Tier 2 Sponsor Licence inspections are becoming more common for businesses that hire non-EEA staff. This is especially concerning for industries like hotels, restaurants, retail, and e-commerce, which rely heavily on foreign workers. To stay compliant with UK immigration rules and avoid issues with your sponsor license, it’s crucial to be prepared for a Home Office audit, whether it’s announced or unannounced.
A Tier 2 Sponsor Licence is required for businesses to recruit skilled workers from outside the European Economic Area (EEA). Once you have a sponsor license, you must remain compliant with UKVI’s regulations to maintain your status. Home Office compliance officers often visit businesses to ensure they are following the rules. If your business fails to meet these requirements, you risk losing your sponsor license.
Why Are Home Office Inspections Happening More Frequently?
In recent years, the UK government has increased efforts to ensure that businesses comply with immigration laws, especially in industries that rely on non-EEA workers. This means businesses with Tier 2 Sponsor Licences are more likely to be visited by UKVI compliance officers to check their records. Key reasons for inspections include:
- Risk Profile: Sectors like catering, hospitality, and retail are seen as higher risk for compliance issues.
- Genuine Employment Checks: UKVI may check whether employees are genuinely employed in the roles stated in their certificates of sponsorship.
- Renewal or New CoS: If your business has applied for a new Certificate of Sponsorship or hasn’t had an inspection in the last 12 months, you could trigger a visit.
- Immigration History: If your business has no previous immigration record, UKVI may decide to inspect your records.
- Expired Licence: If your sponsor license expires and you didn’t renew it, this could prompt a visit.
These inspections can happen at any time, including unannounced visits to locations where your sponsored staff are working, even if the management team is not based there.
How to Pass a Home Office Sponsor Licence Inspection
To increase your chances of passing a Home Office audit, follow these tips:
- Keep Complete and Accurate Records
Ensure that all the details on your sponsor license application are correct and supported by proper documentation. Retain copies of your application and any documents that back up your claims. - Track Sponsored Workers
Keep detailed records of your sponsored employees, including their immigration status, work locations, and personal details. Make sure this information is up-to-date. - Maintain the Sponsorship Management System (SMS)
Regularly update the SMS, which is used to track your sponsored workers. This is the responsibility of your nominated Level 1 user. Consider hiring an immigration lawyer to manage this system for you, so your team can focus on other tasks. - Prepare All Sites with Sponsored Staff
Prepare for a potential audit by ensuring all locations where your sponsored workers are employed have the correct records in place. - Appoint Key Personnel
Make sure your Authorising Officer, Key Contact, and Level 1 User are familiar with their responsibilities. These roles can be handled by one person or outsourced to an immigration lawyer, removing the burden from your team. - Check Resident Labour Market Test (RLMT) Requirements
When hiring staff from outside the EU, make sure to check if the Resident Labour Market Test (RLMT) is needed. If required, keep records of any domestic applicants who were not suitable for the position. - Know What to Do If Your Licence Is at Risk
If your Tier 2 or Tier 5 Sponsor Licence is downgraded, suspended, or revoked, seeking legal advice as soon as possible is critical. An experienced immigration lawyer can help you appeal the decision and get your licence reinstated.
What If You Fail the Inspection?
If your business is found to be non-compliant during an inspection, you could face severe consequences, including suspension or revocation of your sponsor license. However, with the right legal guidance, you can address any issues and restore your license. A skilled immigration lawyer can guide you through the process of reinstating your license and ensuring full compliance.
Having a Tier 2 or Tier 5 Sponsor Licence is essential for businesses that want to hire skilled workers from outside the EEA. While maintaining compliance can be challenging, it’s crucial to keep all records up-to-date and be prepared for Home Office inspections. If your business faces an audit or if your license is at risk, working with an experienced immigration lawyer can help ensure that your sponsor’s license remains intact.
At Law and Visas, we offer ongoing support for businesses with Tier 2 and Tier 5 Sponsor Licences. Our services include preparing for inspections, ensuring your Sponsorship Management System (SMS) is always updated, and providing guidance on compliance issues. Let us help you keep your business compliant and your sponsor license in good standing.
