Sponsor Licence Suspension and Revocation
If your organisation has been notified that your sponsor licence has been suspended, you must take immediate action to have your licence restored. Your license may be cancelled if you fail to respond to the Home Office.
Your choices may involve challenging the Home Office’s suspension of the licence or addressing the matter and providing documentation of your actions, depending on the specific circumstances.
We recognise that both employers and sponsored employees may experience disruption, expense, and distress when they receive a decision to suspend their sponsor licence.
In order to ensure that a strong argument is made to UKVI about any concerns mentioned in suspension letters, our immigration barristers assist sponsors in obtaining the reinstatement of their sponsor licenses after sponsor license suspension decisions.
Contact us at +447561699666 for expert guidance on safeguarding your sponsor licence. We can assist you in person, over the phone, or online.
Why are Sponsor Licences Suspended?
To achieve critical expansion and maintain operational and competitiveness, you may need to sponsor foreign nationals to address critical skills gaps in your team. However, sponsorship comes with a set of obligations that the organisation must fulfil; if not, you run the risk of enforcement action, which might include having your sponsor licence suspended.
Essential sponsor licence responsibilities involve:
- Record-keeping: As mandated by Appendix D of the Immigration Rules, you must retain personnel records for your sponsored employees.
- Monitoring and Reporting: Sponsored workers monitor and notify the Home Office of any substantial modifications, including revised terms within the employment contracts or more than ten days of unauthorised leave.
- Notifying Changes: Reporting changes within the organisation, including changes to the Authorising Officer or corporate address.
- Prevention of Unlawful Working: Adhering to the Right to Work regulations to prevent illegal working.
- e. Cooperation: Acting responsively and cooperatively when interacting with the Home Office.
Additionally, if you violated the rules without realising it and were unaware of your responsibilities, you may still face enforcement action as a sponsor licence holder. Therefore, you risk having your licence suspended if the Home Office claims you have violated any of these obligations.
What are the implications of a Sponsor Licence suspension?
Sponsor license suspensions cause disruptions and harm to the organisation, requiring time, money, knowledge, and effort to fix.
Impact on Your Organisation
Impact on Existing Sponsored Workers
Impact on New Sponsored Workers
What to do if you've received a Sponsor Licence Suspension Notice?
You must take immediate action to prevent additional disruptions to your company if your sponsor licence has been suspended. Your licence will probably be withdrawn if you don’t reply promptly.
UKVI, the Home Office division in charge of overseeing the UK’s visa and immigration system, will notify you in writing of the suspension’s initial grounds and the commencement of an investigation if it has evidence supporting a decision to suspend your licence while a thorough investigation is conducted. You should receive regular updates on the investigation’s progress, even though UKVI may not be able to provide an exact timeframe for completion.
The initial step is to assess your options and develop a plan to mitigate any negative effects on your business and the visa statuses of sponsored employees. Typically, your options include:
a. Challenge the Allegations: Respond to the suspension notice by disputing the allegations, providing supporting evidence, and requesting the reinstatement of your licence.
b. Accept the Allegations: Acknowledge the allegations and outline the steps you are taking to address the breaches.
The suspension notice will specify the reasons for the suspension, which you must carefully address in your response to the Home Office. Our compliance specialists can help you evaluate the suspension notice and recommend the most appropriate course of action for your organisation.
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The notice will specify a deadline for your response, usually 20 working days from the date you receive it. During this period, review the suspension decision, consult with experts, and prepare your response.
Your reply to UKVI must be in writing, addressing all points in the suspension notice. You should provide any supporting evidence that counters the grounds for suspension. Be thorough in your response, ensuring that all points are fully detailed and backed up with strong documentation.
It is also vital to maintain regular communication with the Home Office to demonstrate your commitment to fulfilling your obligations. Additionally, if not already done, be prepared for a potential site visit from immigration enforcement officers.
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What Happens After Responding to the Suspension Notice?
Once your organisation submits a formal reply to the sponsor licence suspension notice, UK Visas and Immigration (UKVI) will undertake a further assessment of your compliance with sponsorship obligations. This stage typically involves a detailed review of your response, along with any supporting evidence provided.
In most standard cases, a decision is expected within 20 working days from the date UKVI receives your response. However, this timeframe may be extended in situations where additional inquiries are necessary—for example, if coordination with another government department is required. If there is a delay, UKVI will update you accordingly.
During this review period, the suspension will remain in effect, and your business will not be permitted to issue new Certificates of Sponsorship or sponsor new migrant workers.
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Additional Penalties for Immigration Non-Compliance
It is legally obligatory that you perform Right to task checks on all of your employees, including sponsored employees, to make sure they are qualified to accomplish the task in question and have the legal right to work in the UK.
You could face a civil penalty and, in certain situations, criminal prosecution that could lead to jail time or an indefinite fine if migrant workers are discovered to be working unlawfully while you haven’t performed the necessary checks.
Pre-employment screening should include Right to Work checks to ensure you can fulfil your responsibilities to prevent illegal labour.
Workers with time-limited authorisation to work in the UK, such as those with a skilled worker visa, must also have their ability to work and ongoing legal status confirmed by follow-up checks.
One of the following methods can be used to perform Right to Work checks:
- Manual document checks: These involve using specific, legitimate, original form documents to verify the person's identity.
- Online share code checks - where the workforce shares their share code with you.
- Digital checks via an identity service provider utilising Identity Document Validation Technology.
- Employer Checking Service, utilising the web platform of the Home Office.
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How to Reduce the Risk of Sponsor Licence Suspension
Licence holders should incorporate sponsor licence compliance into their daily operations. The Home Office requires licence holders to maintain compliance at all times and to fulfil their reporting, monitoring, and record-keeping obligations on schedule.
Every employee involved in hiring, onboarding, managing, or supervising sponsored workers should possess the necessary skills and training to perform their job effectively.
To guarantee compliance with the legislation, which are susceptible to frequent changes, which increases risk, your HR processes, policies, and procedures should be reviewed regularly. The most effective method for evaluating compliance and identifying and rectifying such violations is through immigration audits. To prevent areas of non-compliance, make sure that these best practices are applied uniformly throughout the company.
How can our immigration barristers help?
A sponsor may be entitled to request a judicial review of the decision to cancel their licence, even if they do not have an appeal right.
In order to ensure that a strong argument is made to UKVI about any concerns mentioned in suspension letters, our immigration barristers assist sponsors in obtaining the reinstatement of their sponsor licenses after sponsor license suspension decisions.
Our legal professionals can assist the sponsor with this process when necessary and guide on the merits of requesting a Judicial Review of a revocation decision.
As an alternative, after the applicable cooling-off period has elapsed, we can counsel and support a sponsor with a new sponsor licence application.
You can contact us by phone or complete the form below if you require legal assistance or would like to discuss your case with one of our professionals.
We take great satisfaction in being proactive and friendly while determining and attending to the needs of our business clients. We are a highly motivated team committed to providing UK employers with trustworthy and transparent immigration advice, offered in a courteous and professional manner.
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FAQ
Sponsor Licence Suspension
What does it mean if my sponsor licence has been suspended?
A sponsor licence suspension is a provisional enforcement action taken by UK Visas and Immigration (UKVI) when a sponsoring organisation is suspected of breaching its compliance obligations. While the licence is suspended, the organisation is prohibited from assigning new Certificates of Sponsorship (CoS) to prospective employees. The suspension is intended to allow UKVI time to conduct a full investigation into the alleged breaches.
How much time do I have to respond to a suspension notice?
Typically, the Home Office will grant you 20 working days from the date of the suspension notice to submit a formal response. This response should directly address the grounds for the suspension as outlined in the notification and be supported by appropriate evidence. The specific deadline will be clearly stated in the correspondence issued by UKVI.
Is there a right to appeal a suspension decision?
While there is no formal appeal process for a sponsor licence suspension, sponsors are allowed to respond in writing to the allegations set out in the suspension notice. This written representation allows the sponsor to either challenge the allegations or acknowledge the breaches and demonstrate corrective action. If the Home Office is satisfied with the response, the licence may be reinstated.
Can I continue to employ sponsored workers while my licence is suspended?
Yes, existing sponsored workers may continue their employment during the period of suspension. However, the sponsor cannot issue new CoS or support visa extension applications until a decision has been made regarding the suspension. It is therefore crucial to resolve the matter as promptly as possible to prevent further operational disruptions.
What happens to ongoing and new visa applications during the suspension?
If your licence is suspended, any pending visa applications that rely on a Certificate of Sponsorship previously issued by your organisation may be placed on hold. New applications cannot be submitted during the suspension period. Additionally, prospective employees overseas who have been issued a visa but have not yet entered the UK may be contacted by the Home Office regarding the suspension.
How long does a sponsor licence suspension typically last?
There is no fixed timeframe for the duration of a sponsor licence suspension. UKVI will usually issue a decision within 20 working days of receiving the sponsor’s response, but this may be extended in complex cases or where third-party input is required. The suspension will remain in place until a final decision is made.
What is the difference between a suspension and a revocation?
A suspension is a temporary measure that gives the sponsor an opportunity to rectify alleged compliance failures. In contrast, a revocation is a permanent action that results in the sponsor losing their licence altogether. Once a licence is revoked, the sponsor can no longer employ or assign CoS to migrant workers under the Skilled Worker route or any other sponsored work category.
What are some common reasons for sponsor licence suspensions?
UKVI may suspend a sponsor licence for a variety of reasons, including:
- Inadequate record-keeping and personnel file management.
- Failure to report changes to a migrant worker’s circumstances.
- Non-compliance with Right to Work check requirements.
- Employing workers illegally.
- Failing to report changes to company structure or personnel (e.g. new Authorising Officer).
- Not cooperating with UKVI inspections or correspondence.
How can I prevent my sponsor licence from being suspended?
The best way to safeguard your sponsor licence is through proactive compliance. This includes:
- Ensuring your HR and recruitment systems are aligned with Home Office rules.
- Conducting regular internal audits of sponsor processes and record-keeping.
- Training all staff involved in sponsorship on their responsibilities.
- Maintaining accurate and up-to-date records on sponsored workers.
- Reporting required changes within the timelines specified by UKVI.
Will a suspension affect my business reputation?
A licence suspension may impact your business’s reputation, particularly if your organisation relies on skilled workers from overseas. Sponsored employees may feel uncertain about their status, and future recruits might be discouraged. Prompt, transparent, and well-documented efforts to resolve the suspension can help reassure stakeholders and limit reputational harm.
Why has my sponsor licence been revoked instead of suspended?
If the Home Office concludes that the breaches are serious or that no remedial action has been taken following a suspension, it may proceed to revoke your sponsor licence. In such cases:
- All existing Certificates of Sponsorship are cancelled.
- Sponsored workers’ visas may be curtailed to 60 days (or less, if their visa expires sooner).
- Affected employees must either leave the UK or apply for a different visa route.
Revocation also results in removal from the public register of licensed sponsors and will require a cooling-off period before you may reapply for a licence.
