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Applying for a Sponsor Licence After Suspension: What You Need to Know

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 A sponsor licence suspension can be a key turning point for any business to recover. Staying competitive in today’s market means you need the ability to sponsor migrant workers, whether you need them to close skills shortfalls or to help you achieve strategic goals. But when it all goes wrong, and a suspension occurs, they are very high. A suspension brings your entire business model under scrutiny, with the risk of licence revocation and a host of operational disruptions. However, if approached strategically, it is possible to reapply for a sponsor licence.

This guide takes you through the deep steps to regain your sponsor licence after suspension, restore compliance and regain credibility with the Home Office.

What Is a Sponsor Licence Suspension?

sponsor licence suspension is a temporary enforcement action UK Visas and Immigration (UKVI) takes when their data shows you've breached your sponsorship duties. An organisation that is suspended cannot sponsor workers in the future, but unlike revocation, this is an opportunity to resolve issues. During the course of this period, the organisation is unable to assign further Certificates of Sponsorship (CoS), meaning that they can’t recruit internationally.

The suspension notice typically outlines areas of non-compliance, such as maintaining false records, delaying the due date for reporting the change, and failing to deliver goods to credit ratings. This is not an operational hurdle – it’s a warning bell that you should reevaluate and reconfirm your internal processes.

What Causes a Sponsor Licence Suspension?

Sponsor licence suspension results from many things, and the most common are administrative slips or paperwork lapses in compliance processes.

  1. Failing to tell UKVI about changes in a sponsored worker’s role or salary.
  2. Lack of records, for instance, an employment contract missing or visa documents.
  3. Allowing sponsored employees to break visa conditions intentionally or not.
  4. Failure to perform timely right-to-work checks.
  5. Getting flagged in a compliance visit for lack of HR systems.

The first step towards building a good case for your sponsor licence application after suspension is to understand what caused it.

This video shows how A Y & J Solicitors has helped a client overturn a sponsor licence suspension.



Rebuilding Compliance: Steps to Take After a Suspension

1. Conduct a Full Internal Review

So, first, we will start by analysing every detail of the suspension notice. Then, it will identify the UKVI flagged issues. This can be used as a basis for a wide-ranging internal review. It’s not a quick cheque in this but an in-and-out audit of every process involved in sponsorship, too.

Review areas like:

  • Their employee records and contracts.
  • Procedures for reporting job changes, promotions or absences.
  • Minimum salary thresholds are adhered to by way of documentation.
  • Before, HR systems were used to monitor the visa expiry date.

By spotting gaps early, you can rectify them and improve your chances of getting your sponsor licence.

2. Address Non-Compliance with Clear Solutions

 After you’ve identified the problem areas, take concrete steps to fix them. For example, if poor record-keeping was an issue, invest in HR software targeted for immigration compliance. If reporting duties are neglected, a dedicated compliance officer can be appointed to oversee all dealings with UKVI.

Action: This step should be visible and proactive. Shallow solutions can be considered ineffective by UKVI, which may be considered insufficient and fail your reapplication.

3. Demonstrate Accountability

You need to acknowledge any errors found in your response to UKVI. By showing accountability, your company shows that compliance is taken seriously. Centred around coming up with the structural improvements, avoid assigning blame and simply detail what you’ve done to make sure no future breaches occur.

The Sponsor Licence Reapplication Process

After you’ve dealt with these issues in the suspension notice and have a compliance framework in place, it’s time to start building your sponsor licence application. Unlike the first time around, this reapplication will be given the once over to determine if you have learned from mistakes in the past.

1. Gather Your Evidence

The backing evidence must be available to ensure success. This includes:

  • Updating policies or internal training programs that can be documented as 'corrective actions'.
  • Confirmation of the improved reporting systems, improved record audits, etc.
  • New processes that you put into place to ensure adherence with sponsorship duties.

Make the cover letter brief and indicate all the changes you made and how these changes have substantially helped us meet future compliance.

2. Complete the Application Form Accurately

Your sponsor licence application can be rejected or delayed by even the smallest of errors. Once you complete that, double-check the organisation address, key personnel information, and so on. If you’ve replaced sponsorship management staff, include testimony about the training that they received in immigration matters.

3. Prepare for a Compliance Visit

UKVI will often insist that you visit your site before reinstating your licence. Make certain all records are ready to go and in order. Train staff to answer questions not only right but also with confidence. While the visit is a formality, it is actually a very decisive factor in the Home Office’s decision.

What to Expect During the Review Process

As soon as you’ve applied and UKVI has been able to assess whether the changes you’re making are adequate, it will issue a decision. Here are the possible outcomes:

Licence Reinstatement

If UKVI is satisfied with your corrective measures, your sponsor licence will be reinstated. However, reinstatement usually involves a heightened degree of surveillance for a while, so you must remain within the new compliance standards.

Licence Downgrade

However, your licence can sometimes be reinstated at a lesser rating (e.g., from A to B). Most of the time, when you receive a B-rating after an inspection, an action plan is included with it, and you’re required to follow this plan to get your licence back to an A-rating.

Licence Revocation

Your licence may be revoked if UKVI considers your response insufficient or finds further breaches during review. In this situation, you’ll lose the ability to sponsor workers, and existing sponsored employees may need to look for other sponsorships or exit the UK.

Get Legal Guidance

Getting to a sponsor licence suspension by a company with no experience is a crucial challenge, but that can be overcome with a good approach. By dealing with non-compliance and structural improvements while also ensuring that they have a good sponsor licence application, your organisation will be ready to sponsor skilled workers again. When a sponsor’s licence has been suspended and the sponsor licence reapplication at A Y & J Solicitors, we know exactly how difficult it can be. Our expert team offers bespoke advice to solve your problems, develop strong applications, and ensure continuous compliance. 

A Y & J Solicitors is a specialist immigration law firm with extensive experience with sponsor licence applications. We have an in-depth understanding of immigration law and are professional and results-focused. For assistance with your visa application or any other UK immigration law concerns, please contact us at +44 20 7404 7933. We’re here to help!

author

Chris Bates

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