The hospitality industry in the United Kingdom continues to face significant staffing challenges, with many hotels and restaurants struggling to fill skilled positions from the domestic labour market. If your business needs to recruit talented workers from overseas, obtaining a sponsor licence is the essential first step.
Table of Contents
- Who Needs a Sponsor Licence in the Hospitality Sector?
- Eligible Roles for Sponsorship in Hospitality
- Sponsor Licence Requirements
- Step-by-Step Application Process
- Costs of Sponsoring Workers
- Sponsor Duties After Approval
- Common Reasons for Application Refusal
- Why Work With Sterling Law?
- FAQ
Who Needs a Sponsor Licence in the Hospitality Sector?
Any hotel, restaurant, pub, café, catering company, or other hospitality business that wishes to employ workers from outside the UK must hold a valid sponsor licence. This requirement applies regardless of your business size, whether you operate a single establishment or manage multiple locations across the country.
You will need a sponsor licence if you want to hire:
- overseas workers who do not have settled status in the UK
- EU, EEA, or Swiss nationals who arrived after 31 December 2020 and do not hold pre-settled or settled status
- workers currently in the UK on visas that do not permit employment with your business
Eligible Roles for Sponsorship in Hospitality
Not all positions within the hospitality industry qualify for sponsorship under the Skilled Worker visa route. The Home Office maintains strict eligibility criteria based on skill level and occupation codes. Following significant changes implemented on 22 July 2025, the range of sponsorable hospitality roles has been narrowed.
The following positions remain eligible for Skilled Worker sponsorship in the hospitality sector:
|
SOC Code |
Job Title | Going Rate (2026) |
Minimum Salary |
| 1221 | Hotel and Accommodation Managers | £38,300 per year (£19.64/hour) | £41,700 |
| 1222 | Restaurant and Catering Managers | £33,400 per year (£17.13/hour) | £41,700 |
| 1223 | Publicans and Managers of Licensed Premises | £36,300 per year (£18.62/hour) | £41,700 |
| 1224 | Leisure and Sports Managers | £36,300 per year (£18.62/hour) | £41,700 |
Important note about chefs: As of 22 July 2025, the Chef occupation code (SOC 5434) is no longer available for new Skilled Worker sponsorship. Businesses can only continue sponsoring chefs who already held Skilled Worker visas granted before this date and have maintained continuous leave in this route. New overseas chefs cannot be sponsored under the current immigration rules.
Roles you cannot sponsor
The following positions do not meet the skill level requirements for Skilled Worker sponsorship:
- waiters and waitresses
- bar staff and bartenders
- kitchen assistants and porters
- room attendants and housekeepers
- cleaners and domestic staff
- catering assistants
- fast food service workers
These roles are classified as lower-skilled occupations and fall outside the scope of the Skilled Worker visa route.
Sponsor Licence Requirements
Before submitting your application, your business must demonstrate that it meets all eligibility criteria set by the Home Office.
Business eligibility
Your organisation must satisfy the following requirements:
- Genuine and lawful operation. Your business must be legitimately operating in the UK and registered with the appropriate authorities (Companies House, HMRC, or relevant regulatory bodies).
- Genuine vacancy. You must have a real need to employ overseas workers for roles that cannot be filled from the resident labour market.
- No immigration breaches. Your business must have no history of immigration law violations, including previous licence revocations or penalties for employing illegal workers.
- Compliance capability. You must have robust HR systems in place to monitor sponsored workers and fulfil your reporting obligations.
Key personnel
Every sponsor licence requires the appointment of three key personnel who will manage your sponsorship responsibilities:
| Role | Responsibilities | Requirements |
|---|---|---|
| Authorising Officer | Overall responsibility for the licence and compliance with sponsor duties | Must be the most senior person in the organisation; a director, partner, or sole proprietor |
| Key Contact | Primary point of contact with the Home Office | Can be the same person as the Authorising Officer |
| Level 1 User | Day-to-day management of the SMS | Responsible for assigning Certificates of Sponsorship and reporting changes |
All key personnel must be based in the UK, be paid employees or office holders, and must not have any unspent criminal convictions for immigration offences or dishonesty.
Step-by-Step Application Process
Step 1: Prepare your documentation
Gather all required supporting documents before starting your application. The specific documents needed depend on your business type and structure. Typical supporting documents include:
- company bank statements
- HMRC or Companies House evidence
- proof of registration or licensing, if relevant to the business
- details of the organisation’s structure
- information about the role or roles the business expects to sponsor
- a hierarchy chart, where relevant
For hospitality businesses, the document pack should match the real business model. A restaurant with one small site, for example, should not submit evidence that leaves the reviewer unclear about ownership, staffing and control. A hotel group should be equally clear about which entity is applying and which locations are involved. Clear evidence makes the application easier to assess and reduces the risk of doubt or delay.
Step 2: Submit your online application
Complete the sponsor licence application form on the UK Visas and Immigration website. You will need to provide:
- details about your organisation and its trading history
- information about the roles you intend to sponsor
- contact details for your key personnel
- supporting document references
Step 3: Pay the application fee
Sponsor licence fees depend on your organisation’s size:
| Organisation Size | Application Fee |
| Small or charitable sponsor | £611 |
| Medium or large sponsor | £1,682 |
Your business is classified as small if it meets at least two of the following criteria:
- annual turnover of £15 million or less
- balance sheet total of £7.5 million or less
- 50 employees or fewer
If you need a faster decision, you can request priority processing for an additional £750. This aims to deliver a decision within 10 working days, though it is subject to availability and is not guaranteed.
Step 4: Submit supporting documents
After submitting your online application, you must upload your supporting documents within five working days. Late or incomplete submissions can result in automatic refusal.
Step 5: Await decision (and possible compliance visit)
Standard processing time is approximately eight weeks. During this period, the Home Office may conduct a pre-licence compliance visit to your premises to verify:
- your business is genuine and operational
- you have appropriate HR systems in place
- your key personnel understand their responsibilities
- your premises are suitable for the employment you intend to offer
Costs of Sponsoring Workers
Beyond the initial licence fee, sponsoring overseas workers involves several ongoing costs. Understanding these expenses is essential for budgeting purposes.
Cost breakdown per worker
| Cost Type | Small Sponsor | Medium/Large Sponsor |
| Certificate of Sponsorship | £525 | £525 |
| Immigration Skills Charge (first 12 months) | £480 | £1,320 |
| Immigration Skills Charge (each additional 6 months) | £240 | £660 |
Example calculation for a 3-year sponsorship:
For a small sponsor hiring one worker for three years:
- CoS fee: £525
- ISC: £480 + (£240 × 4) = £1,440
- total employer cost: £1,965 per worker
For a medium/large sponsor hiring one worker for three years:
- CoS fee: £525
- ISC: £1,320 + (£660 × 4) = £3,960
- total employer cost: £4,485 per worker
Costs you cannot recover from workers
Since January 2025, the Home Office has strictly prohibited employers from recovering certain sponsorship costs from workers. Attempting to recoup these expenses can result in licence revocation:
- Sponsor licence application fee
- Certificate of Sponsorship fee
- Immigration Skills Charge
Employers who breach these rules face severe consequences, including immediate licence suspension and potential revocation.
Sponsor Duties After Approval
A sponsor licence is not a one-off approval. It creates ongoing duties. Sponsors must report changes to a worker’s circumstances within 10 working days unless a different rule applies, and must report significant changes to the business within 20 working days. The business may face action if it fails to do so.
For example, the sponsor must report if a sponsored worker does not start their role, if they are absent without permission for more than 10 consecutive working days, or if the business goes through a merger or takeover that affects sponsorship responsibility. Hotels and restaurants often have complex staffing patterns, so these reporting duties should be built into HR management from the start.
In most cases, a sponsor licence now remains valid until it is surrendered or revoked, although there are exceptions for certain route-specific licences. That makes ongoing compliance more important than ever, because the main risk now lies in keeping the licence, not simply renewing it.
Compliance visits
The Home Office conducts both announced and unannounced compliance visits to sponsor premises. During these visits, officials will examine your:
- HR systems and record-keeping practices
- understanding of sponsor duties among key personnel
- employment practices and working conditions
- evidence of genuine employment for sponsored workers
Failure to pass a compliance visit can result in licence downgrade, suspension, or revocation.
Common Reasons for Application Refusal
Understanding why applications fail can help you avoid costly mistakes. The most frequent reasons for sponsor licence refusals include:
Documentation issues:
- failing to submit all required documents within the five-working-day deadline
- providing documents that do not meet Home Office specifications
- submitting outdated or inconsistent information
Business concerns:
- insufficient evidence of genuine business activity
- inadequate HR systems to manage sponsored workers
- history of immigration breaches or non-compliance
Personnel issues:
- key personnel with unspent criminal convictions
- failure to demonstrate understanding of sponsor duties
- key personnel based outside the UK
If your application is refused, you will typically face a cooling-off period of six to twelve months before you can reapply, and your application fee is non-refundable.
Why Work With Sterling Law?
Navigating the UK immigration system requires specialist knowledge and meticulous attention to detail. At Sterling Law, our experienced immigration lawyers have helped numerous hospitality businesses successfully obtain sponsor licences and recruit the skilled workers they need.
Our services include:
- Eligibility assessment. We evaluate your business against Home Office requirements and identify any potential issues before you apply.
- Application preparation. We compile your supporting documents, complete your application forms, and ensure everything meets the required standards.
- Compliance audit. We review your HR systems and processes to ensure you are ready for Home Office scrutiny.
- Ongoing support. We provide guidance on fulfilling your sponsor duties and help you manage your licence effectively.
- Certificate of Sponsorship. We assist with assigning CoS documents to your overseas workers correctly.
Sterling Law has a proven history of successful sponsor licence applications across the hospitality sector. Our clients include hotels, restaurants, catering companies, and other hospitality businesses throughout the United Kingdom.
Contact us today
If you are considering applying for a sponsor licence for your hotel or restaurant, our team is ready to assist. We offer a free initial consultation to discuss your specific circumstances and explain how we can help.
Frequently Asked Questions
How long does it take to get a sponsor licence?
Standard processing takes approximately eight weeks. Priority service (£750 extra) aims for a decision within 10 working days but is not guaranteed.
Can I sponsor chefs for my restaurant?
No. Since 22 July 2025, new chef sponsorship (SOC 5434) is no longer permitted. Only chefs who already held Skilled Worker visas before this date can continue. Consider sponsoring managerial roles instead.
What is the minimum salary I must pay sponsored workers?
The general threshold is £41,700 per year or the occupation-specific going rate, whichever is higher. You must also pay at least £17.13 per hour.
Can I sponsor part-time workers?
Yes, but salary requirements are pro-rated based on working hours. The annual threshold and minimum hourly rate must still be met.
What happens if my sponsor licence application is refused?
You lose the application fee and face a cooling-off period of six to twelve months before reapplying. Professional legal advice before applying minimises this risk.
Do I need a new licence for each location?
No. A single licence covers your entire organisation, but each work location must be registered via the Sponsorship Management System.
How long is my sponsor licence valid?
Indefinitely. Since April 2024, licences no longer require renewal, though the Home Office may audit your compliance at any time.
Can I recover any sponsorship costs from workers?
No. Recovering licence fees, CoS fees, or the Immigration Skills Charge from workers is prohibited and can result in licence revocation.
