Source · Select Committees · Public Accounts Committee
Recommendation 23
23
Accepted
Home Office's compliance checks for sponsors remain insufficient, lacking data on pre-existing licences.
Conclusion
The Home Office seeks to identify sponsors not behaving appropriately. In 2023, it began to apply its genuine vacancy test more rigorously, scrutinising employers to ensure they had guaranteed work for applicants.56 The Home Office also said every employer is expected to do their own compliance checks when they are employing someone.57 Despite this, we were not convinced by the Home Office’s approach, highlighting that sponsors who may be involved in illegal practices are less likely to comply with the necessary checks and that many sponsors had received licences before the Home Office strengthened its controls. The Home Office was unable to tell us how many of these sponsors had been subject to its compliance checks.58
Government Response Summary
The government agrees with the committee's concerns regarding sponsor compliance. It describes ongoing collaborations and a working group to address exploitation, which will continue as the Fair Work Agency is launched by April 2027. UKVI has also taken steps to protect care workers affected by sponsor revocations by directing them to regional partnerships.
Government Response
Accepted
HM Government
Accepted
4.1 The government agrees with the Committee’s recommendation. Target implementation date: April 2027 4.2 The Home Office collaborates with bodies such as the Director of Labour Market Enforcement, Gangmasters and Labour Abuse Authority, Employment Agency Standards Inspectorate, HMRC, DHSC, the Care Quality Commission, and Law Enforcement. The Home Office has established a working group to address abuse and exploitation in the construction sector, aiming to ensure individuals work for reputable sponsors. This initiative will continue as the government launches the Fair Work Agency, with an update to the Committee planned for April 2027, one year after its creation. Exploitation will also form part of the evidence the MAC will look at before making recommendations to the government. 4.3 The United Kingdom Visas and Immigration (UKVI) has taken steps to protect care workers affected by sponsor licence revocations. Using discretionary powers, UKVI chose not to cancel their leave, instead directing them to regional partnerships for alternative employment. This approach, though not standard, was adopted due to the high level of non-compliance in adult social care compared to other sectors. 4.4 The Home Office continues to work with DHSC to support international recruitment regional partnerships, helping workers impacted by sponsor non-compliance transition into new roles in Adult Social Care. DHSC commissioned the NIHR Policy Research Unit in Health and Social Care Workforce to evaluate the 2023–24 international recruitment regional fund, with findings published in January 2025. A further evaluation of the 2024–25 fund has been commissioned and is expected in 2026.