Every route to hiring a Skilled Worker in the UK starts with the Sponsor Licence. You cannot assign a Certificate of Sponsorship, you cannot hire from outside the EEA without the right to work, and you cannot fast-track any part of the process without the licence already in place. For a contractor who has never used it before, the licence application is the first and most important step.
Sponsor Licence essentials for construction firms
- A-rated Sponsor Licence required to hire Skilled Workers; T-rated is students only
- Processing time: roughly 8–10 weeks from application submission
- Fee: £536 for small employers; £1,476 for medium/large
- Small employer = fewer than 50 employees and under £10.2m annual turnover
- Three mandatory roles must be nominated: Authorising Officer, Key Contact, Level 1 User
What UKVI checks before granting the licence
- Genuine vacancy: the role must be a real position at your company, not a manufactured one. UKVI assessors can ask about the business need.
- HR systems and compliance readiness: you need record-keeping and right-to-work checking processes in place before applying. An onsite visit can happen.
- No relevant criminal history for key personnel.
- Trading history: evidence that the business is genuinely trading - bank statements, client contracts, HMRC registration.
The three roles you must nominate
| Role | What they do | Can be the same person? |
|---|---|---|
| Authorising Officer | Senior person responsible for the Sponsor Licence; accountable to UKVI | No - must be a senior employee |
| Key Contact | UKVI’s main point of communication for the licence | Can be the same as Level 1 User |
| Level 1 User | Has day-to-day access to the Sponsor Management System (SMS) to assign CoS | Can be the same as Key Contact |
After the licence: the Sponsor Management System
Once licensed, your Level 1 User accesses the Sponsor Management System to assign Certificates of Sponsorship, manage workers, report certain changes (such as a worker leaving) and renew the licence. Compliance duties continue for as long as you hold the licence - right-to-work records, reporting absences and tracking visa expiry dates. UKVI can audit you at any time. The licence is only useful if the compliance machinery behind it runs properly.
Once the licence is in place, hiring a Skilled Worker is fast: assign a CoS in SMS, the worker applies for the visa (five working days with priority processing), they arrive, you complete the Right to Work check and they start. Our full construction hiring guide covers the end-to-end from there.
Need help getting a Sponsor Licence or managing an existing one?
Recruitroo supports UK construction employers through the Sponsor Licence application, nominations and ongoing SMS compliance, alongside sourcing and placing the Skilled Workers you actually need. The licence and the hire managed together, not in sequence.
Frequently asked questions
How long does a UK Sponsor Licence last?
Sponsor Licences are granted indefinitely but must be maintained in good standing. UKVI can downgrade or revoke a licence for compliance failures.
Can a subcontractor hold a Sponsor Licence?
Yes - any UK-registered, genuinely trading business can apply. Size is not a barrier; the requirements around compliance systems and trading evidence are the same.
What happens if we get audited?
UKVI audits check your right-to-work records, the accuracy of your SMS data and your compliance with reporting duties. Firms with clean records and current documentation have nothing to fear from an audit.
This guide reflects UK Sponsor Licence requirements as of September 2026. Application fees, processing times and compliance requirements change - check current UKVI guidance or ask Recruitroo before applying.