If your business in the UK is looking to recruit from overseas, one of the first and most important decisions you’ll make is which type of sponsor licence you need. Choosing wrongly can lead to wasted time, rejected applications, compliance headaches, or even legal liabilities. As of 22 July 2025, new rules and thresholds have come into force, making it more crucial than ever to fully understand the differences, especially between the Worker licence and the Temporary Worker licence.
The Worker licence is generally suited for long-term or permanent roles, where overseas staff are expected to become part of your core workforce. It is often chosen by employers in sectors where continuity, stability, and specialist skills are vital. By contrast, the Temporary Worker licence is designed for short-term placements, project-based roles, seasonal hiring, or internships, making it a more flexible but time-limited route.
For many employers, the distinction between these routes is not always clear at first glance. Some assume the Temporary Worker route offers a cheaper or easier path, only to find that the restrictions on job types, contract length, and eligibility make it unsuitable for their real business needs. Others mistakenly apply for a Worker licence when their roles are only for short bursts of employment, creating unnecessary costs and obligations that could have been avoided.
Ultimately, the choice between Worker vs Temporary Worker sponsor licence depends on the nature of the roles you want to fill, how long you need those employees for, and the resources you have to manage ongoing compliance. Misjudging this choice can affect not only your recruitment plans but also your ability to maintain a good standing as a licensed sponsor.
Official Guidance Updates
- On 22 July 2025, updates to the “Workers and Temporary Workers: guidance for sponsors” came into effect. This includes changes to skill thresholds, salary requirements, and restrictions around certain occupation codes (like care workers and senior care workers) under the Skilled Worker route.
- These updates affect both the licence application process and ongoing sponsor duties, especially in relation to Certificates of Sponsorship (CoS), record-keeping, and avoiding passing costs to sponsored workers.
The Two Licence Types: Worker vs Temporary Worker
| Aspect | Worker Licence | Temporary Worker Licence |
| Purpose | For skilled or long-term employment. Includes roles that may lead to settlement. | For shorter-term, temporary or seasonal roles, volunteering, creative or religious work under certain routes. |
| Routes Covered | Skilled Worker; Senior or Specialist Worker under Global Business Mobility; Ministers of Religion; International Sportsperson. | Creative Worker; Charity Worker; Scale-Up Worker; Religious Worker; Seasonal Worker; Global Business Mobility-temporary / secondment/exchange routes. |
| Skill & Salary Thresholds | Higher. From 22 July 2025, many Skilled Worker roles must be at RQF Level 6 (graduate-level) unless they are on the Immigration Salary List, Temporary Shortage List, or meet transitional provisions. | Temporary routes often have lower or no formal RQF level requirements, depending on the route; salary expectations vary & may be lower than in Worker routes. |
| Length of Stay & Settlement Possibilities | Worker routes often allow longer stays and can lead to Indefinite Leave to Remain (ILR) after a qualifying period (commonly 5 years) for Skilled Workers. | Generally, more limited in duration; most temporary worker visas do not lead directly to settlement. |
| Compliance and Duties | Very stringent. Must meet requirements around genuine vacancy, salary, skills; ensure CoS is correctly assigned; keep strong records; abide by sponsor duties. | Also regulated, though some obligations may be specific to the temporary route (for example, duties around ensuring the worker leaves at the end of the visa, etc.). Still must follow sponsor duties. |
| Common Use Cases / Sectors | Healthcare; engineering; senior management; religion; sports; specialist mobility. | Arts & entertainment; charity sector; religious organisations; seasonal agriculture; hospitality; fast-growing startups needing short-term scale-up roles. |
How to Decide: What Fits Your Business?
Here are questions and criteria you should consider to choose between a worker licence and a temporary worker licence.
- Nature and duration of the role
- Is the role ongoing, full-time, with long-term prospects? If yes, a Worker licence is likely the right fit.
- Is the role seasonal, project-based, short-term, volunteer, or experiential? The Temporary Worker route may be appropriate.
- Skill level & salary expectations
- Do you need someone with graduate-level skills (RQF Level 6 or above) or with a professional qualification? That points towards the Worker route.
- If skills are more general or the role is temporary, then salary and skill requirements may be more flexible under Temporary Worker licences.
- Settlement intentions
- If you, or the individual, foresee the possibility of long-term stay, career growth, or permanent employment, the Worker route is often necessary.
- Temporary routes usually don’t lead to indefinite leave.
- Cost & administrative burden
- Worker licence holders must typically meet higher regulatory and compliance standards, provide detailed documentation, pay higher application or CoS fees, ensure correct reporting, etc.
- Temporary Worker licences can be less demanding in some respects, but still carry obligations (e.g. ensuring exit, tracking attendance or shifts).
- Sector & type of business
- Some sectors are more dependent on Temporary Worker licences: creative arts (e.g. actors, artists), events, religion, charity, agriculture or hospitality for seasonal workers.
- Other sectors like tech, healthcare, professional services, and senior leadership will more often need a Worker licence.
- Risk of misclassification
- If you apply for a Temporary Worker licence when the role really suits a Worker, you may later struggle to adjust or switch paths.
- If you apply for a Worker licence for a clearly temporary role, you risk extra cost and compliance for benefits you don’t need.
What’s Changed in 2025 That Affects Your Choice?
Knowing the latest changes helps avoid applying under a licence type that’s no longer appropriate or that you’ll struggle to maintain:
- Skill threshold increase: As noted above, many Skilled Worker roles now need to be at RQF Level 6 (graduate level) unless they are on the Immigration Salary List or Temporary Shortage List. This reduces eligibility for lower-skilled roles unless they meet exceptions.
- Salary thresholds raised: Salary minimums in the Skilled Worker route are higher, and roles must meet those thresholds to be eligible.
- Changes around care workers & senior care workers: For certain roles (occupation codes 6135, 6136) there are now requirements such as active registration with the relevant regulator (like the Care Quality Commission in England), location considerations, and transitional provisions.
- Refusals or revocations for past non-compliance: Sponsors who try to pass licence fees or associated costs to the worker may have their licence revoked under the updated rules.
Common Mistakes When Choosing the Wrong Licence Type
To help you avoid pitfalls, here are errors businesses often make and the consequences:
- Underestimating skill/salary thresholds
- Mistake: Choosing a Worker licence, expecting that a role below graduate level would qualify when it does not after 22 July 2025.
- Consequence: Rejected CoS, delays, wasted applications, or inability to hire.
- Assuming settlement is possible via Temporary Worker routes
- Mistake: Thinking a temporary role can lead to indefinite leave.
- Consequence: Worker joins under false expectations; employer might need to switch licence routes later or lose talent.
- Ignoring sector-specific regulatory requirements
- Mistake: Trying to sponsor care workers under the Worker route without proper regulatory registration (e.g. CQC) or fulfilling other location-based criteria.
- Consequence: Licence application or visa applications refused.
- Switching licence routes late or inefficiently
- Mistake: Starting under Temporary Worker licences when roles become more permanent and not shifting to a Worker licence.
- Consequence: Breach of compliance; higher risk; possibly having to reapply or face revocation.
- Failing to properly assign CoS or misuse of Defined vs Undefined CoS
- Mistake: Assigning the wrong type of Certificate of Sponsorship; not keeping documentation; missing salary or job start date requirements.
- Consequence: Visa refusals; sponsor licence downgraded or revoked.
Steps to Choose the Right Licence Type
Here’s a practical checklist to help you decide and prepare properly:
- Clarify the nature of the role: how long will the employment be, how permanent, level of skill required.
- Check the skill level (RQF) needed for the role and whether the job is on the Immigration Salary List or Temporary Shortage List.
- Estimate salary, and confirm it meets the minimum for Skilled Worker (or whatever Worker route) if relevant.
- Identify whether your organisation can meet compliance obligations (senior personnel, record keeping, proper job advertisement history if needed).
- Examine sector-specific requirements: regulators, qualifications, location, etc.
- Forecast future needs: Will roles become permanent? Do you expect to offer a settlement? This helps decide if a Worker licence is better upfront.
- Read the latest version of “Workers and Temporary Workers: guidance for sponsors” on GOV.UK to ensure you’re using the current rules.
Final Thoughts!
Choosing the right sponsor licence type is not simply a matter of filling in a form; it’s foundational to compliance, recruitment strategy, and workforce planning. As of 2025, the immigration framework makes sharper distinctions between Worker routes and Temporary Worker routes, and the choice you make will shape your recruitment outcomes. Selecting the correct route is about aligning your workforce needs with the rules that govern overseas hiring. A sound decision builds stability, credibility, and smoother international recruitment, while the wrong choice risks unnecessary costs, delays, and compliance complications.
Rather than leaving such an important step to chance, businesses are better served by relying on trusted guidance. Sponsor Licence Hub offers tailored resources to help you assess your roles, understand your obligations, and choose the right category before you apply. With expert support and practical tools, you can approach the process with confidence, reducing risks, avoiding pitfalls, and ensuring that overseas recruitment strengthens your long-term business goals. By following the Sponsor Licence Hub, you stay prepared, compliant, and focused on building a workforce that is both skilled and future-ready.
