Sponsor Licence Duties and Responsibilities
Sponsor Licence Compliance
Managing Sponsor Licence Compliance can be complex, but UK Visas provides full support to help employers meet Home Office requirements and continue hiring skilled overseas workers.
Reporting Duties
Sponsors must report major organisational and employee-related changes, including:
- Mergers, acquisitions, or ownership changes
- Updates to key personnel
- Hybrid or remote working arrangements
- Changes in company size classification (within 20 working days)
Record-Keeping Duties
Employers must keep accurate records for all sponsored workers, such as:
- Immigration documents and visa status
- Contact details
- Job descriptions, salaries, and employment history
Certificate of Sponsorship (CoS) Management
Assign CoS only to eligible workers and ensure the correct type is used:
- Defined CoS – for applicants outside the UK
- Undefined CoS – for applicants inside the UK
Sponsorship Management System (SMS)
Use the SMS to maintain compliance by updating records, reporting changes, and assigning CoS correctly. Keeping the system up to date is essential for Home Office audits.
What is Sponsor Licence Compliance?
Sponsor Licence Compliance refers to the legal duties and obligations set by the Home Office for organisations that employ overseas workers under a valid sponsor licence. These requirements are essential to ensure responsible and lawful sponsorship. Failing to meet them can result in serious consequences, including financial penalties or the suspension or revocation of your sponsor licence.
Record-Keeping
Record-Keeping
Proper record-keeping is a fundamental requirement for all sponsor licence holders. It ensures transparency, supports compliance with immigration rules, and demonstrates to the Home Office that your organisation is fulfilling its sponsorship duties responsibly.
Computerised Government Records
Your internal systems should align with Home Office and government data requirements. This ensures seamless verification, reduces discrepancies, and supports accurate reporting. Computerised systems also make it easier to track changes, update worker information, and provide clear audit trails during compliance inspections.
Accurate Records
Maintaining accurate and up-to-date records is more than an administrative task—it is essential for proving compliance during audits or Home Office visits. Sponsors must keep detailed records for every sponsored worker, including:
- Employment contracts outlining job roles, duties, salary, and working conditions
- Payroll records showing salary payments that meet the minimum thresholds
- Attendance logs confirming regular attendance and highlighting unexplained absences
These documents help verify that sponsored workers are employed in accordance with the terms stated in their Certificate of Sponsorship.
Sponsor Licence
Sponsor Licence Compliance Audits and Visits
Pre-Licence Compliance Visits
Before a sponsor licence is approved, the Home Office may carry out a pre-licence compliance visit to assess your organisation’s systems, processes, and overall readiness. This is an important part of the preparation for those understanding how to obtain a UK sponsor licence, as it ensures your organisation is fully compliant before applying.
Post-Licence Compliance Visits
Once your sponsor licence is granted, the Home Office may conduct periodic post-licence compliance visits. These checks verify that your organisation continues to meet all sponsorship duties and is managing sponsored workers correctly.
Internal Compliance Audits
Carrying out regular internal audits is vital for maintaining strong compliance. These audits should review your record-keeping, reporting processes, SMS management, and all other areas linked to sponsor licence duties, helping you identify and correct issues before a Home Office inspection.
Benefits of Being Compliant
Benefits of Being Compliant
Maintaining Sponsor Licence Compliance is more than simply fulfilling legal obligations—it helps create a stable and trustworthy platform for your organisation and its workforce. By remaining compliant, employers can operate confidently, reduce risks, and support a positive, professional environment for sponsored employees. Key benefits include:
Avoiding Penalties
Staying compliant protects your organisation from significant consequences such as financial penalties, downgrading, suspension, or even the revocation of your sponsor licence.
Streamlined Processes
A strong compliance history helps ensure smoother and faster processing of future visa applications, reducing delays and administrative challenges for both the employer and sponsored workers.
Enhanced Reputation
Demonstrating compliance showcases your organisation’s integrity and commitment to lawful and ethical employment practices, strengthening your credibility within your industry and the wider business community.
FAQ
Frequently Asked Questions
To obtain and maintain a sponsor licence, an organisation must:
- Demonstrate a genuine need to hire overseas workers.
- Keep accurate, up-to-date records for all sponsored employees.
- Report significant organisational changes to the Home Office.
- Issue Certificates of Sponsorship only to eligible workers.
- Use the Sponsorship Management System (SMS) effectively to manage sponsorship duties.
Preparation steps include:
- Ensuring all employee records and sponsorship documentation are accurate and up to date.
- Making key personnel available for interviews or queries.
- Being fully familiar with your responsibilities and duties as a sponsor licence holder.
Non-compliance can lead to serious penalties, such as:
- Fines or civil penalties.
- Downgrading of your sponsor licence rating.
- Temporary suspension or permanent revocation of your licence.
