Sponsor Licence Statistics

How much does a sponsor licence cost?

Inevitably, the end of the free movement of workers from Europe has increased the costs of hiring overseas skilled workers. However, it's worth noting that the costs of obtaining and maintaining sponsor licences are often perceived to be much higher than they actually are.

The cost of obtaining a sponsor licence varies between £536 and £1,476 depending on the size and type of your organisation. This is a one-time fee that enables you to hold a sponsor licence for four years, after which you must pay the fee again to renew your licence. In addition to this fee, you must pay for each certificate of sponsorship you assign to a foreign worker. The cost per certificate is listed below:

• Worker licence: £199 per certificate.

• Temporary Worker licence: £21 per certificate.

• International Sportsperson licence (issued for more than 12 months): £199 per certificate.

• International Sportsperson licence (issued for less than 12 months): £21 per certificate.

If you assign a certificate of sponsorship to someone applying for a Skilled Worker Visa or a Senior or Specialist Worker Visa, you are required to pay the Immigration Skills Charge (unless exempt). Again, the amount of the charge depends on the size and type of your organisation, with the specific fees listed below:

• Small or charitable sponsors: £364 for the first 12 months and £182 for each additional 6 months.

• Medium or large sponsors: £1,000 for the first 12 months and £500 for each additional 6 months.

Once you have obtained the Skilled Worker sponsor licence, it would cost you the following to sponsor an individual under this route for 4 years:

How to obtain and maintain a sponsor licence?

You must apply online for a sponsor licence. As part of the application process you will need to provide the following evidence as a minimum:

• Latest corporate bank statement

• Employers Liability Insurance

• Proof of business premises

• HMRC registrations (minimum registration for PAYE)

In addition to submitting this evidence when applying for a sponsor licence, you will need to employ someone at a relatively senior level in order to file the sponsor licence application on behalf of the company. The person who is employed will need to be nominated to the role of Authorising Officer. You will also need to appoint a Key Contact with the UKVI and a Level 1 User who will manage the web-based sponsor management system to which the business will get access once the sponsor licence is approved.

After obtaining your sponsor licence, it is crucial to comply with the sponsorship requirements, as failure to do so could lead to the suspension or revocation of your licence. To fulfill your duties as a sponsor, it is essential to ensure that your sponsored workers meet the eligibility requirements, allocate certificates of sponsorship to eligible workers, and promptly notify the Home Office of any changes or breaches. By implementing efficient systems and staying organised, you can integrate compliance tasks into your daily routine. Alternatively, if you prefer to delegate this responsibility, you can entrust it to reputable immigration law firms like ourselves.

How Paragon Law can help

At Paragon Law, our corporate immigration solicitors have assisted organisations of all sizes to apply for a sponsor licence and remain compliant with their duties as a sponsor. We offer a comprehensive suite of services to support your compliance efforts, including a thorough review of your policies and procedures to ensure that they meet your sponsor licence duties. Additionally, we are available to be retained as a Level 1 User, enabling us to carry out critical functions on your sponsor licence on your behalf. 

Every client is different in terms of their requirements which means that there is no one price or service which fits all, so get in touch with us today to start a conversation with an expert immigration lawyer.