This article was co-authored with Associate, Hayley Ainsworth.

The Home Office has recently released official statistics detailing the number of people who have come to the UK to work in the year ending September 2024, which suggest some interesting trends in business immigration. 

Despite the raft of immigration law changes introduced by the previous government in April 2024,  including much higher minimum salary thresholds, there has been a 22% increase in Skilled Worker sponsor licences granted in the year ending September 2024 compared to the year ending September 2023.  Although much of this is attributable to high numbers of applications in Q4 2023 and Q1 2024, before a marked drop in the number of applications in Q2 2024 (when the changes were first introduced) the number of applications crept up again in Q3.  It seems that organisations may simply have been getting to grips with the new immigration landscape, and so as they adjust, the numbers will continue to gradually grow.

That said, despite the steady stream of sponsor licence applications, applications for work visas are on the decline.  There were 241,719 visas granted to main applicants in all work categories in the year ending September 2024, 28% fewer than the previous year.  However, a significant proportion of that reduction can be attributed to the 84% decline in number of the Health and Care Worker visas issued in Q2 and Q3 of 2024 when compared to the same period in 2023, which followed measures introduced in April 2024 preventing workers on Health and Care Worker visas from bringing dependants to the UK.   

In comparison, the number of visas granted to applicants on other sponsored worker routes (including the Skilled Worker route) has fallen by only 3%.  Interestingly, for the Skilled Worker route in particular, there doesn’t seem to be any meaningful fall in the number of visas being granted. 

Sponsor licence compliance action by the Home Office is notably high, with a 689% increase in sponsor licence revocations in Q3 2024 compared to Q3 2023.   In addition, the government’s data also shows that nearly 40% of sponsor licence applications were rejected in Q3 2024, a significant uptick on the number of rejections in the same quarter of 2023.  These figures were released on the back of new measures announced by the government to tackle sponsor non-compliance with the Immigration Rules, as part of an amendment to the Employment Rights Bill.  

Although the appetite for sponsorship remains high by employers and employees alike, it is clear that the government continues to focus on reducing net migration and is taking a tough stance on sponsor compliance.  Going into 2025, sponsors should take time to familiarise themselves with their duties, ensuring they are prepared for any Home Office compliance visit (which can be unannounced) and that they stay on top of any changes to the immigration landscape. 

If you need support in managing your sponsor licence, sponsoring workers or preparing for a compliance visit, please do get in touch.