Overview of Sponsor Licence Suspension

When a sponsor’s licence is suspended by UKVI:

• The sponsor cannot assign Certificates of Sponsorship (CoS) under any category.
• The sponsor is removed from the register of sponsors during the suspension.
• Current sponsored workers employed at the time are usually unaffected unless UKVI decides to revoke the licence.
• The sponsor must still comply with all sponsor duties throughout the suspension period.
• If the sponsor licence is due for renewal during this time, the renewal application should still be submitted.

Common Reasons for Sponsor Licence Suspension

A sponsor licence suspension often follows a UKVI compliance audit. The most common reasons for suspension include:

• Resident Labour Market Test Failures: Improper processes or concerns over genuine vacancies (pre-December 2020 recruits).
• Failure to Pay Workers Correctly: Not paying in line with sponsor guidance salary requirements.
• Inadequate HR Policies: Poorly managed HR systems that fail to meet UKVI standards.
• Record-Keeping Failures: Inaccurate records or failure to report relevant changes.
• Illegal Working and Monitoring Issues: Not following procedures for preventing illegal working or monitoring sponsored workers.

What Happens After a Sponsor Licence Suspension?

Once UKVI completes its investigations, they may decide to:

• Reinstate the Licence: If the sponsor successfully addresses all concerns.
• Downgrade the Licence: If issues are identified but can be resolved under conditions.
• Revoke the Licence: If serious breaches are confirmed.

Challenging a Sponsor Licence Suspension

Sponsors have 20 working days to respond to a suspension letter. This response, known as representations, must include substantial evidence addressing each allegation.

Key Steps to Challenge a Suspension:

• Provide Detailed Evidence: Address each concern with supporting documentation.
• Respond Thoroughly: Ensure every point in the suspension letter is covered.
• Act Quickly: Submit your response within the 20-day deadline.

Protect Your Licence with Expert Support

A sponsor licence suspension can disrupt your business. Our experts can help by:

• Providing Professional Advice: Tailored support to challenge suspensions effectively.
• Reviewing HR Policies: Ensuring compliance with UKVI requirements.
• Conducting Mock Audits: Identifying and resolving potential issues before inspections.

Act now to protect your sponsor licence. Contact us today for expert guidance and support.