Sponsor compliance action

Sponsor compliance action

The Home Office second quarterly statistics of 2024 reveal that 524 Skilled Worker sponsors received suspension letters and 499 sponsors have had their licences revoked since the first quarter. This marks a significant rise in both suspensions and revocations. The Home Office has also announced an intention to conduct more investigation visits. Visits will normally be unannounced and will include interviews with key personnel, sponsored workers and requests for documents. 

It is important to be ready to demonstrate compliance. If the Home Office considers a sponsor to be failing in its obligations it may suspend, withdraw a licence, or downgrade it to a B-rating. Where a sponsor licence is B-rated, no new certificates of sponsorship may be issued until the licence is restored to an A-rating.  

Home Office enquiries will be wide-ranging. It is likely that the Home Office will want to know:

  • whether right to work checks are being conducted correctly 
  • that all migrant workers, including part-time employees and students, are working in accordance with their conditions of leave 
  • that the sponsor has adequate HR systems in place to comply with sponsor duties 
  • that sponsored workers are performing and are being paid for the roles for which certificates of sponsorship have been issued 
  • that the sponsor is generally compliant with the law. The Home Office will make checks with Companies House and HMRC and undertake background checks on key personnel identified on the sponsor licence. It will check employment contracts and sponsor employment practices. The government has also announced an intention to increase enforcement powers in relation to sponsors who do not comply with employment law. 

Sectors that attract particular scrutiny include the care sector, catering and construction. 

A practice audit can be a useful way to identify and correct any issues. If you would like our help with a practice audit, please get in touch.