International recruitment is central to workforce planning, with employers relying on overseas talent to close skills gaps and drive growth across global markets. In the UK, access to that talent is controlled through the sponsorship system, which governs how organisations recruit and manage non-UK workers. For employers running global mobility programmes, understanding and managing sponsorship obligations is fundamental to long-term compliance and workforce efficiency. This guide explains the sponsorship regime from an employer perspective, covering sponsor licence applications, ongoing compliance, the role of Certificates of Sponsorship, and the wider impact on global mobility.
The sponsorship framework sits within the UK’s points-based immigration system. Employers cannot hire most overseas nationals without holding a sponsor licence (sometimes referred to as a ‘PBS licence’ under the old points-based rules). Once approved, the organisation is added to the official UK sponsor list, often known as the Register of Licensed Sponsors UK, and many jobseekers will consult a list of companies that can sponsor visa in UK when deciding where to apply. Applications are submitted online through the Home Office portal, which is distinct from the UK visa application login system, and employers should follow the detailed Home Office sponsor guidance. For mobility managers, sponsorship is more than a visa process; it is a compliance regime that connects to tax, employment law and corporate governance, making it critical to responsible global workforce management.
Sponsor Licence Application and Categories
Before employing most overseas staff, an employer must apply for sponsor licence status. The application is supported by documents listed in Appendix A to prove trading status and to demonstrate that HR and compliance systems are robust enough to meet immigration requirements. The most widely used category is the skilled worker sponsor licence, while high-growth firms may qualify for a scale up sponsor licence, and overseas companies establishing a UK presence can use the UK expansion worker sponsor licence. Although third-party or umbrella company visa sponsorship UK arrangements exist in practice, they attract Home Office scrutiny and can breach guidance if used improperly.
The process carries costs that should be planned for. Employers pay the sponsor licence application fee and, where applicable, the immigration skills charge for each Skilled Worker recruited. Some businesses explore alternatives such as the self sponsorship visa UK, which has its own self-sponsorship costs, but where the company holds the licence, the compliance burden and accountability sit squarely with the employer. Timelines are also a key consideration: many ask how long does it take to get a sponsorship licence in UK; standard processing runs to several weeks, although the sponsor licence application priority service can accelerate decisions for urgent recruitment. You may also encounter references to the Tier 2 sponsor list, a legacy term that still appears in some contexts.
Certificates of Sponsorship
Once licensed, an employer can assign a Certificate of Sponsorship (CoS) to an eligible worker. The CoS is an electronic record confirming role details and the fact of sponsorship; without a valid CoS, a Skilled Worker application cannot proceed. Employers receive an annual allocation of undefined CoS and may request defined CoS where needed, with the option to use the CoS allocation priority service when speed is critical. Because misallocations and data errors are common sources of non-compliance, all activity should be controlled through the sponsor management system, accessed via SMS login and restricted to nominated personnel such as the authorising officer. Formal training, including SMS level 1 & 2 user training, reduces the risk of mistakes. Employers should also keep their sponsor licence number to hand and be prepared to evidence that a sponsor licence application is valid and approved, since candidates frequently seek reassurance before accepting offers.
Compliance and Enforcement
Compliance is the condition upon which a licence is granted and retained. Although licences now typically run for ten years, removing the routine sponsor licence renewal cycle, sponsors are expected to remain compliant throughout. Failure to do so risks enforcement action, reputational damage and disruption to sponsored roles. Record-keeping duties require retention of specified documents for each worker, including passports, biometric residence permits, right-to-work evidence, employment contracts, payslips and current contact details, with professional qualifications held where relevant; these records should align with Appendix A and be inspection-ready.
Reporting duties demand prompt notifications through the sponsor management system, often within ten working days, for events such as resignation, unauthorised absence exceeding ten consecutive working days, or changes to job title, salary, duties or work location; structural changes, including mergers, acquisitions or new sites, should be reported using the sponsor change of circumstances form. Monitoring duties require sponsors to track attendance, confirm that workers are performing the sponsored role and that pay matches the details recorded on the Certificate of Sponsorship, and to carry out ongoing right-to-work checks to ensure continuing permission. These immigration obligations sit alongside wider legal responsibilities in employment and tax; the guidance on sponsor duties and compliance and broader sponsor licence compliance protects workers and the integrity of the system.
Cooperation with UKVI is expected. Employers should allow access to premises and records during a UKVI compliance visit, whether announced or unannounced, and be able to show that HR systems are followed consistently. Where duties are not met, sanctions range from being sponsor licence downgraded to a B-rating, through sponsor licence suspension or revocation, with publication on the revoked sponsor licence list or the Tier 2 sponsor licence suspended list. In some cases, applications are sponsor licence refused, triggering a sponsor licence cooling off period before reapplication. Sponsored employees are also affected; many ask can my sponsor cancel my visa in UK, and if employment ends, the employer must report this to UKVI, which typically results in visa curtailment.
Maintaining assurance requires regular sponsor licence checks and ongoing monitoring. Tools such as the daily licence checker help track status and surface issues early. Embedding controls across HR, payroll and mobility teams, and evidencing their consistent operation, is the most reliable way to demonstrate audit readiness and reduce risk.
Sponsorship and Global Mobility
A well-managed licence is the engine of a compliant mobility programme. The global mobility sponsor licence enables lawful intra-group moves, but immigration controls need to align with payroll, tax and HR operations to avoid delays and risk. Mobility leaders should own the policy, while HR, finance and legal hold clear accountability for their parts of the control framework. External advisers can add value by stress-testing systems and keeping you current on rule changes; experienced sponsor licence solicitors or a sponsor licence lawyer can review documentation, escalation routes and SMS use, but ultimate accountability remains with the employer, so knowledge should be retained in-house and reflected in policy and training.
Licence health also depends on people. Appoint capable individuals to the key personnel sponsor licence roles and ensure cover for absence. Build a single source of truth for sponsored workers, CoS allocations and reporting history so audits can be satisfied quickly. In practice, governance and planning matter: embed sponsorship obligations into HR policy and workflows so managers know when to involve mobility, maintain a live diary for reporting events, CoS allocations and review points, and when pressures threaten delivery, use targeted services such as the post licence priority service guidance to expedite decisions while keeping documentation complete and consistent. People, training and systems round out the framework: train all SMS users and line managers on the wider sponsorship visa UK landscape and your organisation’s sponsorship approach, align HR and payroll data with SMS entries to prevent discrepancies, and run periodic file checks against policy and sponsor guidance to catch issues early. Operational controls then keep day-to-day activity compliant: require clear statements of purpose for trips and assignments, map activities to permitted rules, escalate where work falls outside visitor or sponsored scope, keep invitation letters, itineraries, right-to-work evidence and funding confirmations in an audit-ready pack, and use dashboards to track day counts, visa expiries and CoS usage so managers can adjust plans before thresholds are breached.
Conclusion
Sponsorship underpins fast, lawful access to international talent. Treat the licence as a live compliance asset owned by trained people and supported by clear processes. Keep records aligned with the SMS, plan for pressure points with priority services and integrate immigration controls with HR and finance. With this approach, your mobility programme remains quick, compliant and resilient, supporting growth while standing up to scrutiny.
