Managing sponsored workers in the UK involves more than obtaining a sponsor licence. Once a business becomes a licensed sponsor, it needs to manage sponsorship responsibilities, report relevant changes and maintain accurate records.
This is where the Sponsor Management System (SMS) comes in.
The SMS is the online system used by UK sponsor licence holders to manage their sponsorship activities with UK Visas and Immigration (UKVI). For employers, understanding how the SMS works is essential for maintaining compliance and avoiding mistakes that could put a sponsor licence at risk.
In this guide, we explain what the Sponsor Management System is, who can use it, what employers can do through it and how businesses can manage their sponsorship responsibilities more effectively.
What Is the Sponsor Management System (SMS)?
The Sponsor Management System (SMS) is the online system used by organisations that hold a UK sponsor licence to manage their sponsorship responsibilities.
Once an organisation has a sponsor licence, it can use the SMS to carry out various sponsorship-related tasks, including managing sponsored workers and reporting certain changes to UKVI.
The SMS is therefore an important part of the sponsor licence process.
A business may have a valid sponsor licence, but it still has ongoing responsibilities after the licence is granted. The SMS provides the mechanism through which many of these responsibilities are managed.
What Is the SMS Used For?
The Sponsor Management System allows authorised users within a sponsoring organisation to perform a range of sponsorship-related activities.
Depending on the organisation’s licence and circumstances, employers may use the SMS to:
- Manage sponsored workers
- Assign Certificates of Sponsorship (CoS)
- Report certain changes to sponsored workers
- Report changes relating to the organisation
- Manage sponsor licence information
- Manage users who have access to the system
- View sponsorship information
- Maintain sponsorship records
- Complete other sponsor-related administrative tasks
The exact functions available can depend on the organisation’s circumstances and type of sponsor licence.
Who Can Access the Sponsor Management System?
Not every employee within a business automatically has access to the SMS.
Access is controlled through sponsor management roles.
The main roles employers should understand include:
Authorising Officer
The Authorising Officer is responsible for ensuring that the organisation meets its sponsorship responsibilities.
They play an important role in overseeing the organisation’s sponsorship activities and the people who use the SMS.
Key Contact
The Key Contact acts as the main point of contact between the organisation and UKVI.
They may communicate with UKVI about sponsorship matters on behalf of the organisation.
Level 1 User
A Level 1 User can carry out a wide range of day-to-day sponsorship administration through the SMS.
This can include activities such as managing sponsored workers and assigning Certificates of Sponsorship.
Level 2 User
A Level 2 User has more limited access than a Level 1 User.
The organisation can use Level 2 Users to delegate certain sponsorship administration tasks while retaining appropriate control over the system.
Not every organisation will necessarily use every role in the same way, so employers should ensure their internal responsibilities are clearly defined.
What Can Employers Do Through the SMS?
The SMS is particularly important because sponsorship does not end when a worker receives a visa.
Employers may need to continue managing sponsorship information throughout the worker’s employment.
1. Assign Certificates of Sponsorship
Employers can use the SMS to assign a Certificate of Sponsorship to eligible workers.
The CoS contains information about the sponsored role and is used by the worker as part of their immigration application.
Employers need to make sure the information entered is accurate and reflects the actual role and employment arrangements.
2. Manage Sponsored Workers
The SMS allows sponsors to manage information relating to sponsored workers.
This is important because employers have ongoing duties after assigning sponsorship.
Changes to employment circumstances may need to be identified, recorded and, where required, reported to UKVI.
3. Report Changes
Sponsors may have to report certain changes involving:
- The sponsored worker
- Their employment
- Their role
- Their salary
- Their work location
- Their circumstances
- The sponsoring organisation
The reporting requirements depend on the nature of the change.
Employers should therefore have an internal process for identifying changes and determining whether action through the SMS is required.
4. Manage Sponsor Licence Information
Organisations may also need to update relevant information about their business or sponsorship arrangements.
Keeping sponsor information accurate is an important part of maintaining compliance.
5. Manage SMS Users
The organisation’s authorised users can also be managed through the system.
This is particularly important when employees responsible for sponsorship administration:
- Join the organisation
- Change responsibilities
- Leave the organisation
- No longer require access
Businesses should regularly review who has access to their sponsorship systems.
What Are Sponsor Duties?
Having access to the SMS does not automatically make an organisation compliant.
A sponsor has ongoing duties that must be followed throughout the sponsorship relationship.
These can include responsibilities around:
Record keeping
Sponsors need to maintain appropriate records relating to sponsored workers.
Reporting
Certain changes must be reported to UKVI within the required timeframe.
Monitoring
Employers need to monitor sponsored workers and ensure that sponsorship arrangements continue to meet the relevant requirements.
Right to work
Employers must also carry out the appropriate right to work checks and retain relevant evidence.
Genuine employment
The sponsored role should correspond with the role for which sponsorship was granted.
Compliance
Sponsors need to cooperate with UKVI and meet their sponsor compliance obligations.
This is why SMS management should be treated as part of a wider sponsor compliance process, rather than as simply an online administrative system.
SMS vs Sponsor Licence: What’s the Difference?
These two terms are often confused.
| Sponsor Licence | Sponsor Management System |
|---|---|
| Gives an organisation permission to sponsor eligible workers | Online system used to manage sponsorship |
| Granted by UKVI | Used by licensed sponsors |
| Establishes the organisation as a sponsor | Used for ongoing sponsorship administration |
| Must be maintained | Used to manage sponsorship activities |
| Can be subject to compliance action | Provides access to sponsorship management functions |
In simple terms:
The sponsor licence gives your organisation the ability to sponsor. The SMS is the system through which you manage many of your sponsorship responsibilities.
Why SMS Management Matters for Employers
Poor sponsorship administration can create significant compliance risks.
For example, a business may have the correct sponsor licence but still encounter problems if it:
- Fails to report a relevant change
- Keeps inaccurate employee information
- Does not maintain required records
- Gives inappropriate users access to sponsorship systems
- Fails to monitor sponsored workers
- Does not follow its sponsor duties
- Cannot demonstrate effective compliance processes
The issue is therefore not simply whether a company has an SMS account.
The bigger question is:
Does the business have a reliable process for managing sponsorship information and compliance?
Common SMS Mistakes Employers Should Avoid
1. Treating the SMS as a standalone system
The SMS should form part of the organisation’s wider HR and compliance processes.
2. Relying on one person
If only one employee understands sponsorship administration, the organisation can become vulnerable when that person is absent or leaves.
3. Failing to keep HR and sponsorship information aligned
Employee information held by HR should be consistent with relevant sponsorship information.
4. Missing reporting obligations
Businesses need a clear process for identifying changes that may need to be reported.
5. Not reviewing user access
Former employees or employees who have changed roles should not necessarily retain access indefinitely.
6. Poor record keeping
Employers should maintain appropriate records and be able to demonstrate that their sponsor duties are being managed properly.
How HR Software Can Support SMS Management
The SMS itself is a UKVI system. HR software does not replace the SMS or remove an employer’s responsibility to comply with UKVI requirements.
However, the right HR system can help businesses organise the information and processes that support sponsorship compliance.
For example, an HR platform can help employers manage:
- Employee records
- Sponsored worker information
- Visa information
- Visa expiry dates
- Right to work information
- Employee documents
- HR reminders
- Reporting workflows
- Recruitment information
- Employee changes
This can reduce the need to manage important information across disconnected spreadsheets, emails and documents.
For businesses with multiple sponsored workers, having a centralised HR record can make it easier to identify upcoming deadlines and maintain consistent employee information.
SMS and HR Software: Do They Replace Each Other?
No.
This distinction is important.
The SMS is operated by UKVI and is used by licensed sponsors for sponsorship management. HR software is used by the employer to manage its internal HR and compliance processes.
They can therefore work alongside each other.
For example:
HR system → Employee information → Compliance monitoring → Employer identifies required action → SMS → UKVI sponsorship management
The goal is to create a reliable process between internal HR management and the organisation’s sponsorship obligations.
How RootHR Can Help Employers
Managing sponsored workers often means keeping track of much more than the SMS itself.
RootHR brings HR and employee information together so employers can manage important workforce information in one place.
Businesses can use RootHR to support areas such as:
- Employee records
- Document management
- Visa expiry tracking
- Right to work management
- Recruitment
- Employee onboarding
- HR compliance
- Sponsored worker management
- HR reminders and workflows
This can help reduce reliance on spreadsheets and manual processes.
RootHR does not replace the UKVI Sponsor Management System. Instead, it can work alongside the SMS to help employers organise their internal HR and compliance processes and provide specialist immigration advice.
SMS Compliance Checklist for Employers
Employers managing sponsored workers should consider whether they have:
- Clearly defined SMS responsibilities
- An appropriate Authorising Officer
- Trained users with appropriate access
- A process for managing sponsored workers
- A process for identifying reportable changes
- Accurate employee records
- Appropriate right to work records
- Required sponsorship records
- Visa expiry monitoring
- Regular reviews of SMS user access
- A process for handling employee changes
- Internal sponsor compliance checks
- Appropriate escalation procedures for complex immigration matters
Final Thoughts
The Sponsor Management System is an essential part of managing a UK sponsor licence, but effective sponsorship management involves more than simply logging into the system.
Employers need processes for maintaining employee information, monitoring sponsored workers, managing records, identifying changes and meeting their ongoing sponsor duties.
For businesses employing multiple sponsored workers, connecting sponsorship responsibilities with everyday HR processes can make compliance management more organised and less dependent on spreadsheets and manual administration.
The SMS remains the official UKVI system for managing sponsorship activities. HR software such as RootHR can complement it by helping employers manage the employee, document and compliance information that sits around the sponsorship process.