What It Means for Your Business
If UK Visas & Immigration (UKVI) “rejects” or refuses your sponsor licence application, it means UKVI will not grant you authorisation to employ migrant workers. You will receive a formal notice (usually a refusal letter) outlining UKVI’s decision. In either case, your organisation’s name will not be added to the Register of Sponsors, and you cannot issue Certificates of Sponsorship until a licence is granted.
There is no automatic appeal against a sponsor licence refusal (unlike many visa refusals), though you can ask UKVI to correct a caseworker error or pursue judicial review in exceptional cases. In practical terms, a refusal disrupts your recruitment plans: you cannot sponsor any new workers and must wait (usually at least six months) before reapplying.
Common Reasons for Sponsor Licence Refusal
UKVI applies strict criteria when assessing sponsor licence applications. Common causes of refusal include:
- Incomplete or incorrect documentation:Failure to submit all required supporting documents (as set out in Appendix A) or missing information.
- False or misleading information:Supplying false documents or making deceptive statements is a serious breach and can lead to prosecution.
- No genuine UK presence or vacancy:UKVI doubts the business’s genuineness, its operating presence, or the need for the sponsored role.
- Unsuitable HR and compliance systems:Inadequate record-keeping or poor procedures to monitor sponsored workers found during a pre-licence visit.
- Ineligible key personnel:Nominated individuals have unresolved issues such as unspent criminal convictions or are not resident in the UK.
- Previous breaches and penalties:A history of non-compliance, such as a previously revoked licence or civil penalties for illegal working.
After a Refusal: Next Steps
If UKVI has refused your sponsor licence application, take prompt action:
- Review the Refusal Notice:Carefully analyse the Home Office’s reasons to identify each ground of refusal.
- Correct Caseworker Errors:You can ask UKVI to correct processing errors via a written request within 14 days.
- Consider Judicial Review:If the decision appears unlawful or procedurally unfair, a court challenge (filed within 3 months) is an option.
- Prepare to Reapply:More commonly, businesses address the issues and submit a new, stronger application after the mandatory "cooling-off" period.
Cooling-Off Periods Explained
UKVI enforces a mandatory “cooling-off” period after a refusal during which you cannot make a successful application. The length depends on the reason for refusal:
- Standard Refusal:If your application was refused for routine reasons, you generally must wait 6 months from the refusal date before applying again.
- Exemptions:There is no cooling-off if the refusal was solely due to factors beyond your control (like a missed deadline for reasons you couldn't control).
- Extended Bans:Certain grounds trigger longer bans, such as a 12-month wait after a licence revocation or for paid civil penalties.
Improving Your Reapplication Prospects
A rejected licence offers valuable lessons. To improve your chances when reapplying:
- Double-check Documentation: Use the official checklist to ensure every required document is included, organised, and proves genuine trading.
- Strengthen HR/Compliance Systems: Implement robust record-keeping (tracking arrivals, absences, right-to-work scans) and staff training.
- Appoint Eligible Personnel: Ensure your Authorising Officer and Key Contact are fully eligible (UK residents, settled, with no disqualifying records).
- Audit and Correct Past Issues: Address the specific reasons for the previous refusal head-on with stronger evidence and a clearer business case.
- Expert Review: Before resubmitting, consider a legal review to spot weaknesses and ensure all Home Office concerns are squarely addressed.
How Lexington Ashworth Solicitors Can Help
Lexington Ashworth Solicitors’s Manchester-based team is highly experienced in sponsor licence compliance work. We live by our values of integrity, insight, impact, and precision in every case. Our corporate immigration solicitors can assist you with:
Application Review
We audit your draft licence application and supporting documents to catch errors or omissions before submission.
Evidence Preparation
We advise on and help compile critical evidence – from corporate records to compliance manuals – ensuring nothing is overlooked.
Compliance Audits
We conduct HR and systems audits to confirm that your processes meet UKVI’s requirements, flagging gaps before you file.
Challenge and Appeal
If needed, our lawyers can advise on judicial review or error correction requests to challenge an unfair decision.
Reapplication Strategy
We help you craft a compelling new application, learning from the refusal reasons to build a stronger case.
For precise, actionable advice and robust representation, get in touch with Lexington Ashworth. Let our sponsor licence solicitors in Manchester review your case and help safeguard your hiring plans. Contact us today for a consultation on your sponsor licence issue.