Sponsor Licence Renewal

Sponsor Licence duration is for a period of 4 years. Sponsors must apply for a Sponsor Licence renewal every four years to be eligible to hire non-UK resident professionals. UK-based employers who do not have a valid Sponsor Licence will be unable to hire new skilled workers from either EU or non-EEA countries or extend work permits for current sponsored employees, under the UK immigration system. The company must submit an application through the Sponsorship Management System and pay the Sponsor Licence renewal fee.

Sponsor Licence Renewal Fee:

Sponsor License renewal fees vary depending on the size of the company and discounted rates apply to charities and small business firms. It is important to pay an accurate fee. Otherwise, the renewal application will be rejected.

According to the Companies Act 2006, to qualify as a small business (SME), the organization must meet at least two of the following criteria:

  • Annual sales should not exceed £10.2 million.
  • Total assets should not exceed £5.1 million.
  • The average number of employees should not exceed 50.

If these conditions do not apply, then the organization will have to pay a medium or large enterprises Sponsor Licence Fee.

Type of licence Fees in British Pounds (prices updated as of June 2022)
Worker Sponsor Licence (large sponsors) £1476
Worker Sponsor Licence (small sponsors) £536
Student Sponsor Licence £536
Temporary Worker Sponsor Licence £536
Worker and Temporary Worker Sponsor Licence (large sponsor) £1,476
Worker and Student Sponsor Licence (large sponsor) £1,476
Worker, Temporary Worker and Student Sponsor Licence (large sponsor) £1,476
Temporary Worker and Student Sponsor Licence £536
Worker Sponsor Licence (large sponsor), where sponsor currently holds a Temporary Worker and/or Student Sponsor Licence £940

Sponsor Licence Renewal Process:

  • The Home Office will execute the application in two stages: validation checks and the review stage. When the renewal has been submitted through SMS and the appropriate money has been paid.
  • The caseworker will check the status of the existing Sponsor Licence, such as whether it is A-rated or subject to an action plan, and ensure that there are no difficulties with the renewal application that would result in a denial, such as failure to provide supplementary documentation on time.
  • The review step is concerned with the checks that will be done to verify continuous eligibility for the licence, including checks against nominated key persons and the organisation itself, to ensure that it continues to operate legally in the UK and is appropriate to be a licenced sponsor.
  • Generally, this includes checking Companies House records to confirm business continuity in the UK and checking the organization’s SMS containing information about the organisation, its sponsor employees, and the sponsor certificate issued.
  • If the Home Office needs more detailed information, it may request additional information or documentation from the organisation. Companies usually respond within 5 days. In some cases, sponsors may only be eligible for “Streamlined Licence Renewal”. This applies if the sponsor has renewed the license twice in the past and the renewal is allowed without compliance or issues.

Due to the streamlined process, the following will not be checked as part of the renewal:

  1. Company & insolvency checks,
  2. Certificate of sponsorship allocations,
  3. Licence structure,
  4. Site inspection history,
  5. Outstanding change requests,
  6. Risk profiles,
  7. Accreditation, and registration details, unless the sponsor is operating in the Education or Human Health and Social Work Activities sectors,
  8. Other trading checks,
  9. Compliance visit referral,
  10. Record a review outcome in case actions in Metastorm, or
  11. Issue a decision letter.

The Sponsor Licence renewal application should always be made before the present licence expires. Sponsors can apply to renew their licence 3 months before their existing licence is due to expire.