| Worker licence fee | £611 for small companies and charities, £1,682 for medium and large |
| Processing | usually under 8 weeks, priority £750 for 10 working days |
| Certificate of sponsorship | £525 per Worker, £55 per Temporary Worker |
| Immigration Skills Charge | £480 or £1,320 for the first 12 months |
| Validity | indefinite, except UK Expansion and Scale-up (4 years at most) |
| As of | November 2026 |
Who gets a licence
Licences go to employers that are genuine and operating or trading lawfully in the UK. Without an operating or trading presence in the UK the application is refused, with a single exception: for the UK Expansion Worker a UK footprint is enough, because the company is only meant to start there.
The guidance names two typical cases where UKVI sees no genuine trading: the company has hardly any sales to customers beyond payments to HMRC, rent and insurance, or it trades mainly with connected companies. For a newly formed limited company that is the most important warning.
You need no licence for staff who are already free to work: Irish citizens, people with settled or pre-settled status under the EU Settlement Scheme and people with indefinite leave to remain.
The roles you must fill
Every licence needs three roles: the authorising officer, a senior person responsible for everything done in the sponsor management system; the key contact, who deals with UKVI; and at least one level 1 user for the day-to-day work in the system.
These people must generally be based in the UK. At least one level 1 user must be an employee, director or partner of the company and a settled worker. A UK representative authorised to give immigration advice can act as key contact. The company must submit the application itself, though; a representative may help fill it in but not send it.
What the company pays
| Item | Small or charity | Medium or large |
|---|---|---|
| Worker licence | £611 | £1,682 |
| Temporary Worker licence | £611 | £611 |
| Certificate of sponsorship, Worker | £525 | £525 |
| Immigration Skills Charge, first 12 months | £480 | £1,320 |
| Immigration Skills Charge, each further 6 months | £240 | £660 |
| Action plan after a B rating | £1,579 | £1,579 |
GOV.UK, UK visa sponsorship for employers, as of November 2026
Small or large
A company usually counts as a small sponsor if at least two of three points apply: annual turnover up to £15 million, balance sheet total up to £7.5 million, no more than 50 employees. Most new UK subsidiaries of mid-sized European businesses fall in that bracket, as long as the parent is not counted in.
The Immigration Skills Charge is always paid by the company, never by the employee. Passing it or the licence costs on to the worker risks the licence being revoked. On a five-year visa that is £2,400 or £6,600 for this charge alone.
Your duties once the licence is granted
With the licence you get an A rating and may assign certificates of sponsorship. Fail your duties, for example on reporting, record keeping or right-to-work checks, and the licence can be downgraded to a B rating. You then cannot assign new certificates until you have worked through a paid action plan. You get no more than two B ratings during the life of the licence; after that it is gone.
A standard licence runs indefinitely as long as you keep meeting the requirements. For UK Expansion Worker and Scale-up it lasts four years at most.
What a sponsor does day to day
The duties are not a once-a-year chore but ongoing work. GOV.UK lists, among others:
- Keep the relevant records for every sponsored worker, including proof of the right-to-work check.
- Track and record sponsored workers' attendance.
- Report problems to UKVI, for example when a worker stops turning up.
- Report significant changes to your own company within 20 working days, such as a takeover or merger, a major change of business or ceasing to trade.
- Expect visits from UKVI: even before granting the licence the Home Office may check that the company is trustworthy and able to meet its duties.
The certificate of sponsorship
For each overseas worker the company assigns a certificate of sponsorship. It is not a paper document but an electronic record with its own number in the sponsor management system, holding the job, occupation code, salary and start date. The worker needs the number for their visa application and must apply within three months.
The details on the certificate must match reality. Pay a different salary later or reshape the job and you must report it, and possibly assign a new certificate. EU citizens who already hold settled or pre-settled status need no certificate at all: they can work without sponsorship, and the company only checks and records their right to work.
Frequently asked questions
Can I apply for the licence before I have a candidate?
Yes. The licence belongs to the company, not to a person. Many companies apply as soon as the UK company is trading and assign certificates later.
Do I need a licence for staff with EU settlement status?
No. People with settled or pre-settled status need no sponsorship. You only check and record their right to work.
Who pays the costs?
The company pays the licence fee and the Immigration Skills Charge. Passing them on to the employee puts the licence at risk.
Company first, then the licence
Because the licence depends on a working UK company, we start with the company: incorporation through UK Company Setup, payroll through UK Payroll, then the licence and the right visa from our visa overview.
Sources: GOV.UK: UK visa sponsorship for employers; GOV.UK: Workers and Temporary Workers, guidance for sponsors part 1; GOV.UK: Sponsor a Global Business Mobility worker; GOV.UK: Skilled Worker visa
