What is a sponsor licence rating?

A sponsor licence rating is the grade the Home Office gives a UK employer's sponsor licence, shown on the public register of sponsors. An A-rating means the employer can assign certificates of sponsorship. A B-rating means it has been downgraded for failing its duties and cannot sponsor new workers until it regains an A-rating.

How a sponsor licence rating works

A business that is granted a sponsor licence is given an A-rating if its application is approved. An A-rating lets it start assigning certificates of sponsorship, and the business is listed on the register of licensed sponsors.^{[1]Home Office, UK visa sponsorship for employers: Your licence rating}

The Home Office will not grant a licence if the business cannot reach an A-rating. Throughout the life of the licence it rates the sponsor A or B, depending on its assessment of the sponsor’s ability to comply with its sponsor duties.^{[2]Home Office, Workers and Temporary Workers: guidance for sponsors part 1: apply for a licence (accessible version)} A rating applies to a whole type of licence. A sponsor licensed on two Worker routes, for example, would show on the register as “Worker (B rated)” even if the problems concerned only one route.^{[2]Home Office, Workers and Temporary Workers: guidance for sponsors part 1: apply for a licence (accessible version)}

A different rule applies to the UK Expansion Worker route. If the authorising officer is based outside the UK, the sponsor gets a “provisional” rating and can assign only one certificate, which goes to the authorising officer. A provisional sponsor cannot be downgraded to a B-rating.^{[1]Home Office, UK visa sponsorship for employers: Your licence rating[3]Home Office, Workers and Temporary Workers: guidance for sponsors part 3: sponsor duties and compliance (accessible version)}

B-rating: what changes

The Home Office may downgrade an A-rated licence to a B-rating if it believes the sponsor lacks the processes to meet its duties or has not provided information it held when asked. The guidance says downgrading is generally for relatively minor breaches that can be fixed with an action plan. More serious cases lead to suspension or revocation.^{[3]Home Office, Workers and Temporary Workers: guidance for sponsors part 3: sponsor duties and compliance (accessible version)}

Before downgrading, the Home Office writes to the sponsor with its proposal and its reasons. The sponsor has 20 working days to respond in writing. There is no oral hearing.^{[3]Home Office, Workers and Temporary Workers: guidance for sponsors part 3: sponsor duties and compliance (accessible version)}

The fee, the 10 working days and the rules on new and existing workers are on GOV.UK.^{[1]Home Office, UK visa sponsorship for employers: Your licence rating} The 3-month length and the restrictions on branches and routes are in the sponsor duties guidance.^{[3]Home Office, Workers and Temporary Workers: guidance for sponsors part 3: sponsor duties and compliance (accessible version)}

Getting the A-rating back

The sponsor follows the steps in its action plan. At the end the Home Office carries out a further compliance check. If the sponsor has completed every step and there are no other concerns, it is upgraded to an A-rating. If it has not, the licence is revoked. If other problems have appeared that need a new plan, it gets a second B-rating and pays the fee again.^{[1]Home Office, UK visa sponsorship for employers: Your licence rating[3]Home Office, Workers and Temporary Workers: guidance for sponsors part 3: sponsor duties and compliance (accessible version)}

A sponsor can be B-rated only twice during a rolling 4-year period. If it meets the criteria for a downgrade a third time in that period, the Home Office will revoke the licence.^{[3]Home Office, Workers and Temporary Workers: guidance for sponsors part 3: sponsor duties and compliance (accessible version)} A sponsor that assigns a certificate to a new worker while B-rated also risks revocation.^{[3]Home Office, Workers and Temporary Workers: guidance for sponsors part 3: sponsor duties and compliance (accessible version)}

Example

Greenfield Care Ltd is downgraded to a B-rating after a compliance visit finds gaps in its record-keeping. It pays the £1,579 action plan fee within 10 working days and works through the plan for 3 months. During that time it can assign a certificate to Joy, a worker it already sponsors who needs to extend. It cannot assign one to a new recruit. If it completes the plan and the Home Office finds no other concerns, the A-rating is restored.

What people get wrong

A B-rating is not a minor warning that can be ignored. The sponsor must pay the action plan fee within 10 working days of being told of the downgrade. If it does not, it loses its licence.

The GOV.UK page on licence ratings sets this out.^{[1]Home Office, UK visa sponsorship for employers: Your licence rating} Applicants can also overlook the rating when they check an employer. On the Skilled Worker route the sponsor must be listed as A-rated on the register, unless the applicant was last granted permission as a Skilled Worker and is applying to continue working for the same sponsor.^{[4]Home Office, Immigration Rules Appendix Skilled Worker} If a licence is revoked, there is no right of appeal. The business can reapply, but only after at least 12 months.^{[1]Home Office, UK visa sponsorship for employers: Your licence rating}

The bottom line

The rating tells the Home Office, workers and applicants whether a sponsor is trusted to bring in new workers. An A-rating allows new certificates. A B-rating stops new hires and puts the sponsor on a paid, time-limited action plan. A third downgrade in 4 years, or failing the plan, ends in revocation.