UK Sponsor Licence Update 2024: Renewal No Longer Required

By Sanwar Ali:

UK Business Immigration: Understanding the Changes

Sponsor Licence Validity Period

As the UK continues to make changes to its Business Immigration system, one development that is helpful for employers seeking global talent is changes to the validity period of a sponsor licence. If the sponsor licence expires after 6 April 2024, the Home Office grants an automatic 10-year extension to the sponsor licence. For newly approved sponsor licences there is no expiry date for the sponsor licence. This policy change reduces some of the administrative burden for businesses. However, more restrictive immigration policies will overall make it more difficult for businesses to bring in skilled workers.

Sponsor Licence Application: Overall Increased Costs for Employers

Securing a sponsor licence requires significant effort from UK businesses. While the changes save time and effort in renewing sponsor licences, the increased salary thresholds and increased Government fees has greatly increased the costs of employing overseas workers.

Sponsor Licence Renewals

Previously, renewal applications imposed a significant administrative burden, requiring a renewal application to be submitted up to 90 days before the licence’s expiration. This process also involved substantial costs, with renewal fees of £1,476 for larger organisations, and £536 for smaller entities or charitable organizations.

10-Year Sponsor Licence Extension

For sponsor licences expiring after 6 April 2024 ten years will automatically be added to the sponsor licence. It appears that for new sponsor licences there will ne no set expiration date. This reduces the administrative burdens on business. However, it’s essential to understand that the focus on compliance remains unchanged. Businesses must still adhere strictly to Home Office regulations to avoid potential penalties and loss of sponsor licence.

More Expensive for Businesses Overall

While businesses benefit by not having to apply for renew sponsor licences, increased salary thresholds and increases in Government fees will make it more expensive to employ migrants in the UK.

Conclusion

The 2024 sponsor licence renewal policy is very helpful to employers, Strangely, this coincides with new and tougher immigration controls and huge increase in Government fees.

"Embrace the future of UK immigration with workpermit.com - Your guide through change and complexity."

How Workpermit.com Can Help with Sponsor Licences

If you need help with employing Skilled Workers and applying for a Sponsor Licence, including complying with your Sponsor Licence obligations, HR responsibilities, etc workpermit.com can help.

For more information and advice, please contact us at 0344 991 9222 or at london@workpermit.com(link sends e-mail)