Friday 13 March 2026

On Friday 6 March 2026, the Home Office published updated sponsor guidance (version 03/26), introducing a number of changes affecting employers who hold a sponsor licence.

We outline below key changes for sponsors to be aware of and encourage HR personnel to review changes in full in line with a renewed obligation to do so, as now stated explicitly in the guidance.

New ‘eligible role’ requirement            
One notable change is the replacement of the concept of a ‘genuine vacancy’ with a new definition of an ‘eligible role’. Employers must ensure that any role they sponsor:

• genuinely exists or is expected to exist when the Certificate of Sponsorship (CoS) is assigned;
• accurately reflects the duties, hours and job description recorded on the CoS;
• meets all relevant immigration requirements, including skill level and salary thresholds; and
• is appropriate for the size and nature of the business.

In practice, employers will need to ensure that sponsored roles are clearly evidenced, accurately described and genuinely required within the business at the point a CoS is assigned. The Home Office may increasingly scrutinise whether the job duties, occupation code, salary and business need all align, particularly during compliance checks or licence assessments. Sponsoring  or attempting to sponsor a worker for a role which does not meet the definition of ‘eligible role’ may result in revocation of a licence.

Greater emphasis on compliance and Home Office discretion           
The updated guidance places greater emphasis on compliance and Home Office discretion. The Home Office now states that it may take enforcement action where it has a ‘reasonable suspicion’ of non-compliance, rather than waiting until a breach has been proven.

Sponsors are also now expressly required to read all relevant parts of the sponsor guidance – including the main guidance, appendices, glossary and route-specific sections – and to remain aware of future updates.

Stronger expectations around HR processes 
Several changes reinforce the importance of accurate HR processes. In line with ‘eligible role’ changes, sponsors must ensure that the job description and duties recorded on a CoS accurately reflect the work the employee will actually carry out, and that any permitted changes to the role are properly reported on the Sponsorship Management System.

The guidance also clarifies that right to work check obligations apply not only to direct employees but also to workers who are engaged by the sponsor in another capacity, such as certain contractors.

In addition, sponsors must ensure that sponsored workers are informed of their employment rights, including the following areas:

• relevant entitlements to National Minimum Wage;
• compliance with Working Time Regulations;
• auto-enrolment and opt-out of employer pensions;
• entitlements for statutory leave and pay;
• health and safety regulations in place;
• relevant trade union information;
• employer duties under the Equality Act; and
• how to raise grievances in the workplace.

Sponsors must retain evidence that this information has been provided to sponsored workers, such as copies of an employment contract, employee handbook or details of training courses.

Salary compliance
The updated guidance also introduces a new mandatory ground for licence refusal or revocation where a worker’s salary has been artificially inflated to meet the relevant salary thresholds under the Immigration Rules. Sponsors are additionally reminded of their obligation to ensure that the salary stated on the Certificate of Sponsorship is actually paid at the required level on an ongoing basis, including through regular monthly payments.

This change aligns with recent clarifications in the immigration rules regarding salary payments. It reflects the Home Office’s increasing focus on salary compliance and aligns with the wider programme of compliance activity and data-sharing between the Home Office and HMRC to identify potential discrepancies between sponsored salary levels and payroll records.

Why these changes matter for employer sponsors    
These changes are important for employers because they reinforce the Home Office’s increasingly strict approach to sponsor compliance. The revised guidance makes clear that the sponsorship system operates at the Home Office’s discretion. Enforcement action, including licence suspension or revocation, may be taken where there is a reasonable suspicion that sponsor duties are not being met.

For employers, these changes mean greater scrutiny of whether sponsored roles genuinely reflect the work being carried out, stronger expectations around HR systems and record-keeping and new obligations around informing sponsored workers of their employment rights.

Businesses with sponsored workers should therefore review their internal processes to ensure they remain compliant with the updated guidance.

Sponsor compliance services 
LDI offers a range of sponsor compliance services, flexibly available individually or as a bundle.

Increased Home Office compliance visits and financial penalties make it essential for sponsors to ensure their business is compliant. As a market leader in immigration risk mitigation, LDI provides a bespoke, client-focused and responsive approach.

Our compliance services support compliant sponsors by strengthening their practices and providing reassurance to the businesses. For non-compliant sponsors, the service identifies specific risk areas to the business and provides solutions to ensure it has a compliant licence and robust practices through easy to implement strategies.

Get in touch    
If your HR team requires assistance understanding these changes, contact your assigned LDI lawyer or our Enquiries team at enquiries@lauradevine.com, and we will be pleased to discuss how we can help. You can also subscribe to our mailing list to receive the latest updates to UK immigration law.