On 31 December 2024, the Home Office published an updated version of the ‘Workers and Temporary Workers Guidance for Sponsors Part 1: Apply for a Licence’.
The updated guidance explicitly states that sponsors are prohibited from passing on sponsorship costs to employees. While this practice has always been disallowed, the new guidance confirms that breaching this will likely result in sponsor licence revocation.
From 31 December 2024, therefore, employers must not recoup or attempt to recover the following fees from sponsored workers:
- Sponsor Licence Fees (including administrative costs).
- Certificate of Sponsorship Fees
- Immigration Skills Charge Fees
This change reinforces that employers must cover all sponsorship costs. Clawback clauses or upfront charges for these fees are strictly prohibited.