1. Introduction
The Global Business Mobility ("GBM"): UK Expansion Worker route for overseas businesses that wish to establish a branch or subsidiary in the UK. With a UK Expansion Worker sponsor licence, a company is able to sponsor senior managers or specialist workers who are being assigned to the UK for a temporary period to undertake work related to the business's expansion to the UK.
The purpose of this blog post is to help newly-granted UK Expansion Worker sponsor licence holders understand the additional responsibilities that come with holding a UK Expansion Worker sponsor licence, and the steps you will need to take after you are granted a sponsor licence in this route.
For guidance on applying for a UK Expansion Worker licence, see our comprehensive guide to applying for a UK Expansion Worker Sponsor Licence and our earlier post on evidence in UK Expansion Worker Sponsor Licence applications.
2. Pre-Grant Responsibilities: Appointing Key Personnel Before the Sponsor Licence is Granted
All types of sponsor licence require that certain 'Key Personnel' roles are filled by individuals in the organisation. In our previous post, Key Personnel in Sponsor Licence Applications, we explained the requirements for each of these roles.
In common with other licensed work routes, it is necessary for a UK Expansion Worker sponsor licence for a company to have an Authorising Officer, Key Contact, and at least one Level 1 User in place at the time that the company applies for a sponsor licence.
Who Can Be your Authorising Officer?
Unlike other routes, however, the UK Expansion Worker route does not require that the company's nominated Authorising Officer is already based in the UK. In this route, the Authorising Officer can either be:
- a worker who is already based in the UK and will be overseeing your expansion to the UK
- if there no suitable person based in the UK who can take this role, a senior employee of the overseas business who will be assigned to the UK to oversee the expansion
Whichever option the company chooses, the Authorising Officer must be the most senior person in the company responsible for the recruitment of migrant workers and responsible for ensuring that the company meets its sponsor duties.
As the UK Expansion Worker route can only be used where an overseas business has not begun trading in the UK, it is unlikely that the company will have a suitable individual who is already based in the UK. Therefore, it is more common for companies in this route to nominate the migrant who will be senior person responsible for overseeing the business's expansion to the UK, as the Authorising Officer for the licence (option 2 above).
Who Can Be your Level 1 User?
If your Authorising Officer is overseas (not already based in the UK), it is a requirement that must also act as the Level 1 User for the licence. Once the licence is approved, that person must assign a Certificate of Sponsorship to themselves, using the Sponsor Management System, in order to make their visa application
If a company's Authorising Officer is based in the UK, they must appoint a Level 1 User (and Key Contact) who is also based in the UK. As with other routes, the Level 1 User must be a settled worker and there must always be one Level 1 User who is an employee, partner, or director of the organisation. The rules on appointing Key Personnel can be found here.
3. Post-Grant Responsibilities: Certificate of Sponsorship Allocation After the UK Expansion Worker Sponsor Licence is Granted
Certificate of Sponsorship Allocation
In the UK Expansion Worker route, the maximum Certificate of Sponsorship (CoS) allocation is 5. A company in this route is only permitted to sponsor as many workers as it 'genuinely needs' to establish its business in the UK up to a maximum of 5 employees as UK Expansion Worker migrants.
While the company is permitted an allocation of 5 CoS in the UK Expansion Worker route, whether those CoS are available immediately to the company will depend on where the Authorising Officer is located when the licence is applied for.
If the Company's Authorising Officer is Based in the UK:
If the company's Authorising Officer is based in the UK when the UK Expansion Worker sponsor licence is granted, the company's licence will be given an 'A-rating' and its full CoS allocation (up to a maximum of 5, as stated above).
This means that the Company is able to sponsor up to 5 workers immediately, upon the grant of the licence.
If the Company's Authorising Officer is Based Outside of the UK:
If, as is more common, the company's Authorising Officer is based overseas, the company will be given a 'Provisional' licence rating and an initial allocation of only 1 Certificate of Sponsorship.
The Authorising Officer must assign that 1 CoS to themselves in order to make their visa application. Once the licence rating is upgraded to an 'A-rating' (as is explained below), the Authorising Officer can request for the CoS allocation to be increased, up to a maximum of 4.
4. Post-Grant Responsibilities: Additional Responsibilities for an Overseas Authorising Officer Following a Grant of Permission
Update your Details on the Sponsorship Management System:
Once the Authorising Officer has been granted entry clearance, the first action they must take is to update their details on the Sponsorship Management System (SMS). This should be done as soon as possible, once entry clearance is granted. The details that must be updated are as follows:
- the type of permission they have (this will be 'UK Expansion Worker')
- the expiry date of their permission
- their Home Office reference number (this can be their Visa Application Form number, their biometric residence permit number, or any other reference number provided by the Home Office to the applicant)
- their UK address (when they know this)
Request to Upgrade your Sponsor Licence Rating:
The second action the Authorising Officer must take is to request for the company's UK Expansion Worker sponsor licence rating to be upgraded from 'Provisional' to an 'A-rating'. It is not possible to sponsor any additional workers until the company's sponsor licence is A-rated. This request is made by the Authorising Officer through the Sponsorship Management System.
It should be noted that the Authorising Officer is able to report these details and make the request to upgrade the sponsor licence rating as soon as they are granted permission to come to the UK. They are not required to wait until they have arrived in the UK.
Where a company has an overseas Authorising Officer, it is vitally important that the Authorising Officer completes the steps described above. The sponsor licence system places significant trust in licenced sponsors to fulfil certain duties. Specific reporting duties, such as those described above, must be complied with and failure to do so could result in your company's sponsor licence being suspended or revoked. The guidance on sponsor duties and compliance can be found here.
Changing your Key Personnel
Once your Authorising Officer is legally resident in the UK and the company's licence is A-rated, they can appoint different people to the Key Personnel roles. Any appointments or changes must be made in line with the general requirements for Key Personnel.
5. How Long Will a UK Expansion Worker Sponsor Licence Be Valid?
Unlike the Skilled Worker sponsor licence (which no longer expires), a UK Expansion Worker sponsor licence can only be valid for a maximum of 4 years. It is not possible to hold a UK Expansion Worker for longer than 4 years.
The purpose of the UK Expansion Worker route is to allow overseas companies to expand to the UK. For that reason, there is an expectation that companies using this route will establish a full trading presence in the UK within two years of the date that the licence is granted.
By the end of the two year period, starting from the date the UK Expansion Worker sponsor licence is granted, the Home Office will reduce a company's CoS allocation to zero. At this point, it will no longer be possible for the company to sponsor any new workers in this route, or to extend applications for existing sponsored UK Expansion Worker migrants.
Having established a trading presence in the UK, the company is able to apply for a different sponsor licence that will enable it to continue to sponsor workers in the UK (for example, Skilled Worker or Senior or Specialist Worker). For guidance on obtaining a Skilled Worker sponsor licence, please see our comprehensive guide to applying for a Skilled Worker sponsor licence.
After four years, a UK Expansion Worker sponsor licence will automatically expire and the company will not be given an option to renew it. If the UK Expansion Worker licence is no longer needed prior to the end of the 4 year period, the company can choose to make the licence 'dormant' at any stage.
6. UK Expansion Worker Sponsor Duties and Compliance
As a final point, it is important to be aware that, as with any sponsor licence, the Home Office is able to conduct compliance checks at any time.
For a UK Expansion Worker sponsor licence, the Home Office will consider (in addition to the sponsor duties and compliance requirements that apply to all licenced sponsors) whether there is a 'realistic prospect that you will be able to establish a UK trading presence'. If the Home Office is not satisfied that your company will be able to establish a UK trading presence, it can decide to revoke your licence.
Understanding your duties as a UK Expansion Worker licensed sponsor can be difficult. For advice on how to navigate your duties as a licenced sponsor, contact our immigration barristers in London on 0203 617 9173 or complete our enquiry form below.
7. Contact Our Immigration Barristers
For expert advice and assistance in relation to your UK Expansion Worker sponsor licence application, contact our immigration barristers on 0203 617 9173 or via the enquiry form below.
8. Frequently Asked Questions (FAQs)
What is the UK Expansion Worker route?
The UK Expansion Worker route allows overseas businesses to sponsor senior managers or specialist workers to establish a branch or subsidiary in the UK.
What are the initial steps a company must take before applying for a UK Expansion Worker sponsor licence?
A company must appoint key personnel, including an Authorising Officer, Key Contact, and at least one Level 1 User.
Who can be appointed as the Authorising Officer for a UK Expansion Worker sponsor licence?
The Authorising Officer can be a worker already based in the UK or a senior employee of the overseas business assigned to the UK.
Can the Authorising Officer be based outside of the UK?
Yes, in the UK Expansion Worker route, the Authorising Officer can be based outside of the UK and oversee the expansion.
What is the role of the Level 1 User in the UK Expansion Worker sponsor licence?
The Level 1 User manages the Sponsor Management System and can assign Certificates of Sponsorship.
What happens after the UK Expansion Worker sponsor licence is granted?
The company must manage Certificate of Sponsorship allocation, with specific actions depending on whether the Authorising Officer is based in the UK or overseas.
How many Certificates of Sponsorship can a company initially receive?
A company can initially receive up to 5 Certificates of Sponsorship, but if the Authorising Officer is overseas, the initial allocation is usually 1.
What actions must an overseas Authorising Officer take after being granted permission to enter the UK?
They must update their details on the Sponsorship Management System and request an upgrade of the sponsor licence rating from Provisional to A-rating.
Can the key personnel roles be changed after the sponsor licence is granted?
Yes, once the Authorising Officer is legally resident in the UK and the licence is A-rated, different people can be appointed to the key personnel roles.
How long is the UK Expansion Worker sponsor licence valid?
The licence is valid for a maximum of 4 years and cannot be renewed.
What happens if a company does not establish a trading presence in the UK within two years?
The Home Office will reduce the company's Certificate of Sponsorship allocation to zero, preventing sponsorship of new workers or extension of existing sponsorships.
What are the compliance requirements for a UK Expansion Worker sponsor licence?
Companies must fulfil their sponsor duties and comply with Home Office regulations, including demonstrating a realistic prospect of establishing a UK trading presence.
What are the consequences of not complying with sponsor duties?
Failure to comply can result in suspension or revocation of the sponsor licence.
9. Glossary
Authorising Officer: The senior person in the company responsible for the recruitment of migrant workers and ensuring the company meets its sponsor duties. For the UK Expansion Worker route, this person can be based either in the UK or overseas.
Certificate of Sponsorship (CoS): An electronic document assigned by a sponsor to a migrant worker to enable them to apply for a visa under a specific immigration route. In the UK Expansion Worker route, a company can initially receive up to 5 CoS.
Key Contact: An individual within the company who acts as the main point of contact with the Home Office regarding the sponsor licence.
Key Personnel: Essential roles required for a sponsor licence, including the Authorising Officer, Key Contact, and Level 1 User. These roles are crucial for managing the sponsor licence and ensuring compliance with Home Office regulations.
Level 1 User: An individual responsible for managing the Sponsor Management System (SMS) and carrying out day-to-day sponsorship activities, such as assigning Certificates of Sponsorship. This person must be a settled worker and an employee, partner, or director of the organisation.
Provisional Licence Rating: A temporary rating given to a sponsor licence when the Authorising Officer is based overseas, limiting the company to an initial allocation of 1 Certificate of Sponsorship. The rating can be upgraded to an A-rating after specific conditions are met.
Sponsorship Management System (SMS): The online system used by sponsors to manage their sponsor licence, including assigning Certificates of Sponsorship and updating key personnel details.
UK Expansion Worker Route: An immigration route that allows overseas businesses to sponsor senior managers or specialist workers to establish a branch or subsidiary in the UK temporarily.
UK Expansion Worker Sponsor Licence: A licence that allows an overseas company to sponsor workers for the purpose of expanding their business to the UK. The licence is valid for a maximum of 4 years and comes with specific duties and compliance requirements.
A-Rating: The rating given to a sponsor licence that meets all Home Office requirements, allowing the company to sponsor the maximum number of workers permitted under their licence. For the UK Expansion Worker route, this can be up to 5 Certificates of Sponsorship.
10. Useful Resources
UK Expansion Worker Sponsor Licence Application Guide
- A guide for employers as to the requirements to successfully apply for a UK Expansion Worker sponsor licence.
- UK Expansion Worker Sponsor Licence Application Guide
Sponsor Management System (SMS) User Manual:
- A user guide for navigating and using the Sponsorship Management System.
- Sponsor Management System User Manual
UK Immigration Rules and Guidance:
- Official Home Office immigration rules and policy guidance documents.
- UK Immigration Rules and Guidance
Sponsor Duties and Compliance Requirements:
- Responsibilities and duties of sponsors, including how to maintain compliance with Home Office regulations.
- Sponsor Duties and Compliance Requirements
Information on Certificates of Sponsorship:
- The process of assigning Certificates of Sponsorship and the obligations associated with them.
- UK Visa Sponsorship Certificates
Contact Information for UK Visas and Immigration:
- Contact details for UK Visas and Immigration, including phone numbers and email addresses for various enquiries.
- Contact UKVI
Compliance Visits by the Home Office:
- Information on what to expect during a compliance visit.
- Sponsor Visits and Compliance Checks
Business Immigration Barristers:
- Professional legal advice and services for businesses navigating UK immigration law.
- Business Immigration Barristers
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.