UK Employer Sponsor Licence: Expert Guidance from MYG LTD Immigration

Applying for a Licence involves meeting specific criteria set by the Home Office UKVI. My goal is to guide you through each step, ensuring your application is meticulously prepared for success.

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General Eligibility Sponsorship Licence Requirements in UK

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To be approved, your business must satisfy these general UKVI eligibility requirements:

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• Genuine Organisation: You must be a genuine organization operating lawfully in the UK. This involves providing specific documentation as outlined in Appendix A of the UKVI guidance, varying based on your business type (e.g., public authority, start-up, charity, listed company).

• Honest, Dependable, and Reliable: You must demonstrate a history of lawful operation, with no adverse records or behaviours that are not conducive to the public good.

• Justification for Licence: You must explain why your organization requires a sponsor licence.

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Route-Specific Criteria

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In addition to general criteria, the Skilled Worker visa route requires specific commitments:

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• Appropriate Systems and Processes: You must have robust systems for record-keeping and compliance with immigration laws.

• Genuine Employment Requisite: The job offer must be a genuine vacancy by UK sponsor that meets the skill and salary prerequisites. You must demonstrate a credible need for the role that cannot be filled by a British, Irish or settled worker.

• Direct Employer-Employee Relationship: The Skilled Worker visa route requires a direct employment relationship; the worker cannot be hired to perform ongoing tasks for an unrelated third party.

 

Appointing Key Personnel: Understanding Key Personnel Requirements for UK Sponsor Licence

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When applying for a sponsor licence, you must appoint key personnel who will play crucial roles in managing your licence and interacting with the Home Office. These roles include:

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• Authorising Officer: A senior individual within your company or organization who holds overall responsibility for the licence and ensuring compliance with UK employer sponsorship duties.

• Key Contact: This person serves as the main point of contact between your business and the Home Office (can be a legal representative like me).

• Level 1 User: This individual is responsible for day-to-day management via the Sponsorship Management System (SMS).

 

Each key personnel must meet specific criteria, including being based in the UK, having no unspent criminal convictions, no civil penalties, no adverse immigration history, and being a paid member of your staff or engaged as an 'office holder.'

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Understanding Your Sponsor Duties & Compliance

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Once you obtain your Sponsor Licence, your responsibilities shift to maintaining compliance and fulfilling your sponsor duties UK. My recruitment background immigration advisor insight gives me unique understanding into establishing robust HR and recruitment procedures that align with UK work permit visa and immigration requirements.

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Maintaining an 'A' Rating

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Upon a licence's approval, your organization will be granted an A-rated sponsor licence. To maintain this, you must consistently fulfil your UK employer sponsorship duties. These include providing employer guidance on certificate of sponsorship allocation, as well as other obligations such as monitoring your sponsored workers and reporting any changes to the Home Office.

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• Record-Keeping: Maintaining comprehensive records of sponsored workers.

• Reporting Duties: Promptly reporting any changes or breaches of your duties to the Home Office.

• Compliance Management: Ensuring your HR practices align with UK visas and immigration requirements under the Sponsorship Management System (SMS).

 

Failure to meet these obligations may result in a downgrade to a 'B' rating, requiring a time-limited action plan to regain compliance. Persistent non-compliance can lead to licence revocation.

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Key Compliance Areas

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• Skill Level Requirements: The job offered must typically require work experience at RQF level 3 or above. You must correctly identify and assign an SOC code sponsor licence that genuinely reflects the role.

• Salary Level Requirement: The salary offered must meet or exceed the general salary threshold (currently £41,700 per year or £21.38 per hour for most roles as of (July 2025) or the occupation's "going rate," whichever is higher. Be aware of "tradable points" for PhDs, shortage occupations, or new entrants, which can reduce the salary threshold.

• Genuine Employment Requirement: The Home Office will assess that the job vacancy you are offering is genuine and not created solely for visa purposes.

• Avoiding Third-Party Temporary Worker(s): The Skilled Worker visa route requires a direct employer-employee relationship. You cannot assign a CoS for a role that involves temporary worker tasks for a third party who is not the sponsor.

 

Financial & Administrative Considerations

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Understanding the costs and timelines is vital for planning your Skilled Worker Sponsor Licence application.

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• Application Costs: The cost of a sponsorship licence depends on your organization's size: £536.00 for small companies/charities, and £1,476.00 for medium/large.

• Immigration Skills Charge Employer: You are required to pay the Immigration Skills Charge for each Skilled Worker visa applicant you sponsor. This is £1,000 per year per foreign national, with a reduced rate of £364 per year for small or charitable organizations. This charge helps fund domestic skills development.

• Processing Times: Licence applications typically take up to 8 weeks, but a priority service is available for an additional £500, guaranteeing a decision within 10 working days.

• Licence Validity: Approved licences are valid for 4 years. You will need to sponsor licence renewal before expiry to continue sponsoring candidates.

 

Refused Applications: There is no right of appeal if your application is refused, and a six-month cooling off period will be imposed before reapplication. For more information about How to get skilled worker visa in UK check out our post: UK employer sponsorship Step-by-step Guide.