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UK Guidance for Sponsors on Applying for a Licence Updated

🇬🇧 United KingdomEmployer Sponsorship1 recorded versionLast change 28 Aug 2026
ConfidenceVery high · 100%

Current rules

The new guidance introduces three major changes. 1. Level 2 Users are being phased out From 9 September 2026, sponsors will no longer be able to appoint new Level 2 Users. Existing Level 2 Users will not disappear immediately. The guidance states that the Level 2 role will be abolished after 8 March 2027. This means organisations currently relying on Level 2 Users need to reorganise their SMS access before the role disappears. 2. Multi-factor authentication becomes mandatory From 3 September 2026, SMS Users will be required to use multi-factor authentication (MFA). The updated guidance introduces new requirements governing MFA for SMS Users and explains how users must access and maintain their accounts. This is primarily a security change designed to make unauthorised access to sponsorship accounts more difficult. 3. New rules for inactive SMS accounts The Home Office has introduced a process for dealing with inactive SMS User accounts. Users are expected to access their accounts regularly and keep their information up to date. Sponsors must ensure that they maintain active SMS users so that they can continue managing their sponsor licence properly. The guidance warns that failure to maintain appropriate active users can put the sponsor's licence at risk.

Overview

UK Visas and Immigration (UKVI) has updated its 'Workers and Temporary Workers - guidance for sponsors part 1: apply for a licence' document, with version 08/26 coming into effect on 28 August 2026. This update provides revised guidance for employers on the requirements for obtaining a sponsor licence, how applications are assessed, and procedures for refusal. Key changes include clarifying the burden of proof in sponsor licence decisions and introducing the term 'eligible role'.

Who is affected by the latest change

  • UK employers holding Worker or Temporary Worker sponsor licences
  • Organisations applying for a Worker or Temporary Worker sponsor licence
  • Authorising Officers
  • Key Contacts
  • Level 1 SMS Users
  • Existing Level 2 SMS Users
  • Organisations that use the Sponsorship Management System
  • Employers sponsoring Skilled Workers
  • Employers sponsoring Global Business Mobility workers
  • Employers sponsoring Temporary Workers
  • Migrant workers whose immigration status depends on a compliant UK sponsor

What changed in the latest version

Before

The previous guidance was version 05/26. This was for 'Workers and Temporary Workers - guidance for sponsors part 1: apply for a licence'. Sponsors could use different types of SMS users. These users managed their sponsorship licence. The old system included: * Level 1 Users. These users could do most of the tasks to manage sponsorship. * Level 2 Users. These users had more limited access to the Sponsorship Management System (SMS).

After

The new guidance brings in three main changes. 1. Level 2 Users will stop being used. From 9 September 2026, sponsors cannot appoint any new Level 2 Users. Existing Level 2 Users will not lose their role at once. The guidance says the Level 2 role will end after 8 March 2027. This means organisations that use Level 2 Users now must change their Sponsorship Management System (SMS) access before this role ends. 2. Multi-factor authentication becomes compulsory. From 3 September 2026, all SMS Users must use multi-factor authentication (MFA). The new guidance sets out new rules for MFA for SMS Users. It explains how users must access and keep their accounts up to date. This change is mainly about security. It makes it harder for people to access sponsorship accounts without permission. 3. New rules for inactive SMS accounts. The Home Office has set up a process for SMS User accounts that are not active. Users must access their accounts regularly. They must also keep their information up to date. Sponsors must make sure their SMS users stay active. This allows them to manage their sponsor licence correctly. The guidance warns that if a sponsor does not keep appropriate users active, their licence could be at risk.

These changes will greatly affect sponsors who hold a licence. They also affect those applying for a licence in the UK. Employers must ensure all Sponsorship Management System (SMS) users start using compulsory multi-factor authentication (MFA) from 3 September 2026. If they do not, users might lose access to the system. Organisations that use Level 2 Users now must give their tasks to other staff. Or they must create new SMS user roles. This must happen before 9 September 2026. No new Level 2 Users can be appointed after this date. The role will completely end after 8 March 2027. Sponsors must also manage SMS user accounts actively. They must make sure accounts stay active and information is current. If they do not, this could cause problems with their licence. It could also lead to their licence being taken away.

Explained simply

Imagine managing your online bank account. Now, the government wants companies that hire people from other countries to be extra careful with their online accounts. From 3 September 2026, everyone who logs into the company's 'Sponsorship Management System' (like an online portal) needs to use a two-step verification, similar to when your bank sends you a code to your phone. Also, there used to be two types of managers for these accounts – a main one (Level 1) and a helper (Level 2). From 9 September 2026, companies can't appoint new helpers, and by March 2027, the helper role will disappear entirely. This means companies need to make sure their main managers know how to do everything and that everyone logs in regularly, or their ability to hire international staff could be taken away.

Frequently asked

Version history

  1. v2Effective 3 Sept 2026EffectiveHigh impact
    UK Guidance for Sponsors on Applying for a Licence Updated

    UK Visas and Immigration (UKVI) has updated its guidance document. This document is called 'Workers and Temporary Workers: guidance for sponsors part 1: apply for a licence'. The new version is 08/26. It started on 28 August 2026. This update makes multi-factor authentication (MFA) compulsory for all users of the Sponsorship Management System (SMS). This starts from 3 September 2026. UKVI will also remove the Level 2 User role. Sponsors cannot appoint new Level 2 Users from 9 September 2026. The role itself will end after 8 March 2027. The guidance also sets out new ways to manage SMS User accounts that are not active. This affects what sponsors must do. It could also lead to their licence being taken away.

Timeline

  1. Announced

    28 Aug 2026

    UK Visas and Immigration (UKVI) has updated its 'Workers and Temporary Workers - guidance for sponsors part 1: apply for a licence' document, with version 08/26 coming into effect on 28 August 2026. This update provides revised guidance for employers on the requirements for obtaining a sponsor licence, how applications are assessed, and procedures for refusal. Key changes include clarifying the bu

  2. Takes effect

    28 Aug 2026

    Version 08/26 of the 'Workers and Temporary Workers - guidance for sponsors part 1: apply for a licence' has been published. The full details of changes are listed in the 'Changes to this guidance' section of the document, which includes elements such as the prohibition of passing Skilled Worker sponsor licence or Certificate of Sponsorship fees to sponsored workers by the end of 2024, the prohibi

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