Sponsor Licence Applications

Sponsor Licence applications are essential for UK businesses seeking to hire skilled workers from outside the UK. In a globalised economy where talent knows no borders, securing a sponsor licence is more than a legal requirement, it’s a strategic step toward accessing critical skills that drive business growth. Our business immigration solicitors provide tailored guidance through every stage of the sponsor licence process, helping you navigate the complexities with confidence, efficiency, and full compliance.

What is a Sponsor Licence and which businesses need one?

A Sponsor Licence is official permission granted by the UK Home Office that allows businesses to hire skilled workers from outside the UK.

It is a legal requirement for businesses that want to sponsor non-UK nationals under certain work visa routes to have a licence. Being able to hire overseas skilled talent may be vital to the successful operation and growth of many businesses due to the skills shortages in the UK labour market.

How do I apply for a UK Sponsor Licence?

Here's a step-by-step guide to submitting a sponsor licence application:

Prepare your business

Ensure your business meets the eligibility criteria set by the Home Office. This includes having the necessary HR systems, contract of employment in place and ensuring your business is legally operating in the UK (i.e pension and employment contract).

Assign roles such as the Authorising Officer, Key Contact, and Level 1 User within your business.

Collate required documents

Collect documents that prove your business's legitimacy, financial stability, and ability to comply with sponsorship obligations. These documents include your company's financial statements, proof of business premises, and PAYE registration.

Complete the online application form

Our immigration solicitors can provide expert guidance to assist you with this process.

Pay the application fee

The sponsor licence application fee for smaller businesses is £574, while for larger employers, the licence application fee is £1,579.

Submit the application

The online sponsor licence application form should only be submitted once the Authorising Officer is satisfied that the organisation has the necessary systems in place to comply with its sponsor duties and obligations and fully understand its obligations.

What are the requirements for sponsors?

Becoming a UK sponsor allows businesses to hire international talent, but it comes with strict requirements and ongoing duties to ensure compliance with immigration laws.

To be eligible for a sponsor licence, your business must:

• Be a genuine, lawfully operating UK organisation with a real need for overseas workers.
• Demonstrate that you are honest, dependable, and reliable, with no serious immigration or criminal convictions.
• Have adequate HR and record-keeping systems in place.
• Appoint key personnel (Authorising Officer, Key Contact, Level 1 User) to manage the licence.
• Comply with all wider UK laws (e.g., employment, health and safety).

Once you have a sponsor licence, your ongoing duties include:

• Reporting Duties
• Record-Keeping Duties
• Monitoring and Tracking Duties
• Compliance with Immigration and Wider UK Law
• Cooperation with the Home Office

Failure to meet these duties can lead to severe penalties, including suspension or permanent revocation of your sponsor licence, civil penalties, and even criminal investigation. It's crucial for businesses to understand and diligently fulfil their sponsor responsibilities to avoid disruption and maintain their ability to recruit globally.

How long does it take to get a decision from the Home Office?

Standard processing for a Sponsor Licence application is around 8 weeks from submission.

A priority service is available for an additional fee, aiming for a decision within 10 working days, subject to availability.

What can you do if a sponsor licence is refused?

If your application is refused, there is no right of appeal or administrative review, but you have options:

• Request Reconsideration: If the refusal was due to a factual error or overlooked documents, you can ask for a review within 14 days.
• Reapply: Address the issues raised in the refusal letter before submitting a new application. A cooling-off period of up to 12 months may apply for serious breaches.
• Judicial Review: If you believe the decision was unlawful or procedurally unfair, you can challenge it in the High Court. This is complex and requires specialist legal advice.

If the application was rejected as invalid, you can correct the error and reapply immediately.

What happens if a business fails to meet its sponsor duties?

Non-compliance can lead to serious consequences, including:

• Licence Downgrade: From A-rating to B-rating, restricting your ability to sponsor new workers.
• Suspension or Revocation: Loss of your licence means sponsored workers’ visas may be curtailed.
• Civil Penalties: Fines of up to £60,000 per illegal worker for repeat breaches.
• Criminal Investigation: For serious breaches, such as knowingly employing illegal workers.

Revocation can disrupt operations, damage reputation, and trigger a 12-month cooling-off period before reapplying.

How long is a licence valid?

Your business will be granted a sponsor licence for 4 years unless it is revoked by the Home Office for failing to comply with sponsor duties. You can add categories to your existing licence using the Sponsor Management System. You must renew your licence before expiry should you wish to continue to sponsor migrant workers.

Top 5 Sponsor Licence Application Tips

1. Understand your obligations

Know the compliance requirements before applying.

2. Prove a genuine vacancy

Ensure the role meets skill and salary thresholds.

3. Submit correct documents

Missing or incorrect paperwork is a common reason for refusal.

4. Prepare for compliance visits

Be ready for Home Office checks at any time.

5. Appoint key personnel

Assign an Authorising Officer, Key Contact, and Level 1 User to manage the licence. Ensure at least one key personnel member is always available to report changes promptly via the Sponsorship Management System (SMS) to maintain compliance.

Speak to our business immigration solicitors

If you are exploring your options for a visa or require international business advice, our highly experienced solicitors will assist you in exploring all your options. We advise businesses and individuals, including executives and senior management teams on all aspects of business immigration including visas. You can get in touch by completing the form below.

Contact Our Business Immigration Team