Section A: What is UK Visa Sponsorship?
UK visa sponsorship is the system that allows an approved UK organisation to sponsor an overseas worker under an eligible work visa route. For an employer, sponsorship means taking formal responsibility for the worker under the Home Office sponsorship system and confirming prescribed information about the role through a Certificate of Sponsorship.
Not every overseas worker needs sponsorship. British and Irish citizens can work in the UK without immigration permission, while many people with existing UK immigration status can work without an employer sponsoring them. Examples include people with settled or pre-settled status under the EU Settlement Scheme and, depending on the conditions of their permission, holders of visas such as Graduate, Global Talent, High Potential Individual and certain family routes.
Where a worker does need sponsorship, the employer will generally need a sponsor licence covering the relevant immigration route. A sponsor licence is the Home Office authorisation that allows an organisation to sponsor eligible workers. It is separate from the individual worker’s visa and does not, on its own, give anyone permission to work in the UK.
Which UK work visas require employer sponsorship?
The main sponsored work route is the Skilled Worker visa, including sponsored employment under the Health and Care Worker provisions. Other sponsored routes are available for particular types of work, including Global Business Mobility routes and several Temporary Worker routes. The type of sponsor licence an organisation needs depends on the immigration route it intends to use.
The immigration requirements vary between routes. Under Skilled Worker, for example, the employer has to hold a valid Skilled Worker sponsor licence and assign a valid Certificate of Sponsorship for an eligible role. The worker then uses the Certificate of Sponsorship reference when applying for immigration permission.
What is a Certificate of Sponsorship?
A Certificate of Sponsorship, or CoS, is an electronic sponsorship record assigned by a licensed employer to an individual worker. It records information relevant to the proposed employment and generates a unique reference number for the worker’s visa application. It is not a paper certificate and it is not a visa.
Assigning a CoS does not give the worker permission to enter, remain or work in the UK. The worker still has to make the appropriate immigration application and meet the requirements of the relevant route. Sponsorship therefore involves two linked but separate stages: the employer sponsors the role and worker through the sponsorship system, while the worker applies to the Home Office for the immigration permission needed to take up that employment.
Who is responsible for the visa application?
The employer and worker have different responsibilities. The employer is responsible for its sponsor licence, the sponsorship decision and the accuracy of the information recorded on the CoS. The worker is responsible for making the visa application and satisfying the personal requirements of the immigration route, such as any applicable English language, financial, suitability or identity requirements.
An employer should therefore avoid treating sponsorship as confirmation that a visa will be granted. A valid CoS is an important part of a sponsored work application, but the Home Office makes the immigration decision. For the employer, the first substantive question is whether the organisation and the proposed role can meet the sponsorship requirements.
DMS Insight for Employers
Do not assume sponsorship is the right starting point simply because a candidate is an overseas national. Establish their existing immigration position first. Where the individual can work under an unsponsored route, the employer may avoid sponsorship costs and compliance duties while retaining greater flexibility over the role.
Section B: Can Your Business Sponsor a Worker?
For Skilled Worker sponsorship, both the organisation and the proposed job have to satisfy the applicable requirements. Holding a sponsor licence does not make every vacancy eligible for sponsorship.
Is your organisation eligible for a sponsor licence?
An organisation applying for a sponsor licence has to be genuinely operating or trading lawfully in the UK. The Home Office will also consider whether the organisation and the people involved in running the sponsorship function are honest, dependable and reliable, including any relevant history of immigration offending, criminal conduct or previous sponsor non-compliance.
The organisation also needs appropriate systems and personnel to meet its sponsor duties. The Home Office can refuse a licence application where it is not satisfied that the organisation can comply with those duties or where the proposed sponsorship arrangements present an unacceptable compliance risk.
Does the job qualify for Skilled Worker sponsorship?
The employer has to offer a genuine job in an eligible occupation and meet the requirements that apply to that role. A vacancy cannot be created mainly so that a worker can apply for immigration permission. The Home Office can also refuse an application where it has reasonable grounds to believe the role does not exist, is a sham or has been created mainly so the worker can apply for entry clearance or permission to stay.
For most new Skilled Worker applications made from 22 July 2025, the job has to be in an occupation classified as higher skilled at RQF level 6 or above. Certain occupations at RQF levels 3 to 5 remain eligible where the Immigration Rules specifically permit sponsorship, including qualifying occupations on the Immigration Salary List or Temporary Shortage List.
The skill classification applies to the occupation rather than the worker’s qualifications. An individual does not therefore need to hold a degree simply because the occupation is classified at RQF level 6. Separate transitional provisions apply to certain existing Skilled Workers whose sponsorship predates the 22 July 2025 changes.
Choosing the correct occupation code
The employer has to identify the SOC 2020 occupation code that accurately reflects the work the individual will actually perform. Skilled Worker occupations are classified for sponsorship purposes as higher skilled, medium skilled or ineligible. Higher skilled occupations can generally qualify for new sponsorship, subject to the other requirements of the route. Medium skilled occupations are restricted to the circumstances permitted under the Immigration Rules.
Job title alone does not determine the correct occupation code. The duties, responsibilities and nature of the role should support the code selected. Choosing a code because it produces a more favourable salary requirement or immigration outcome can lead to scrutiny of the sponsorship and the worker’s application.
Does the salary qualify for sponsorship?
Sponsored worker pay and salary calculations are a growing area of Home Office scrutiny. Salary information in the SMS is no longer rubber-stamped, but increasingly challenged.
Salary is a separate eligibility test. Under the standard Skilled Worker salary option, the worker generally has to be paid at least £41,700 a year and the full applicable going rate for the occupation, whichever is higher. Different salary options can apply depending on the worker’s circumstances and the job being sponsored.
Different provisions apply to certain health and education occupations and to cases where the Immigration Rules permit sponsorship at a lower general threshold or percentage of the going rate. Jobs on the Immigration Salary List can also benefit from specific salary provisions, while transitional rules apply to some existing Skilled Workers. Placement on the Temporary Shortage List does not, in itself, provide a salary discount.
Employers should therefore identify the correct occupation code and establish that the job is eligible before applying the salary rules relevant to that worker and role. Meeting a salary threshold cannot make an otherwise ineligible job eligible for sponsorship.
Who manages visa sponsorship for the employer?
A sponsor licence has to be managed by nominated key personnel. The Authorising Officer is the senior person responsible for the organisation’s sponsor licence and compliance with its sponsorship duties. The Key Contact acts as the main point of contact with UKVI, while Level 1 Users carry out the day-to-day management of the licence through the Sponsor Management System, including assigning Certificates of Sponsorship and reporting relevant changes.
Some sponsorship functions can be handled by an eligible external representative, but the employer cannot outsource responsibility for sponsor compliance. The organisation remains accountable for its licence, the conduct of its key personnel and the accuracy of information submitted through the sponsorship system. Employers should therefore ensure that responsibility for sponsorship is clearly allocated internally, with appropriate oversight when external advisers are given access to the licence.
DMS Insight for Employers
Test sponsorship feasibility before making an unconditional job offer. A sponsor licence does not solve a role that fails the occupation or salary requirements. Checking the proposed duties, occupation code and remuneration structure early can prevent the business committing to a candidate it cannot ultimately sponsor for that job.
Section C: How Does UK Visa Sponsorship Work?
For an employer, UK visa sponsorship moves from securing the necessary Home Office permission to assigning sponsorship to the individual worker. The precise procedure depends on the immigration route and whether the worker is applying from inside or outside the UK.
Under the Skilled Worker route, the main employer stages are obtaining the appropriate sponsor licence, securing the required Certificate of Sponsorship allocation or approval and assigning the CoS to the worker. The worker then makes their own immigration application using the sponsorship reference provided by the employer.
1. Apply for a sponsor licence
An employer that does not already hold the required sponsor licence has to apply to the Home Office. The application is made online, with the relevant fee and supporting documents submitted in accordance with the sponsor guidance.
Most sponsor licence applications are currently decided in less than eight weeks, although the Home Office may carry out a compliance visit or request further information before reaching a decision. An eligible applicant can use the sponsor licence priority service for an additional fee, with a target decision time of 10 working days.
Once the licence is granted, the organisation is given access to the Sponsor Management System (SMS), which is used to administer the licence and sponsorship activity.
2. Obtain the required Certificate of Sponsorship
The next step depends on where the Skilled Worker is applying from. A Defined Certificate of Sponsorship is generally required for a Skilled Worker applying for entry clearance from outside the UK. The employer applies for the Defined CoS through the SMS before it can be assigned to the worker.
For Skilled Worker applications made from within the UK, the employer generally uses an Undefined Certificate of Sponsorship from its available annual allocation. If the sponsor does not have sufficient allocation available, it will need to request an increase through the SMS before assigning the CoS.
The distinction affects recruitment timing. Employers recruiting from overseas need to allow for any Defined CoS approval stage, while sponsors recruiting someone already in the UK should check their available Undefined CoS allocation before fixing the immigration timetable.
3. Assign the Certificate of Sponsorship
Once the appropriate CoS is available, an authorised Level 1 or Level 2 user assigns it to the worker through the SMS. The sponsor enters the prescribed information about the worker and proposed employment and pays the applicable CoS fee. An Immigration Skills Charge may also be payable, depending on the route and circumstances. Sponsorship costs are considered in Section D.
Accuracy at assignment matters. Certain errors can be addressed through a sponsor note, but other changes may require the CoS to be withdrawn and a new one assigned. The correct action depends on the nature of the error and whether the worker has already submitted their immigration application.
4. The worker applies for their visa
After assignment, the employer gives the worker the CoS reference number needed for their application. For a Skilled Worker application, the worker has three months from the date the CoS is assigned to use it in an application for entry clearance or permission to stay. The application also cannot be made more than three months before the start date recorded on the CoS.
The immigration application is made by the worker rather than the sponsor. The Home Office then considers the application against the requirements of the relevant route. Employers should build that separate decision stage into recruitment planning rather than treating assignment of the CoS as the end of the immigration process.
5. Confirm permission before employment starts
A sponsored worker should not be treated as cleared to start work merely because a CoS has been assigned or an immigration application has been submitted. Before employment begins, the employer needs to establish that the individual has the required right to work for the proposed employment and carry out the prescribed right to work check.
Where a worker makes a valid in-time application and section 3C of the Immigration Act 1971 applies, their existing immigration permission can continue while the application is pending. The worker normally remains subject to the conditions of that existing permission during this period. Whether they can start the proposed sponsored role before a decision therefore depends on those conditions and any specific provision permitting work to begin earlier.
The sponsorship timetable should therefore be planned backwards from the intended start date. Sponsor licence processing, CoS availability, the worker’s immigration application and confirmation of the right to work can each determine when employment can lawfully begin.
DMS Insight for Employers
Treat immigration clearance as a dependency in the recruitment timetable. Having a sponsor licence does not mean a worker can start immediately. CoS availability, application timing and the individual’s existing immigration position can all affect the lawful start date, with operational consequences where the hire is filling a business-critical vacancy.
Section D: How Much Does UK Visa Sponsorship Cost?
The cost of UK visa sponsorship depends mainly on the size of the organisation, the immigration route and how long the worker will be sponsored. For a Skilled Worker, the direct employer costs can include the sponsor licence fee, the Certificate of Sponsorship fee and the Immigration Skills Charge. Visa application costs sit separately with the worker unless the employer chooses to fund them.
Sponsor licence fee
An employer applying for a Worker sponsor licence currently pays £611 if it qualifies as a small or charitable sponsor and £1,682 if it is a medium or large sponsor. The licence fee is an organisational cost rather than a charge for each sponsored worker.
The employer is responsible for the sponsor licence fee and associated administrative costs. The Home Office will normally revoke a sponsor licence where the organisation recoups or attempts to recoup the Skilled Worker sponsor licence fee or associated administrative costs from a sponsored worker, where the recoupment or attempted recoupment takes place on or after 31 December 2024.
Certificate of Sponsorship fee
Assigning a Certificate of Sponsorship under a Worker route currently costs £525 for each worker, apart from the separate fee structure for International Sportsperson sponsorship. The £525 fee therefore applies to a Skilled Worker CoS.
The sponsor is responsible for the CoS fee and associated administrative costs. The Home Office will normally revoke the licence where the sponsor recoups or attempts to recoup those costs from the sponsored worker in circumstances covered by the current sponsor guidance.
Immigration Skills Charge
The Immigration Skills Charge is usually the largest direct sponsorship cost for employers where it applies. The amount is determined by the sponsor’s size and the length of sponsorship.
A small or charitable sponsor currently pays £480 for the first 12 months and £240 for each additional six months. A medium or large sponsor pays £1,320 for the first 12 months and £660 for each additional six months. The charge is paid in full when the CoS is assigned.
For three years of sponsorship, the Immigration Skills Charge is £1,440 for a small or charitable sponsor and £3,960 for a medium or large sponsor. Over five years, the charge rises to £2,400 and £6,600 respectively.
The employer has to pay the Immigration Skills Charge itself and cannot require the sponsored worker to reimburse it. Refunds can arise in defined circumstances, including where the visa application is refused or withdrawn, the worker does not take up the job or the sponsored employment ends earlier than expected.
What does it cost an employer to sponsor a Skilled Worker?
For an employer that already holds the required licence, a three-year Skilled Worker sponsorship will typically generate £1,965 in mandatory sponsorship charges for a small or charitable sponsor: £525 for the CoS and £1,440 Immigration Skills Charge. For a medium or large sponsor, the equivalent figure is £4,485. These figures assume the Immigration Skills Charge applies and exclude optional services and professional fees.
A business obtaining its first Worker sponsor licence would also need to add the licence application fee. On the same three-year example, the Home Office sponsorship charges would therefore total £2,576 for a small or charitable sponsor and £6,167 for a medium or large sponsor.
The commercial difference becomes more significant where several workers are sponsored. The licence application is an organisational cost, but the CoS fee and any applicable Immigration Skills Charge arise for each sponsored worker. Employers planning sustained international recruitment should therefore budget on a per-hire basis rather than treating sponsorship as a one-off licence expense.
Who pays the Skilled Worker visa fees?
The worker’s immigration costs are separate from the employer’s mandatory sponsorship charges. A standard Skilled Worker application made outside the UK currently costs £819 for up to three years or £1,618 for more than three years. For an application made inside the UK, the corresponding standard fees are £943 and £1,865. Lower application fees apply where the sponsored job is on the Immigration Salary List.
Most Skilled Worker applicants also pay the Immigration Health Surcharge, currently £1,035 for each year of immigration permission. Eligible Health and Care Worker applicants pay reduced application fees and are exempt from the Immigration Health Surcharge.
An employer can choose to meet some or all of the worker’s visa costs as part of its recruitment package, but those payments are distinct from the sponsorship charges the employer is required to bear. The budget decision can materially change the overall cost of an international hire, particularly where the employer also funds dependant applications, priority processing or immigration advice.
For workforce budgeting, the useful distinction is between mandatory sponsor costs and optional recruitment support. The former can be calculated from the sponsorship route, organisation size and proposed period of employment. The latter depends on how much of the worker’s immigration expenditure the employer agrees to fund.
DMS Insight for Employers
Model sponsorship cost over the expected employment period, not simply at the point of hire. The commercial exposure increases with sponsorship duration, repeat recruitment and any worker or dependant costs the business agrees to fund. For larger sponsored populations, immigration spend should be a defined workforce budget rather than an incidental recruitment expense.
Section E: What Are an Employer’s Responsibilities After Sponsorship?
Sponsorship duties continue for as long as the organisation holds its licence and sponsors workers. The employer has to maintain prescribed records, report specified changes to the Home Office, monitor sponsored workers and ensure that the employment continues to reflect the basis on which sponsorship was granted. Failure to comply can result in sponsor action, including suspension or revocation of the licence.
Keep sponsorship and right to work records
Sponsors have to retain the documents specified in Appendix D to the sponsor guidance. These include evidence relating to the sponsored worker, the recruitment and employment arrangements and the right to work check carried out by the organisation. The records have to be available if requested by the Home Office as part of a compliance assessment.
Right to work compliance sits alongside the sponsorship regime rather than being replaced by it. The employer has to establish that the worker has permission to undertake the work in question and retain the required evidence of the check. Where immigration permission is time-limited, further checks may be required before the statutory excuse expires.
Report changes affecting sponsored workers
Specified changes to a sponsored worker’s circumstances generally have to be reported through the Sponsor Management System within 10 working days. Reportable events include a worker failing to start within the permitted period, absence without permission for more than 10 consecutive working days, certain reductions in salary or pay and sponsorship ending earlier than expected. Specified changes affecting the sponsoring organisation are generally subject to a 20-working-day reporting period unless the guidance provides otherwise.
Not every change can be dealt with simply by updating the SMS. A material change to the worker’s role, occupation or other sponsored employment terms may affect the immigration permission itself and can require a new Certificate of Sponsorship and a further immigration application before the change takes effect. Employers should assess the immigration consequences before implementing a significant contractual change.
Monitor the sponsored role in practice
The employment actually carried out has to remain consistent with the role being sponsored. Sponsors should be able to show that the worker is performing the duties and responsibilities stated for the job and is working under the employment arrangements relied on for sponsorship. Home Office compliance activity can examine the reality of the role rather than relying solely on the information recorded when the worker was sponsored.
The 2026 salary rules require closer monitoring of actual pay during sponsorship. The applicable going rate has to be met for every hour worked in each pay period, while the annual salary requirement is tested over the prescribed reference period for the worker’s pay frequency or working pattern. Employers can therefore face a sponsorship problem where actual payroll does not remain aligned with the salary basis on which the worker is sponsored.
Employment law compliance remains part of sponsor compliance
Sponsoring a worker does not displace the employer’s ordinary employment law obligations. Sponsored workers remain protected by legislation governing matters such as the National Minimum Wage, working time, holiday entitlement and other statutory employment rights.
Current Home Office sponsor guidance expressly makes compliance with wider UK law part of the sponsor’s duties, including compliance with the National Minimum Wage and Working Time Regulations. The sponsored job has to remain lawful in practice throughout the period of sponsorship.
An immigration salary threshold should therefore not be treated as the employer’s only pay compliance test. A worker may satisfy the annual sponsorship salary requirement while separate issues arise over hourly pay, deductions, unpaid working time or working patterns. Equally, excessive hours or inaccurate recording of working time can create both employment law and sponsor compliance concerns.
Payroll records, contracts, working patterns and evidence of the duties actually performed can all become relevant when the Home Office assesses whether sponsored employment is genuine and compliant. Sponsor compliance should therefore sit alongside payroll and employment law controls rather than operate as a standalone HR process.
Manage absence and non-attendance
Absence can create separate sponsorship risks depending on whether it is authorised and whether pay is affected. A sponsored worker who is absent from work without permission for more than 10 consecutive working days generally has to be reported to the Home Office within the applicable reporting period.
Absence without pay or on reduced pay for more than four weeks in total during a calendar year can also affect sponsorship unless an exception applies under the sponsor guidance. Employers should check the immigration position before agreeing extended unpaid leave, reduced-pay arrangements or another absence that materially changes the sponsored employment.
Report when sponsorship ends
Where sponsored employment ends earlier than expected, the sponsor generally has to report the change to the Home Office through the SMS within the applicable reporting period. The report should accurately record the circumstances and the worker’s last known contact details where required.
The employer does not cancel the worker’s immigration permission itself. Any decision to shorten or cancel that permission is made by the Home Office. The sponsor’s responsibility is to make the required report promptly and retain an adequate record of the employment ending.
What happens if an employer breaches its sponsor duties?
The Home Office can investigate compliance before or after a licence is granted and can conduct announced or unannounced compliance activity. The response to a breach depends on its nature and seriousness and can include licence downgrading, suspension or revocation. Revocation can affect the organisation’s ability to sponsor its existing workforce as well as recruit new sponsored workers.
For employers, the main governance risk is treating sponsorship as a recruitment exercise that ends once the visa is granted. The higher-risk failures usually arise later: an unreported contractual change, salary falling below the required level, poor records, inaccurate working-time data or employment practices that no longer match the sponsored role. Effective sponsor management therefore requires immigration, HR, payroll and employment law controls to operate together.
DMS Insight for Employers
Sponsor compliance is no longer confined to the immigration team. Payroll changes, working patterns, absence management and decisions made by line managers can create immigration consequences. Employers with sponsored workforces need controls that connect immigration, HR, payroll and operational management so that changes are identified before they become reportable breaches or undermine the basis of sponsorship.
Summary
UK visa sponsorship gives employers access to overseas talent, but it brings financial, operational and compliance exposure. The organisation, role and salary have to meet the relevant immigration requirements, sponsorship costs can be significant and Home Office duties continue throughout the worker’s employment. Employers also need to manage changes to pay, duties, absence and employment status carefully, while maintaining wider employment law compliance. A weak sponsorship process can affect individual visa outcomes and place the sponsor licence at risk, so immigration, HR and payroll controls need to remain aligned.
Need Assistance?
DavidsonMorris advises employers on all aspects of UK visa sponsorship, from sponsor licence applications and individual sponsorship decisions to ongoing compliance and Home Office scrutiny. If you are planning to sponsor a worker or need advice on an existing sponsored workforce, speak to our UK immigration lawyers for advice on your organisation’s position and next steps. Contact us or you can book a fixed-fee telephone consultation to speak with one of our specialist business immigration solicitors.
UK Visa Sponsorship FAQs
Can a UK employer sponsor any foreign worker?
No. The employer, role and worker all have to meet the requirements of the relevant sponsored work route.
Does every overseas worker need visa sponsorship?
No. Some workers already have UK immigration status that allows them to work without employer sponsorship.
Can a small business sponsor a Skilled Worker?
Yes. Small businesses can hold sponsor licences if they meet the Home Office eligibility and compliance requirements.
Can an employer sponsor a part-time Skilled Worker?
Potentially. Part-time roles can qualify, but the applicable salary, going rate and hourly pay requirements still have to be met.
Does sponsorship guarantee a UK visa?
No. Sponsorship supports the application, but the Home Office decides whether the worker meets the immigration requirements.
How long does UK visa sponsorship last?
It depends on the sponsored route, the employment period and the worker’s immigration permission.
Can a sponsored worker change employer?
Yes. A Skilled Worker will normally need sponsorship from the new employer and a new immigration application before starting the new role.
What happens if a sponsored worker resigns?
The employer has to report the end of sponsorship to the Home Office within the applicable reporting period.
Can an employer withdraw sponsorship?
Yes. If sponsorship ends, the employer has to report the change and keep an appropriate record.
Can an employer recover sponsorship costs from the worker?
Certain costs cannot be recovered. Sponsors cannot pass the Immigration Skills Charge to the worker, and current Home Office rules also prohibit recovery of specified sponsor licence and CoS costs.
Can a sponsored worker work for another employer?
Sometimes, but only within the conditions of their immigration permission. Secondary work is not automatically unrestricted.
What happens if a sponsored worker’s role changes?
Some changes can be reported through the SMS. More significant changes may require a new CoS and a further immigration application.
Glossary
| Term | Definition |
|---|---|
| Sponsor licence | Home Office permission to sponsor eligible workers. |
| Certificate of Sponsorship (CoS) | Electronic sponsorship record used for a sponsored visa application. |
| Defined CoS | CoS generally used for Skilled Worker applications from outside the UK. |
| Undefined CoS | CoS generally used for Skilled Worker applications from within the UK. |
| Sponsor Management System (SMS) | Online system used to manage a sponsor licence and sponsored workers. |
| Immigration Skills Charge (ISC) | Employer charge payable in certain sponsored work cases. |
| Occupation code | SOC 2020 code used to classify a sponsored job. |
| Going rate | Occupation-specific salary benchmark used for Skilled Worker sponsorship. |
| Immigration Salary List (ISL) | List of occupations benefiting from specified Skilled Worker provisions. |
| Temporary Shortage List (TSL) | List allowing certain medium-skilled jobs to qualify for sponsorship. |
| Right to work check | Employer check confirming permission to undertake the proposed work. |
| Sponsor duties | Ongoing reporting, record keeping and compliance obligations. |
Additional Resources
| Resource | Link |
|---|---|
| UK visa sponsorship for employers | https://www.gov.uk/uk-visa-sponsorship-employers |
| Workers and Temporary Workers: sponsor guidance | https://www.gov.uk/government/collections/sponsorship-information-for-employers-and-educators |
| Sponsor a Skilled Worker | https://www.gov.uk/government/publications/sponsor-a-skilled-worker |
| Sponsor duties and compliance | https://www.gov.uk/government/publications/workers-and-temporary-workers-guidance-for-sponsors-part-3-sponsor-duties-and-compliance |
| Register of licensed sponsors: workers | https://www.gov.uk/government/publications/register-of-licensed-sponsors-workers |
