if appropriate, submit a new online sponsor licence application.

What is the Sponsorship Management System (SMS)?

The SMS is an online tool that allows sponsors to manage their sponsorship duties and report changes

What is the Resident Labour Market Test (RLMT)?

The Resident Labour Market Test (RLMT) was largely abolished for the Skilled Worker visa route from December 2020. However, employers must still ensure that the role is a genuine vacancy and meets the relevant skill and salary requirements.

Can a small business apply for a Sponsorship Licence?

Yes, businesses of any size can apply, provided they meet the eligibility criteria, can demonstrate a genuine need for sponsorship, and can show they have suitable HR systems and processes to comply with sponsor duties.

What is the cost of a Sponsorship Licence?

The application fee for a Sponsorship Licence depends on the size and type of licence. As of May 2025, a Worker licence costs £574 for small or charitable sponsors and £1,579 for medium or large sponsors. A Temporary Worker licence costs £574 for all organisations. There are also additional costs for assigning Certificates of Sponsorship (£525 for most Worker routes, £55 for Temporary Worker routes) and the Immigration Skills Charge for Worker routes.

How long is a Sponsorship Licence valid for?

As of April 6, 2024, the requirement to renew a Sponsorship Licence every four years has been removed for most Worker and Temporary Worker licences. Licences that were due to expire on or after this date have been automatically extended by 10 years from their original grant date, and new licences are now issued with a 10-year validity period. This means sponsors no longer need to apply for routine renewal or pay a renewal fee for these licence types.

However, licences for the UK Expansion Worker and Scale-up routes under the Global Business Mobility framework typically have a validity of four years, with specific rules regarding subsequent applications for these categories. Sponsors must still adhere to all ongoing compliance duties regardless of their licence’s validity period.

What is a UKVI compliance visit or audit?

UKVI may conduct announced or unannounced compliance visits (audits) to a sponsor’s premises at any time. These visits verify that the sponsor is fulfilling all their duties, that the information provided to UKVI is accurate, and that appropriate HR and monitoring systems are in place.

Get help with your Sponsorship Licence Application

Our Lawyers are experts in helping businesses obtain a Sponsorship Licence. They have a proven track-record of success and they can assess your eligibility for this scheme. Contact us today to find out how we can assist you.

What is the difference between Refused, revoked and rejected Sponsorship Licence?

Refusal

There is no right of appeal against the refusal of an application for a sponsor licence.
If the Sponsor Licence Refusal decision was the result of either a caseworker error or because supporting evidence sent as part of the application was not considered by UKVI then our immigration lawyers can assist requesting that the error be corrected and, if appropriate, submit a new online sponsor licence application.
If the decision to refuse a sponsor licence application was unlawful, unreasonable, or procedurally improper, our immigration lawyers can apply for Judicial Review and provide representation at Judicial Review hearings.

Suspension

If UKVI believes that a sponsor is breaching their duties and posing a threat to immigration control, their sponsor licence may be suspended. If they are subject to a Sponsor Licence Suspension, they will not be able to sponsor new migrants, but their current sponsored migrants will be unaffected. UKVI may then reinstate their licence, downgrade it or revoke it

Revocation

If a sponsor is failing to meet their sponsor duties or is no longer operating in the UK, their licence will be revoked. If they are subject to a Sponsor Licence Revocation, any migrants that they sponsor will have their leave curtailed. The migrants will be given 60 calendar days to find alternative sponsorship or leave the UK

What are the compliance duties for a Sponsorship Licence?

Compliance duties for sponsors include:

  • Monitoring immigration status and preventing illegal employment
  • Maintaining migrant contact details and other records
  • Monitoring and reporting migrant activity
  • Ensuring that relevant professional registrations and accreditations have been obtained
  • Reporting various changes of circumstances to the sponsor
  • Complying with the law, including employment law and having relevant planning permission
  • Cooperating with the Home Office

How to Upgrade Sponsorship Licence application?

A sponsorship licence application once submitted can be upgraded to a Priority service. Our team of Lawyers can request your standard Licence application to a Priority one. The expedited processing of the application will cost £500 extra on top of the initial Licence fees paid.
If your licence application is accepted for the Priority Service option, you should expect the outcome with in 10 working days.

What happens if my Sponsorship Licence application is refused?

If your application is refused, UKVI will provide reasons. While there is generally no right of appeal against the refusal of an initial licence application, you may be able to reapply after addressing the issues raised, or seek legal advice on a potential judicial review.

What are common reasons for Sponsorship Licence refusal?

Common reasons include not meeting eligibility criteria, submitting insufficient or incorrect documentation, concerns about the genuineness of the business or the sponsored roles, a history of non-compliance, or key personnel having unspent criminal convictions or immigration offences.

Who is a Sponsorship Licence Authorising Officer?

The Authorising officer should be the most senior person responsible for the recruitment of all migrant workers and to ensure all sponsor duties are met.
The authorising officer does not have automatic access to the management system, they will need to request access as a level 1 or 2 users.

Who are the key personnel involved with your Licence?

When the company applies for the Sponsorship Licence must appoint personnel to carried out some administrative duties while holding the licence.

  • Authorising Officer
  • Key Contact
  • Level 1 User
  • Level 2 User

Who can be a Key Contact on a Sponsorship Licence?

A Key contact is the person who acts as the main contact between the Home Office and the sponsored company. The Home Office will contact the key contact if they have any questions about the licence application, documents, or the payment. The Key contact does not have automatic access to the Management system, they will need to request access as a level 1 or 2 users.

Who can be a level 1 user on the Sponsorship Licence?

  • An employed staff member or officeholder within your organisation
  • A UK based legal representative
  • An employee of a third-party organisation engaged by you to deliver all or part of your HR function.

Who cannot be a level 1 user on the Sponsorship Licence?

  • Contractor
  • A consultant who is contracted for a specific project.
  • A Temporary staff member supplied to you by an agency.
  • An undischarged bankrupt individual

What is the role of a Level 1 user on the Sponsorship Licence?

  • Assign Certificates of sponsorship to workers.
  • Ask for an increase in the number of COS you can assign.
  • Any changes within the organisation
  • Any changes to your details
  • Report any activity related to the Sponsored migrant.
  • Withdraw a Certificate of sponsorship
  • Change to work addresses, user details.
  • View information about the licence

How can Morgan Smith Immigration Help?

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