
As UK businesses continue to face skills shortages in healthcare, hospitality, engineering, and IT, overseas recruitment has become essential.
But hiring staff from abroad in 2025 requires strict compliance with Home Office sponsorship rules.
At AHJ Immigration, we work with employers every week to help them obtain and manage their Sponsor Licence, issue Certificates of Sponsorship (CoS), and stay compliant with immigration law.
Here’s how to recruit overseas talent legally and efficiently in 2025 — without risking fines or licence suspension.
Understanding the UK Sponsorship System
The UK operates a Points-Based Immigration System (PBS) where overseas workers need sponsorship from a licensed employer. Your business must hold a Sponsor Licence issued by the Home Office.
This licence allows you to:
- Hire overseas nationals on Skilled Worker or Health & Care Worker visas
- Issue Certificates of Sponsorship (CoS)
- Manage ongoing employee compliance in your online sponsor account
Without this licence, you cannot legally hire non-settled workers.
Why Compliance Matters More Than Ever
In 2025, the Home Office increased audits and penalties for sponsor breaches.
| Area | 2024 Rules | 2025 Update |
|---|---|---|
| Salary threshold | £26,200 | £38,700 or role’s “going rate” |
| Licence audits | Random or complaint-based | Routine audits every 12–18 months |
| Fines | £20,000 per breach | Up to £60,000 per worker |
| Suspension risk | Repeated reporting errors | Now includes missing HR checks |
✅ Tip: Keeping proper HR records and reporting changes quickly is as important as the visa itself.
🔒 Secure & Confidential: All consultations and client data are fully protected under GDPR compliance and handled only by qualified AHJ Immigration advisors.
Steps to Sponsor Overseas Workers
Step 1 – Apply for a Sponsor Licence
You’ll need to show:
- A genuine business operating lawfully in the UK
- HR systems to track and report sponsored workers
- At least one Authorising Officer (AO) and Level 1 user
The Home Office checks your trading documents, VAT and PAYE details, and company accounts.
Step 2 – Assign a Certificate of Sponsorship (CoS)
Once approved, you can issue a CoS to your chosen employee.
This is a digital record linking your company to the worker’s visa application.
Step 3 – Worker Applies for Visa
Your overseas candidate then applies for their Skilled Worker Visa using the CoS number.
Choosing the Right Visa Route
The Skilled Worker route covers most professional roles.
However, other routes may suit certain industries:
| Route | Ideal For | Licence Required? |
|---|---|---|
| Skilled Worker Visa | Long-term employees | ✅ Yes |
| Health & Care Worker Visa | NHS or care roles | ✅ Yes |
| Graduate Visa | UK graduates already in UK | ❌ No |
| Temporary Worker Visa | Seasonal or short-term roles | ✅ Yes |
We help employers identify the correct route before they invest in sponsorship.
Employer Responsibilities After Sponsorship
Once you’ve sponsored a worker, you must:
- Keep accurate HR records (passport, visa, attendance)
- Report changes (job title, salary, absences) within 10 working days
- Renew your licence every 4 years
- Cooperate with Home Office audits
Failure to meet these can lead to licence suspension or revocation.
Common Compliance Mistakes
- Not updating HR files when employees change roles.
- Missing salary increases after renewal.
- Forgetting to report employee resignations or absences.
- Using CoS for jobs not on the eligible occupation list.
- Not checking “right to work” again after visa renewal.
✅ Tip: Use a compliance calendar or assign an immigration adviser to manage reporting deadlines.
How to Pass a Home Office Audit
The Home Office may visit your office before or after granting your licence.
Inspectors will check:
- Your employee files (visas, contracts, attendance logs)
- Proof of genuine business operations
- Training and payment records
- Understanding of reporting duties
Be ready with:
- A Sponsor Licence folder (digital or physical)
- All communication with UKVI
- Up-to-date Level 1 user details
We often carry out mock compliance audits to prepare employers before real inspections.
Salary Thresholds in 2025
The new general salary threshold is £38,700, or the going rate for your occupation — whichever is higher.
However, some exceptions apply:
- Health & Care Worker Visa: £29,000
- New Entrants (graduates under 26): 30% discount
- Shortage Occupations: up to 20% discount
Always check the Skilled Occupation List before issuing a CoS.
How to Find Overseas Talent
- Advertise through approved job platforms or government portals
- Work with recruitment partners experienced in PBS sponsorship
- Check whether candidates already hold valid UK immigration status (e.g. Graduate Visa)
Recruitment fraud is common — always verify candidate identities and previous visa history before sponsorship.
Renewing and Managing Your Licence
Licences last 4 years.
Renew at least 3 months before expiry to avoid disruption.
If your Authorising Officer leaves, or your business moves address, you must update your licence immediately.
Failure to do so can invalidate your sponsorship ability.
Costs Involved
| Fee Type | Small / Charitable Sponsor | Medium / Large Sponsor |
|---|---|---|
| Sponsor Licence Application | £536 | £1,476 |
| Certificate of Sponsorship (CoS) | £239 | £239 |
| Immigration Skills Charge | £364–£1,000 per year | £1,000 per year |
| Legal / advisory support (optional) | From £800 | From £1,200 |
You’ll also pay the Immigration Health Surcharge (IHS) and visa fees if you’re covering them for employees.
What If the Home Office Refuses Your Licence
You can reapply after 6 months — but it’s best to appeal the reasons with legal help first.
Common refusal reasons include:
- Missing company documents
- Weak HR procedures
- No evidence of genuine need for overseas staff
We help businesses prepare reconsideration letters and rebuild their HR systems to pass re-inspection.
How AHJ Immigration Can Help
At AHJ Immigration, we support employers from start to finish:
- Applying for and renewing Sponsor Licences
- Issuing and managing Certificates of Sponsorship
- Conducting internal audits and compliance checks
- Advising on overseas recruitment strategy
- Handling Home Office visits and post-licence management
💬 Book your free 30-minute employer consultation:
https://ahjimmigration.co.uk/book-consultation
A Midlands-based care home group contacted AHJ Immigration after receiving a Home Office warning letter for missing employee updates. We conducted a compliance audit, corrected reporting errors, retrained their HR team, and renewed their licence successfully — saving them from suspension and potential staff losses.
FAQs on Recruiting Overseas Staff in 2025
1. Why do UK businesses need overseas recruitment in 2025?
Because sectors like healthcare, IT, engineering, and hospitality still face skills shortages. Hiring overseas workers allows employers to fill essential roles legally under the Points-Based System — but only if they hold a valid Sponsor Licence and follow Home Office compliance rules.
2. What is a Sponsor Licence and why is it required?
A Sponsor Licence gives your business permission to employ non-settled workers. It’s issued by the Home Office and managed online through the Sponsor Management System. Without it, you can’t issue Certificates of Sponsorship or legally hire overseas staff under the Skilled Worker route.
3. How have the sponsorship rules changed in 2025?
The salary threshold has increased from £26,200 to £38,700 or the job’s going rate. Routine compliance audits now occur every 12–18 months, and fines can reach £60,000 per breach. Missing HR checks or delayed reporting can now trigger suspension of your Sponsor Licence.
4. What are the main steps to sponsor an overseas employee?
Step 1 – Apply for a Sponsor Licence and show your business is genuine. Step 2 – Assign a Certificate of Sponsorship (CoS) to the chosen candidate. Step 3 – The worker uses that CoS to apply for their Skilled Worker Visa. Each step must meet strict Home Office evidence requirements.
5. What HR responsibilities do employers have after sponsorship?
You must keep accurate employee files, report changes within 10 working days, renew your licence every 4 years, and cooperate with Home Office audits. Non-compliance — even minor — can lead to downgrades, suspension, or licence revocation.
6. What are common compliance mistakes to avoid?
Not updating HR records when employees change jobs, missing salary increases, failing to report absences or resignations, and using CoS for ineligible roles. Another frequent error is not re-checking “right to work” after a visa renewal.
7. How can businesses prepare for a Home Office audit?
Keep a well-organised Sponsor Compliance Folder, maintain updated employee files, and ensure Level 1 users and Authorising Officers are active. Inspectors will assess genuine trading, payroll, attendance, and reporting systems — so being organised and consistent is crucial.
8. What are the new salary thresholds in 2025?
The general threshold is £38,700 or the job’s going rate. Exceptions apply: £29,000 for Health & Care Workers, 30% discount for new entrants under 26, and up to 20% discount for shortage occupations. Always confirm the current Skilled Occupation List before assigning a CoS.
9. What are the costs involved in overseas recruitment?
Small sponsors pay £536 for a Sponsor Licence, while large ones pay £1,476. CoS fees are £239 each. The Immigration Skills Charge ranges from £364–£1,000 per year per worker, plus visa and health surcharge costs. Professional immigration advice is recommended to avoid errors.
10. How can AHJ Immigration help my business?
We assist employers through every step — from applying for a Sponsor Licence to assigning CoS, training HR staff, and preparing for audits. Our compliance packages include internal reviews and mock inspections, helping you stay audit-ready and legally recruit overseas talent with confidence.
Hiring overseas staff in 2025 remains fully possible — but only with compliance and planning.
The Home Office is now stricter, and every missed update can risk your licence.
At AHJ Immigration, we ensure your business recruits confidently, stays compliant, and grows sustainably with overseas talent.
Need Help With Your UK Visa?
Book a consultation with our OISC-regulated adviser today. Whether you’re applying, extending, or appealing — we’ll guide you every step of the way.
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