The Home Office has introduced a number of important updates to the Sponsor Guidance which will impact how organisations manage their sponsor licences and SMS users. Key changes sponsors should be aware of include:

✅ Level 2 Users

• New Level 2 users can only be added to a sponsor licence until 9 September 2026.

• Existing Level 2 users must be converted to Level 1 users (where eligible) or deactivated by 8 March 2027.

  
  

✅ Inactive SMS Users

• SMS users must access their accounts regularly and keep their details up to date.

• An account will be considered inactive if it has not been accessed for 12 months.

• If a Level 1 user account becomes inactive, the Home Office may contact the Authorising Officer and require action within a specified timeframe. Failure to take such action could result in a licence being suspended and later revoked.

✅ Multi-Factor Authentication and Compliance Risks

• To strengthen security of SMS user accounts and ensure that access to the SMS is restricted to authorised users only, the Home Office has announced the introduction of a mandatory multi-factor authentication (MFA) system for all SMS users from 3 September 2026. 

• Sponsors should be aware that sharing SMS passwords or MFA one-time passcodes is a breach of sponsor duties and could result in sponsor licence revocation.

  
  

These changes highlight the increasing focus on sponsor licence governance, user management and ongoing compliance. If you would like support reviewing your sponsor licence compliance, please contact the Immigration team at CG (immigration@cgprofessional.co.uk).