Understanding the intricacies of the Sponsor Licence renewal fee is crucial for businesses that rely on overseas talent. The Sponsor Licence is a permission granted by the UK government to an employer, allowing them to hire workers from outside the European Economic Area (EEA). However, this licence is not a one-time purchase; it must be renewed every four years. This article will provide an essential guide to the Sponsor Licence renewal fee, including its cost and other related expenses such as the sponsor licence application fee.
Understanding the Sponsor Licence
The Sponsor Licence is a critical component of the UK’s points-based immigration system. It allows businesses to hire skilled workers from outside the EEA and Switzerland. There are two types of Sponsor Licences: Tier 2, for long-term job offers, and Tier 5, for temporary workers. The type of licence a business needs depends on the kind of workers they plan to hire.
Sponsor Licence Fee
The sponsor licence fee varies depending on the size of the business and the type of licence. For small or charitable sponsors, the fee for a Tier 2 or Tier 5 licence is £536. For medium or large sponsors, the fee is £1,476. It’s important to note that these fees are non-refundable, even if the application is unsuccessful.
Sponsor Licence Renewal
The Sponsor Licence is valid for four years. After this period, businesses must renew their licence if they wish to continue employing workers from outside the EEA and Switzerland. The renewal process involves a review of the business’s HR systems and practices to ensure they are still compliant with the UK’s immigration rules.
Sponsor Licence Renewal Fee
The sponsor licence renewal fee is the same as the initial sponsor licence fee. This means small or charitable sponsors will need to pay £536, while medium or large sponsors will need to pay £1,476. This fee must be paid every four years.
Additional Costs
In addition to the sponsor licence renewal fee, there are other costs associated with maintaining a Sponsor Licence. These include:
- The Immigration Skills Charge, which is £1,000 per year for large sponsors and £364 per year for small or charitable sponsors.
- The sponsor licence application fee, which is £536 for small or charitable sponsors and £1,476 for medium or large sponsors.
- The cost of the Certificate of Sponsorship, which is £199 for Tier 2 workers and £21 for Tier 5 workers.
How to Pay the Sponsor Licence Renewal Fee
The sponsor licence renewal fee can be paid online through the UK government’s website. Businesses will need to log in to their Sponsor Management System account to complete the payment. It’s important to note that the renewal process should be started at least three months before the licence expires to avoid any disruption in the ability to sponsor workers.
Conclusion
Understanding the sponsor licence renewal fee and other associated costs is crucial for businesses that rely on overseas talent. By staying informed and planning ahead, businesses can ensure they are able to continue employing skilled workers from outside the EEA and Switzerland without interruption.
It’s also worth noting that the process of applying for and maintaining a Sponsor Licence can be complex. Therefore, it may be beneficial to seek legal advice to ensure all requirements are met and avoid any potential issues with the UK’s immigration authorities.
