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Sponsor Licence Renewal

If it is less than three months before your sponsor licence is due to run out then you will be able to renew your Tier 2 Sponsor Licence. You can find out in the Sponsor Management System (SMS) when it is time to renew and in this article we look at the eligibility criteria for renewal and help to guide you on making an application for a Tier 2 Sponsor Licence renewal. As immigration specialists we are well placed to help companies with their Sponsor Licence queries. For more information please get in touch.

How will I know when it is time to renew my Tier 2 Sponsor Licence?

If you check in the SMS system you will see the end date for your current Tier 2 Sponsor Licence. It is important that you are well aware of when this date is, as clearly your business and your staff rely on your continued compliance for their and your continued ability to operate. You are given up to 3 months in advance to apply for your renewal and it is worth taking up as much of this slack as possible to give yourself the maximum time for the processing of your application.

The Sponsor Licence period you are given is 4 years and you will be notified in the SMS when it is due to end. You also use the SMS system to make your renewal application. You will also more than likely receive a letter as well from HMRC advising that it is time to renew your Tier 2 Sponsor Licence. It's important that you apply in plenty of time to allow for the licence application to be processed.

How much does it cost to renew your Tier 2 Sponsor Licence?

The fee for the renewal of a Tier 2 Sponsor licence is either £536 for a small or charitable business or £1476 for a medium or large business. You will need to ensure that you apply for the correct category as failure to do so will result in a denial of your application and potentially cause major problems for your business and it's staff.

Please note that a small business is defined as having a turnover of less than £10.2 million and having 50 employees or fewer. If you are outside of this then you will be defined as a medium or large business and have to pay the appropriate rate.

What is the process for renewing a Tier 2 Sponsor Licence?

This is going to depend largely on what changes have taken place since you last applied for a Tier 2 Sponsor Licence. You will need to ensure that you have remained entirely compliant and that you have remained eligible as you were when you first applied for the Tier 2 Sponsorship Licence.

Special emphasis will be placed on the growth of your business over time, certain companies may have switched from being a small business to a larger one and this will be reflected in a need to pay a different fee. It's important that you understand the criteria, failure to make the correct application or pay the correct fee will result in a denial.

Once you have submitted your application UKVI will look into your history once again ensuring that you personally are of fit character and have committed no offences that would prevent you from being able to offer Certificates of Sponsorship.

How will my staff be affected by the renewal process?

As long as everything has gone to plan then your staff should not be affected at all by a renewal. The system is set up to ensure that compliant businesses that have kept up their side of the bargain should have no issues getting a new Tier 2 Sponsor Licence. It is good for Britain to have positive immigration and when it is working well there is no reason for UKVI to prevent honest and law abiding businesses from bringing in the specialists that they may need from abroad. Always bear this in mind, they're not trying to catch you out, they are trying to catch out the people who are perhaps a little less than honest.

There is nothing to fear from a renewal, as long as you are still eligible and you haven't broken any rules the process should be reasonably straightforward and there should be no issues in getting a new Tier 2 Sponsor Licence.

Will I need to prove compliance with the rules in order to apply?

Potentially yes, when you make the application for renewal your business will be looked into once again and if UKVI believes they have reason to, they may choose to pursue a compliance visit. It is for this reason that you must ensure that you have remained compliant, because, especially during the renewal process, it is highly likely that your business will be looked into again.

If you need any help with your compliance for a Tier 2 Sponsor Licence then please get in touch. We have worked with many businesses and have helped them to implement compliance procedures that help to manage their Sponsor Licence with the minimum of fuss.

Where can I find out more?

If you need to know more about the Tier 2 Sponsor Licence and the processes surrounding it then please get in touch. As immigration specialists we are well versed in helping businesses such as yours to manage their Tier 2 Sponsor Licence to ensure continuous compliance and to avoid any potential bumps in the road. We offer a complete service for our customers. So for more information or advice please get in touch today and we can help you further.

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Kind regards
Nancy Jacquard

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