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How UK Businesses Can Apply for a Sponsor Licence (2025 Guide)

By Sonjoy Kumar Roy • Published on October 31, 2025

How UK Businesses Can Apply for a Sponsor Licence (2025 Guide)

Introduction

 

Applying for a UK Sponsor Licence allows your business to legally hire skilled foreign workers from outside the UK. If a company wants to sponsor Skilled Workers, Health Care Workers, or Minister of Religion applicants, they must first be approved as a Licensed Sponsor by the Home Office.

This guide explains the full process step-by-step, required documents, costs, and compliance duties — written in simple, clear language for business owners.

 

Who Needs a Sponsor Licence?

Your business needs a Sponsor Licence if you want to hire anyone who does not have the right to work in the UK, including:

  1. Skilled Worker Visa staff
  2. Health Care Workers
  3. Minister of Religion
  4. Specialist Worker (Global Business Mobility route)
  5. Businesses that do NOT need a licence:
  6. Hiring UK nationals
  7. Hiring people with ILR/settled/pre-settled status
  8. Hiring students who are allowed to work part-time
  •  

Basic Eligibility Requirements

To be approved, your business must:

✅ Be a genuine trading UK business
✅ Have no recent history of immigration offences
✅ Have proper HR systems to monitor sponsored workers
✅ Be able to offer genuine skilled jobs meeting salary & skill requirements

If a business has previously been fined by Home Office or failed compliance checks, they may be refused.

 

Step-by-Step: How to Apply for a Sponsor Licence

1. Choose the Right Type of Licence

Most companies apply for:

Worker Licence – for Skilled Worker, Health Care, Minister of Religion
Temporary Worker Licence – charity, creative, seasonal, etc.
✅ Some businesses apply for both.

 

2. Gather Required Documents

Home Office normally asks for 4 supporting documents. Common accepted documents include:

  1. VAT certificate
  2. Employer’s liability insurance certificate
  3. Certificate of incorporation (Companies House)
  4. Business bank statements
  5. Recent HMRC PAYE registration letter
  6. Evidence of business premises (lease, utility bills)
  7. All documents must be clear scans or digital copies.

 

3. Assign “Key Personnel”

The business must nominate:

RoleResponsibility
Authorising OfficerSenior person responsible for compliance
Key ContactMain point of contact with Home Office
Level 1 UserManages the Sponsorship Management System (SMS)

Small businesses can use the same person for all three roles if eligible.

4. Apply Online

  • Submit the online Sponsor Licence application on the Home Office website
  • Pay the application fee (depends on business size)
Company SizeSponsor Licence Fee
Small or Charity£536
Medium or Large£1,476

After submission, upload documents within 5 working days.

 

5. Home Office Decision

Typical processing time:

8 weeks standard
10 working days priority (additional £500)

Home Office may:

  • Approve the licence
  • Request additional documents
  • Conduct a compliance audit

Once approved, the business is added to the UK Register of Licensed Sponsors and can start hiring.

 

After Approval: What Happens Next?

The business receives access to the Sponsorship Management System (SMS).
From there, you can:

✅ Assign a Certificate of Sponsorship (CoS)
✅ Support visa application of a worker
✅ Track sponsored employees

 

How Stonebridge Legal Solutions Can Help

Applying without experience can result in:

❌ Missing documents
❌ Incorrect HR setup
❌ Delays or refusal

Stonebridge supports businesses with:

✅ Full sponsorship licence application
✅ HR compliance setup
✅ Priority processing
✅ Assistance with Skilled Worker, Health Care Worker, and Self-Sponsorship routes
✅ Support during Home Office compliance visits

📞 Contact Stonebridge Legal Solutions today for a consultation and professional support with your Sponsor Licence application.

Frequently Asked Questions

1. How long does a Sponsor Licence last?
✔ Valid for 4 years, with option to renew.

2. Can small companies apply?
✔ Yes. Even very small businesses can sponsor workers if they meet compliance rules.

3. Can a business lose its licence?
✔ Yes — if HR duties are not followed. Suspensions and revocations happen when companies ignore rules.

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