Every UK sponsor licence holder must use the Sponsorship Management System (SMS) to report key changes about their sponsored workers and their organisation. Even small oversights can have major consequences.
Missing a required report is a common cause of licence downgrades and revocations. This guide explains what must be reported and when, highlights typical SMS reporting errors, and shows how to avoid them.
Sponsors have a legal duty to notify UKVI of certain events via the SMS within strict deadlines. UKVI’s guidance explicitly lists the following worker-related changes that must be reported:
All the above changes must be reported within 10 working days of the event. By contrast, organisational changes such as a company name change, address change, change of ownership have a 20 working-day reporting window.
UKVI treats timely reporting as an indicator for overall sponsor diligence, so missing late reporting or even worse, non-reporting is viewed as non-compliance.
UKVI expects sponsors to flag any extended unauthorised absences immediately. If a worker is absent without permission for more than 10 consecutive working days, you must action a ‘failed to attend to 10 consecutive days without permission’ report in SMS by the 10th day. Forgetting to report such an update makes it look like you’ve lost track of your sponsored employee. It’s advisable to keep an updated absence log for sponsored staff.
A pay cut, even a temporary one must be reported. Any reduction in the worker’s salary below the amount on their CoS is a notifiable action. For example, if an employee reduces their hours or for health reasons, UKVI must be informed. If this is not reported, it may appear that the worker is being paid less than the salary stated on their CoS, which could prompt further scrutiny from UKVI
The Worker’s role is tied to the job as described on the CoS. So, changes like a new job title, different core duties, or a shift to a new office/site must be reported via SMS. If the new role is outside the original SOC code, you need a new CoS and fresh visa application. If the role remains within the same SOC code, a promotion/change of role should still be reported. Likewise, if a worker’s normal workplace changes, or there is a new site, you must also notify UKVI.
The sponsor rules are very clear: most worker-related changes must be reported within 10 working days of the event. Company-level changes (like your registered address, or ownership) have up to 20 working days. One of the biggest SMS mistakes is simply missing these windows. Even a one-day delay can count as non-compliance. It’s advisable to set up calendar alerts for common report types.
No longer sponsoring a worker is a reportable action. Whether a sponsored employee leaves voluntarily or is dismissed, you must inform UKVI via the SMS. You must also do this if the worker never showed up. Failing to notify UKVI of a departure is dangerous because UKVI will treat it as non-compliance.
As soon as a sponsored worker leaves (resignation, no-show, termination, or end of contract), have a Level 1 user submit a withdrawal of sponsorship update in the SMS and provide the worker’s last known address and contact details as requested.
SMS reporting can be standardised. Preventing errors starts with clear internal roles and workflows:
Consistency is key: UKVI expects you to have a functioning system in place.
Q. What happens if I miss an SMS reporting deadline?
UKVI considers untimely reporting a breach. If audited and it’s discovered that you are failing to report required changes within the 10 or 20 working day deadline, this could lead to licence downgrade or revocation. A downgrade means an action plan and suspension on assigning certificates of sponsorship. Revocation means loss of the licence and all sponsored visas are cancelled within 60 days. In short, don’t ignore a missed deadline, still proceed to report as soon as possible if a deadline is missed.
Q. Can I correct an error on an SMS report after submitting it?
If the submission is a CoS request or change of organisation details request that still requires UKVI approval, it may be possible to withdraw it before it is decided. However, reporting migrant activity updates cannot usually be withdrawn once submitted. In those cases, the correct approach is normally to submit a further report or explanatory update rather than try to remove the original one.
Q. Do I need to report changes for workers on other visa routes (e.g. GBM)?
Yes, if you have a sponsor licence for those routes. Any worker to whom you’ve issued a CoS under a licensed route – Skilled Worker, Global Business Mobility, International Sportsperson etc. is subject to the same SMS duties. You do not report workers who are on visas outside your sponsorship such as dependants or graduate visa holders, since those are not issued a CoS.
Q. Who in the organisation should be responsible for SMS reporting?
Ultimately, the organisation (and its Authorising Officer) is responsible for sponsor compliance. In practice, most tasks fall to the Level 1 user designated in your SMS account (often a senior HR or compliance/legal professional. The Authorising Officer (AO) must ensure policies are followed, but day-to-day updates are usually done by a Level 1 user
Q. How does the Home Office check whether employers have reported correctly?
Through compliance audits and visits. During an inspection, UKVI officers will request your SMS reports and compare them against actual personnel records. They often interview sponsored workers to confirm their job title, duties, salary, and start date match what was in SMS. Officers will also examine your HR processes – asking how you track absences, how often SMS is reviewed, etc.. Beyond visits, UKVI increasingly uses data-matching (with HMRC payroll data and Companies House filings) to spot anomalies. For example, if HMRC shows a sponsored employee earned less than what’s logged on the SMS, that discrepancy will raise a flag. In short, the Home Office verifies SMS entries against real-world facts; mismatches can lead directly to enforcement action.
Maintaining compliance through the SMS is an ongoing responsibility. The strongest sponsors build SMS checks into their normal HR workflows and audit them regularly. A thorough document trail of timely SMS updates (along with the underlying evidence) shows UKVI that you are monitoring your workforce as required. Remember the reportable event and report it promptly.
If you have concerns about your SMS processes, or want professional compliant advice please don’t hesitate to contact Migrate UK.