Employment and pensions

Useful statistics

Published on 23rd Jun 2023

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On the 25th May 2023, UKVI released Sponsorship Transparency Data covering the first quarter of 2023. 

This data reveals some interesting insight for sponsors of Tier 2 Migrants/Skilled Workers.

Number of sponsors and sponsor licence applications

The number of Tier 2 sponsors (sponsors of Tier 2 and Skilled Worker migrants) has sharply increased. This time last year, there was 41,621 registered sponsors. Now, there are 61,153, representing more than a third increase in sponsors. The number of sponsors has more than doubled in the last three years.

As you would expect, this information is mirrored in the number of new sponsor licence applications. In the first quarter there were 8,651, compared to 5,988 for the first quarter of 2022. This is the most new applications since recording began in 2014.

This data is also reflected in the overall increase in net migration to the UK. It remains to be seen how the government will respond to inter party pressure to reduce net migration going forward, despite the above showing an increased reliance by UK business on migrant labour.

Sponsor licence processing times

The length of time taken to process sponsorship applications has improved, with 62.8% now being decided within 4 weeks, and the average time being 41.63 days.

This time last year we were looking at a small 14.9% and 57.55 days respectively, as UKVI redirected resources following the Ukraine crisis.

This is good news for new sponsors, as they can now expect the sponsorship process to move much more smoothly and with more certainty.

Compliance

Actions taken against sponsors has also increased, with 193 Tier 2 licences being suspended, and 179 revoked. This marks the highest number since 2019, pre pandemic levels.

In practice, we have seen this increase in compliance reflected in increasing numbers of in person audits. It is more important than ever to ensure you are carrying out appropriate right to work checks, monitoring sponsor workers and updating UKVI of any changes. Of course, we are always happy to support.

From a political perspective, the increased number of audits is likely to continue. There are no longer Covid-19 considerations limiting the possibility of in person audits. This, coupled with the harder line position on immigration, and 'crackdown' on illegal immigration, will mean that there is pressure to take actions against sponsors not in compliance with their obligations.

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* This article is current as of the date of its publication and does not necessarily reflect the present state of the law or relevant regulation.

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