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How Much Does it Cost a UK Employer to Hire a Skilled Worker in 2021?

One of the realities of Brexit for British employers is that it is no longer possible to recruit staff from the EU at no cost. Prior to 2021, under free movement, EU nationals were free to travel to the UK, stay as long as they wished, and take up work without needing to secure permission beforehand. In the post-Brexit world, recruiting any overseas national, regardless of their country of origin, incurs a cost for both employee and employer. As such, businesses planning to recruit from overseas to fill vacancies for which there are insufficient local skills need to weigh up the costs and benefits of doing so. In this article, we will explain the costs involved in recruiting an overseas candidate under the Skilled Worker visa immigration route in 2021.

The cost of securing a sponsor license

All businesses in the UK, whether public or private entities, have to apply for and secure a sponsor license before they are able to recruit overseas nationals. Many businesses make the mistake of just looking at the cost of applying for a licence, but there may be several other costs which you should consider. The application fee itself for a sponsor licence is currently set at £536 for charitable and small businesses and £1,476 for medium and large businesses. Your business will be classed as small if it has (two of these must apply):

  • an annual turnover of £10.2 million or less
  • total assets worth £5.1 million or less, or
  • 50 employees or fewer

If you are also planning to apply for a temporary worker sponsorship license, the application fee will be an additional £536 regardless of the size and type of business.

In addition, we recommend looking at any costs to your business of preparing for your licence application, including:

  • Any IT system/s you implement to help adhere to your sponsor license duties. Remember, you will be expected by the Home Office to keep records on right to work checks, recruitments and interviews you have conducted, and information on your sponsored workers, including their qualifications and occupational registration, attendance, and up to date contact details. As such, you will need a way of recording this information in a timely, secure, and up to date manner.
  • Hiring additional staff to help manage the sponsorship process
  • Any legal advice you seek during the application process

The cost of sponsoring an overseas worker

Another cost that businesses should be aware of is the immigration skills charge. The immigration skills charge is paid each and every time you recruit a new overseas member of staff and issue a Certificate of Sponsorship. The immigration rules state, “You might have to pay an additional charge when you assign a certificate of sponsorship to someone applying for a Skilled Worker or Intra-company Transfer visa. This is called the ‘immigration skills charge’”. The Home Office require that the charge be paid if the worker is applying from outside of the UK and is coming to the UK to work for six months or more, or if they are applying from within the UK to come for any length of time. There are some other exceptions, however. You will not need to pay the immigration skills charge if the employee is coming to the UK on the Intra-company graduate trainee visa route or if they are switching from a UK study visa. In addition, if the sponsor is hiring an overseas worker in one of the following occupations, they will not need to pay the charge:

  • chemical scientists (2111)
  • biological scientists and biochemists (2112)
  • physical scientists (2113)
  • social and humanities scientists (2114)
  • natural and social science professionals not elsewhere classified (2119)
  • research and development managers (2150)
  • higher education teaching professionals (2311)
  • clergy (2444)
  • sports players (3441)
  • sports coaches, instructors or officials (3442)

The current immigration skills charge is £364 (for small or charitable sponsors) and £1,000 (for medium or large sponsors) for recruitment of up to one year. If you are recruiting an international worker for the maximum duration of five years, you can expect to pay:

  • £1,820 (5 x £364) for small and charitable sponsors
  • £5,000 (5 x £1,000) for a medium or large sponsor

In addition to the immigration skills charge, you will also need to pay £199 each time you issue a new Certificate of Sponsorship. There is no charge, however, if the worker is from one of the following countries:

Austria, Belgium, Croatia, Republic of Cyprus, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Latvia, Luxembourg, Malta, Netherlands, North Macedonia, Norway, Poland, Portugal, Slovakia, Spain, Sweden or Turkey.

Other costs to consider

In addition to the salary and other remuneration to be paid to the sponsored worker, you may decide to assist them with their immigration healthcare surcharge and other costs such as flights and accommodation when they first arrive. While the sponsored worker themselves is legally responsible for paying their own healthcare surcharge, as this can be extremely costly, and in some cases prohibitive if they have a family who is joining them in the UK (the cost is £624 for each adult per year), some employers assist with this. Indeed, the cost of the healthcare surcharge can run into many thousands of pounds for a family, and this has to be paid upfront as part of the application process for a Skilled Worker visa.

Another cost to bear in mind is that many businesses engage the services of third parties specialising in immigration law to carry out periodic sponsor licence mock audits. This ensures that when they receive a planned or unplanned visit from a Home Office compliance officer, they can be assured of being compliant with their legal sponsor duties. The cost of losing a licence for any business, whether permanently or temporarily, can be considerable.

In conclusion

Becoming a licensed sponsor to allow you to recruit from overseas needs to be considered from all perspectives. It is all too easy to underestimate the cost of sponsorship, but by taking the time to understand this fully, you can ensure that a sufficient budget is set aside to allow you to recruit the skilled personnel you need.



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ACQ5 Awards Award ACQ5 Awards Award
Lexis Nexis Lexis Nexis
Three Best Rated Three Best Rated
Department For International Development Department For International Development
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O.L

Andy Tieu is absolutely amazing.

As a lawyer myself I can categorically say that he knows his stuff, gentle, responsive, cares about you and not just about the money, very professional.
I mean I can go on and on!

Andy and the entire team at Reiss Edwards are amazing!

Thanks again Andy.

Kiran Sardar


I found Joe very helpful and tremendous patience which is a must in this professional as there are lots of emotions always involved in each and every case.

The way they dealt with my case during COVID19 Situation is highly appreciable. I would definitely recommend Joe D. and Anna F. Anna is an amazing lady, her patience is beyond my words.

Her hard work and professionalism have no boundaries. She is the right person for all type of cases.

Thanks to Anna and Joe for all your support and guidance which helped me fulfill my dream.

I would say Reiss Edwards is lucky to have Joe D. and Anna F. Great job Reiss Edwards.

thanks once again. Anna you’re a Gem and a Star.

Cheyam Shaked

"Anna Foley was the lawyer helping my partner obtain an EEA EFM visa. She was outstanding. Handling the case with constant correspondence over a lengthy, lockdown delayed 7-month application process. Her expert advice guided us successfully through some difficult times as a result of COVID-19. Some of the best service I have received for any service ever! Often replying to emails late at night, offering to send additional correspondence to the home office and going above and beyond in handling our case! Well done and thank you Reiss Edwards and thank you Anna!!".

Isaac .T

"Professional service. I was very impressed with the fact that my ILR application was successful 6 weeks after the submission amidst the COVID-19 pandemic. I also think the portfolio put together by the team at Reiss Edwards has played a big part in the quick turnaround of my application".

Jesse Lee

"Reiss Edwards did a great job, and so much work, for their reasonable fixed fee. I would heartily recommend them to anyone looking to secure a Visa and /or Visa renewal. I will use them again when mine needs to renew. Great value".

Majlinda Berisha

"The help, the professionalism, the kindness from this team is phenomenal. A massive thank you to Anna Foley.

I have had a really tough time with getting my husband’s visa. My last immigration lawyer made many mistakes that caused stress, disappointments and sadness.

I was weary about getting another lawyer as I thought I was going to go through the same experience but no, it turned out better than what I had hoped or even imagined.

What I received was: constant emails and calls updating me and asking if anything else is needed. If I called and they missed my phone call I would get a call back within 10 minutes. All of my documents were carefully checked and I would get a reply the next day if anything was missing or not correct. There were times that I was impatient and asked to just send the visa off, but was reminded that everything had to be perfect and correct before submitting the application. I was told about every option I had and discussed what the best would be. I was always spoke in a nice, calm, polite manner.

The overall intelligence of this team, especially Anna Foley for me, is outstanding. I am speechless. Anna done such an amazing job on my husband’s application that although we couldn’t apply for the fast service and was told to wait for 12 weeks, we got a reply within 5 weeks.

That alone shows what an amazing and talented team Reiss Edwards are. Thank you".

Christine .C

"I wholeheartedly recommend Reiss Edwards to anyone who is in search of immigration advice. I had the pleasure of speaking with Amar who has been very thorough in finding a solution to my enquiry, and followed up with additional information even after the consultation. I normally don't leave reviews, and this firm already has enough good reviews for me to need to my own anyways! However, in this instance, I do hope that my review can let anyone who reads it be aware that RE is a great choice, these people care enough to help you the best they can".

Zohaib Butt

"I had the chance to use Reiss Edwards services for my Tier 2 extension. Marija dealt with my case and I found her very professional and experienced in dealing with my application. The care and attention to detail was exceptional. I would definitely recommend Reiss Edwards!".

Quintus Liu

"Knowledgeable, experienced, and relatable. Translated a complex process into steps that are easy to follow. Cruised to 3 successive wins on my Tier 1 graduate/entrepreneurship visa which allowed us to play our part in making the UK a better and healthier place!".

Khasan Vosijonov

"Thank you, Ms. Anna Foley! I am writing this with tears of joy.

As a family, we are all grateful to Anna Foley and her firm Reiss Edwards, for doing all the hard work and giving us the best support. Finally We found the best law firm".

Saira Lawson-Brown

"Highly professional organisation and really supportive solicitors. Ina Iteva the solicitor that was provided to us was a blessing in disguise, as our first solicitor was let go off due to pandemic. She was so supportive and understanding throughout the process, and my husband spouse visa was granted due to their effort and attention to detail. We constantly try to keep in touch with her and consider her as more of a friend now than a solicitor. Sure, to bother her and the firm more in the future".

Nora Nkechi

"My Tier 1 Investor Visa was dealt with quickly and without issue. Would recommend Reiss Edwards as an Immigration law firm in London. Thank you to the team".

Deepak Chartbhurjh

"This is the only firm that i spoke with that didn't ask for money before listening to me, will be using them again. I used Reiss Edwards for my Tier 2 visa application and it was successful. The team was ever present and happy to answer my question. The caseworker that dealing with my case went on holiday yet by case did not suffer one bit. Another lawyer stepped and took over the case without any hassle".

Hakeem Salam

"I used Reiss Edwards immigration lawyers to assist with my immigration matter and that of my family. It was an EX1 application. They dealt with the matter properly and even when complications were coming up from the Home Office, they helped resolve the issue properly. They are very professional and are very popular in London. I am happy to have worked with them".

Top Notch Immigration Service

"Reiss Edwards is a top notch immigration service company. The way they handled our documentation and also the list of documents they sent was efficient and top quality. They helped us professionally throughout the process. We are very happy with the immigration advice we received from the team. We highly recommend them".

Mo Hussein

"I have been using Reiss Edwards for three years now for my family's immigration application. Both for my initial application and extension. They are really affordable. The team of solicitors at this firm are probably one of the most efficient and economical in terms of cost. They offered free advice over the phone and spent good time with us before inviting us for consultation".

Gallagher Jones

"I contacted Reiss Edwards to help me with my wife's UK settlement visa. They acted with utmost professionalism throughout the entire application. I spoke with Joe Dinh, he is an immigration solicitor and he is one of the best solicitors out there. He ensured that there was little to no room for error. At some point I thought he was over cautious. He remained calmed and continued to assure us on our immigration matter. Most people in his position would have panicked but he was calmed and continued to assure us. We received out positive outcome very quickly".

Richard Stone

"I have just had British Citizenship application approved. Prior to making the application, I was not sure which law firm i should hire to facilitate the paperwork. After a few hours of research, i decided to go with Reiss Edwards and i must confess that I wasn't disappointed. The immigration lawyers at Reiss Edwards handled my case well and they really knew what they were doing. They were fully aware of what documents I needed and it was easy for them to tell if my case was going to be easy or not. At the end of the day, I have not received my British citizenship within 3 months. If anyone is looking for a good immigration lawyer to handle their case, contact Reiss Edwards".

Fong Li

"Investing over 2 million pounds is definitely not a routine decision. We had to make sure that the Tier 1 investor immigration lawyers that we'd be picking has to be one of the best within the Tier 1 investor category. We contacted Reiss Edwards and they were able to get us not only the Tier 1 investor visa but also suggested profitable investment portfolios in addition to what we already had in mind".

Nancy Jacquard

"It's a shame that you don't have an 'Excellent' star rating on here, as my experience with Reiss Edwards is nothing short of an excellent rating. They handled my application for an Indefinite Leave to remain in April 2014 and did my husband's one very recently including my daughter. Every time i have approached them, they have continued to treat me with courtesy, respect and patience. Amar was indeed a very thorough and professional gentleman. He is very knowledgeable, corporative and engaging. He responded to my emails, calls and enquiries promptly. He was always reassuring. I could not have asked for a better Immigration service. I would recommend them over and over again for anyone looking for an immigration advice. They gave me a free immigration advice when i called them, and the quality of the advice was something other charge thousands for. If you need a particular, name, Amar would be it. He exemplifies, for me, the true, professional gentleman. He is a valuable asset to Reiss Edwards".

Florence Giwa

"I am glad that i instructed Reiss Edwards on my visa matter. It started with a 20 minutes free immigration advice. I met with Amar to discuss my ILR refusal. He gave me a great deal of quality advice and decided to take on my messy case. I had doubts on the merits of my case by he was relatively convinced he could win it. That made me quite secure. To be honest, things did not start as quick as I would have wanted, but they kept on communicating the process and state of things to me.A big thank you to Verusha and Foram. They were also very helpful. Brilliant and informative. Their fee was fair and reasonable, especially if you compare them to other law firms and immigration law firms in London; some of whom even told me that i would not be able to get an indefinte leave to remain in this country. The process was long but was worth it. In the end, a big thank you to Reiss Edwards".

Salisu Ibrahim

"Fantastic Solicitors!!! My wife's spouse visa extension application was refused by the Home Office and they gave her 14 days to leave the country. We contacted Reiss Edwards and they said "OK don't worry we will sort this out". They put together the list of documents for me to obtain and they prepared a bundle which was as thick as the printer it came out from.We followed everything they asked us to do and in the end we won our appeal and got our spouse visa. We can't recommend them enough and we have promised ourselves never to make any more UK visa applications without them".

Amir Sandeep

"The team of lawyers at Reiss Edwards are very professional and friendly people. Their experience in and around UK immigration law is quite extensive; be sure that you application is in safe and competent hands. My immigration matter was an indefinite leave to remain application based on Tier 1 on a self-employment basis. The immigration lawyers at Reiss Edwards made sure that the application was perfect and ready to be accepted. I got a positive decision and I recommend them highly for anyone who needs a UK immigration help".

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