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Sponsored Workers Visa Update and What It Means

From 31 December 2024, updated Home Office guidance introduces new prohibitions on recouping some defined visa-related fees from sponsored workers. This update aims to enhance protections for workers under the Skilled Worker route and ensure compliance with sponsorship obligations. 

Key Changes

Prohibited Fees Sponsors are expressly prohibited from passing on or attempting to recover the following fees from sponsored workers: 
 

  • Skilled Worker Sponsor Licence Fees: This includes associated administrative costs, such as premium service fees. 
     

  • Certificate of Sponsorship (CoS) Fees: This applies to CoS assigned on or after 31 December 2024. 

These rules extend existing prohibitions, which already disallow the recoupment of the Immigration Skills Charge from sponsored workers. 

  • Enforcement and Penalties If a sponsor is found to have breached these rules by recouping or attempting to recoup the prohibited costs, their sponsor licence will "normally" be revoked by the Home Office. 

The Home Office introduced these changes to ensure fair treatment of sponsored workers and to align with broader policy goals of protecting migrant workers’ rights. These updates reflect a growing emphasis on ethical sponsorship practices and are part of ongoing efforts to enhance compliance within the Skilled Worker route. 

Practical Examples

  • Prohibited Practice: Deducting the cost of a Certificate of Sponsorship from the worker’s pay check or requiring reimbursement through informal agreements. 
     

  • Compliant Practice: Absorbing all costs associated with sponsor licences, Certificates of Sponsorship, and Immigration Skills Charges without transferring them to sponsored workers. 

Risk Mitigation

  • Proactive Measures: Conduct routine compliance audits to confirm adherence to Home Office requirements.
     

  • Policy Updates: Revise internal policies and sponsored worker contracts to reflect the updated rules. 
     

  • Training: Provide training for those in your business that deal with visa rules. 

Worker Protections

  • These updates aim to protect workers from unfair financial burdens and ensure they are not penalised for sponsorship costs.
     

  • Workers should be informed about their rights and provided with channels to report any non-compliant practices. 

FAQs and Common Missteps

  • Can businesses split these costs with sponsored workers? No. Costs for sponsor licences, CoS fees, and the Immigration Skills Charge must be fully borne by the business. 
     

  • What if an agreement was made before 31 December 2024? Any agreements made before this date should be reviewed for compliance, and sponsors should seek legal guidance to address legacy arrangements. 
     

  • Can workers volunteer to cover these costs? No. Even if workers express willingness, it is the business’s legal responsibility to cover the fees. 

Compliance

  • Conduct an immediate audit of current sponsorship practices. 

  • Update internal policies and train contract managers to ensure alignment with the new rules. 

  • Consult the official Home Office guidance for further clarification: Home Office Skilled Worker Guidance. 

  • Consider seeking professional advice to address any uncertainties and avoid compliance risks. 

These updates reflect the government’s commitment to protecting sponsored workers and ensuring ethical sponsorship practices. By aligning with the new guidance, businesses can maintain their licence, avoid penalties, and support fair treatment of their workforce. 

Note: Material on this platform is not legal advice but we’re here to point you in the right direction if needed. 

Last updated 17/02/2025

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