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UK Sponsor Licence Compliance and Management

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Content Correct as of September 2025

Introduction

Once a sponsor licence is issued, your organisation has a number of responsibilities it must fulfil in order to retain this licence. This includes reporting, record-keeping, complying with immigration laws and sponsorship guidance. Failure to comply can lead to suspension or revocation of your sponsor licence, which will prove costly and time-consuming to rectify.



Latitude Law has a team of experienced business immigration lawyers who can provide advice to sponsors to ensure full compliance with their sponsorship duties.

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What are the responsibilities of a sponsor licence holder?

As a holder of a sponsorship licence, your organisation must report the following situations to the Home Office (UKVI):

  • A sponsored skilled worker/student does not turn up for the first day of work/study.
  • A sponsored worker/student is absent from work/lessons without your permission for 10 consecutive days.
  • A sponsored worker resigns or is dismissed, or a student quits.
  • You stop sponsoring a worker or student.
  • There are any changes to the sponsored worker’s/student’s circumstances.
  • There are changes to your own organisation, including changes to the structure.
  • If sponsored employment is affected by TUPE or a similar transfer.


You’ll need to report these through the Sponsor Management System (SMS). This is not an exhaustive list and sponsor guidance confirms all the changes that need to be reported. 


Many of the above must be reported within 10 working days, so it is important that organisations have processes in place that ensure key personnel are made aware of any updates well in advance of the 10 working day deadline. Working with Latitude Law can help you to understand your responsibilities and keep up to date with them. 

How to comply with sponsor licence duties


To comply with sponsor licence duties, your organisation needs to actively manage and report on any sponsored workers/students, maintaining accurate and up to date records whilst fully cooperating with the Home Office.

  • Monitor workers/students
  • Report changes
  • Keep records of payslips, right to work checks etc
  • Comply with UK immigration law
  • Report changes to sponsored workers/students’ situations within 10 working days


What is the Sponsor Licence Management System?


The Sponsor Licence Management System (SMS) is the online platform provided by the Home Office which is used to manage sponsor licences and sponsored individuals on work or student visas.

It allows you to manage information about your Authorising Officer, Key Contact and other designated personnel. 

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How to operate the Sponsorship Management System


The SMS is used to keep records of all sponsored workers/students during your time as their sponsor. This includes reporting any changes to their immigration status, all absences and non-compliance with their permission. You also use the SMS to apply for new Certificates of Sponsorship (CoS) to be issued to overseas workers or Confirmation of Acceptance (CAS) for students.

In order to operate the SMS, certain roles need to be filled. These include:

  • Authorising Officer - The most senior member of staff responsible for the recruitment of migrant workers/students. They will have the overall responsibility for the licence and all staff who have access to it.
  • Level 1 User - A person responsible for the day-to-day management and reporting on the SMS, including the assigning of Certificates of Sponsorship (CoS)/Confirmations of Acceptance (CAS), updating records and applying for new CoS/Cas allocations etc.
  • Key Contact - A person who acts as the main point of contact between your organisation and UKVI.


Acting as a Level One user is something a UK immigration representative can help you with, managing the day to day maintenance in the SMS and recording the activities of any migrant workers in your organisation. You will always need at least one Level 1 user from your organisation that meets certain criteria though.

This helps you to maintain compliance with UK immigration laws and guidance as a sponsor, allowing you to retain your licence. Get in touch with us to find out more. 

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Sponsor licence management services


Our sponsor licence management services involve assisting with every aspect of your sponsorship licence suitability, application and compliance. We can help with any number of these aspects, as you require:

  • Suitability assessment - We’ll help you navigate your suitability assessment with the Home Office, who will assess whether you have effective human resources and procedures in place to fulfil sponsor duties, and assess any previous non-compliance or similar issues. 
  • Application - We’ll ensure that your sponsor licence application is submitted in a way which meets all requirements and gives you the highest possible chance of success in obtaining your licence.


Maintaining sponsor management systems - Retaining your sponsorship can be difficult and time consuming. We can act as a Key Contact and Level 1 user for your organisation, helping to ensure your compliance requirements are met.

Why choose Latitude Law for sponsorship compliance?


Our immigration solicitors have experience in assisting companies and organisations of all sizes to manage their sponsor licence duties to ensure they are able to sponsor migrant workers and students. We are committed to providing clear, transparent and reliable advice to our clients.

Our sponsor licence management services include:

  • Immigration consultancy
  • Audits of relevant HR functions
  • Time on site to work with your staff to ensure sponsor licence operations are running smoothly e.g. mock compliance audits
  • Advice and support if your sponsor licence is suspended or revoked


As a boutique law firm specialising in UK-inbound immigration, our experts understand the complexity of sponsor licence management and will provide up-to-the-minute legal advice on how any regulatory changes will impact your sponsorship obligations.


Call us today on 0300 131 6767 or fill out our enquiry form and we will get straight back to you. Let our legal experts take the strain out of your sponsor licence management.

Recognised by experts, trusted by clients

Endorsed by Top-Tier Legal Publications

Latitude Law is proud to be consistently recognised by globally respected legal directories for our expertise in both corporate and personal immigration. We are featured in The Times Best 250 Law Firms in England & Wales 2025, Chambers & Partners UK & High Net Worth 2025, Legal 500 2025, and Lexology 2025 - each highlighting firms that demonstrate exceptional professionalism, specialist knowledge, and success in complex immigration matters. These independent endorsements distinguish us from other law firms and act as a kitemark of our integrity, quality, and commitment to outstanding client service.

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Our commitment to client care is reflected in over 200 five-star Google reviews, showcasing the trust and satisfaction of those we've helped. Whether you're navigating a challenging immigration matter or seeking strategic legal advice, you can be confident you're in expert hands.

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Contact us

As the penalties for not fully complying with your numerous responsibilities as a sponsor of overseas workers or students are costly and time-consuming, it is important to seek specialist advice from a business immigration solicitor before you set up your Sponsor Management System. Latitude Law’s specialist lawyers can advise you about your sponsor licence duties and ensure that your employment and HR processes are compliant with the very latest immigration regulation.

Get in touch with our legal team today on 0300 131 6767 or fill out our contact form and we will get straight back to you. Protect your business with the dedicated support of one of our expert lawyers.

Sponsor Licence Management FAQs

What is involved in sponsor licence record keeping?


Record-keeping duties involve organisations retaining specified evidence in relation to their sponsored workers. Such documents must be held throughout the sponsored worker’s employment and for up to two year after sponsorship of the worker or student has ended.


How often should you be checking the SMS and Certificates of Sponsorship?


Sponsorship guidance advises organisations to check the SMS and Certificates of Sponsorship (CoS) at least once a month. 


The Home Office can reduce or remove CoS/CAS allocation, downgrade a licence rating, suspend the licence, and, in the most severe cases, revoke a sponsor licence. It is therefore extremely important that sponsor organisations understand their duties and manage their sponsor licence correctly.


Are there any staff members not suitable to operate the SMS?


Staff members who are charged with operating the SMS must not:

  • Be a temporary contractor at your organisation
  • Be subject to a bankruptcy restriction order
  • Have any unspent convictions
  • Have received a sponsor licence revocation in the last 12 months
  • Have a history of non-compliance with the Home Office
  • Be predominantly based outside of the UK

Recent Sponsor Licence Compliance Case Studies

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Sponsor Licensing Guidance For Employers

Whether you represent a business employing migrant workers, or an educational institution looking for assistance with sponsoring overseas students, the solicitors at Latitude Law will be happy to guide you through the requirements of the Points-Based System (PBS) sponsorship scheme. Sponsor licences are available for new hires, intra-company transfers and certain visa routes. To employ skilled workers from overseas, UK employers must hold a valid sponsor licence.

Senior or Specialist Worker Visa

The Senior or Specialist Worker visa (Global Business Mobility route) enables businesses with linked entities overseas to transfer existing employees to the UK for a specified period of time. The employee will need to be assigned to a UK business that is linked to their employer overseas to be considered for this type of visa.

Skilled Worker Visa

A Skilled Worker visa is available for skilled workers of all nationalities that have been offered a position from an eligible UK company who is a registered sponsor. This route can lead to settlement and applicants can be joined by dependent partners and children.

For a FREE consultation, call us now on 0300 131 6767

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