
Sponsor Licence Update: Key Changes to the Sponsor Management System
These changes will come into effect from September 2026.

1. Mandatory Multi-Factor Authentication (MFA)
From 3 September 2026, MFA will be introduced for existing Worker and Temporary Worker sponsors on a phased basis.
SMS users will need their usual login details plus a one-time passcode (OTP) sent by email or text message. Sponsors will be contacted two weeks before MFA is enabled on their licence.
2. Level 2 User Role Removed
From 9 September 2026, sponsors will no longer be able to appoint new Level 2 Users.
Existing Level 2 Users must be upgraded to Level 1 Users, where eligible, by 8 March 2027; or deactivated.
3. New Notifications for Authorising Officers
From 9 September 2026, Authorising Officers will receive email notifications about key activity on the sponsor licence, including changes to Level 1 Users and, for most sponsors, CoS/CAS assignments.
4. Inactive SMS Users
The Home Office intends to remove inactive SMS user accounts. Sponsors should log in to their SMS and ensure their user accounts remain up to date and active.
5. Increased Protection Against Cyber Fraud
Sponsors should be particularly vigilant about phishing attempts. The Home Office will not ask sponsors to provide SMS passwords, OTPs or personal information by email or telephone, and sponsors should access the SMS through GOV.UK rather than links contained in emails.


Sponsor Licence Holder Implications
Sponsors should review their SMS users and access arrangements ahead of these changes. Ensure contact details are up to date, Level 2 Users are reviewed, and Authorising Officers are prepared to receive and act on licence activity notifications.
These changes place greater emphasis on secure SMS access and oversight of sponsor licence activity. Sponsors should also ensure relevant staff are aware of the new MFA requirements and the risk of phishing attempts.
Disclaimer
This update is intended as a general guide and does not replace tailored legal advice. If you have questions on any of the topics above, please do not hesitate to contact us.