Immigration Skills Charge is an employer's required fee each time a company or organisation needs to pay when sponsoring a migrant employee in the Skilled Worker or an Intra-Company Transfer visa category. The Immigration Skills Charge was introduced on 6 April 2017 and must be paid whenever the Certificate of Sponsorship is allocated and issued.

According to the Immigration Statement (Home Office Trust Statement 2017 to 2018), the purpose of imposing the Immigration Skills Charge (ISC) is to address the skills gap in the workplace and maintain the existing skills budget and existing level of investment level of the UK Department of Education. 

 

 

 

Who should pay the Immigration Skills Charge?

 

Immigration Skills Charge must be paid by the sponsor. Many sponsors enquire about whether the Immigration Skills Charge can be deducted from the salaries or is required to be paid by sponsored migrant workers. However, Immigration Skills Charge cannot be passed to the workers through any means and the consequence of passing on the ISC to the worker include the revocation of the sponsor license.  

 

How much is the Immigration Skills Charge?

 

The amount of ISC required to pay is dependant on the size and type of organisation and the length of the employment statement on the Certificate of Sponsorship (CoS). Small businesses or charities with fewer than 50 employees will be required to pay £364 for the length of employment of up to 12 months and then £182 for every 6 months specified in the Certificate of Sponsorship (CoS). All other sponsors who do not confirm the definition of a small business or charity must pay £1000 for the employment period up to 12 months and then £500 for every 6 months specified in the Certificate of Sponsorship (CoS).

 

Is there an exemption to the Immigration Skills Charge?



Immigration Skills Charge must be paid when sponsoring migrant workers to most Skilled Worker visa categories and ICT visa categories, but there is no need to pay Immigration Skills Charge in the following:

 

• Intra Company Transfer Graduate Trainee Worker
• Tier 4 student visa holder is switching to a Skilled Worker or ICT long-term employee in the UK
• A worker who was previously assigned a CoS where the new CoS is assigned in a different SOC Coe and the new period of employment does not exceed their current period of the visa.
• When a worker applies for entry clearance for less than 6 months,
• When sponsoring a Ph.D. level employee who does not have to pay the Immigration Skills Charge listed in the Immigration rules

 

If no additional costs are incurred even if an employee has dependent family members i.e. a spouse, partner, or children, the Immigration Skills Charge applies only to workers.

 

What happens if the Immigration Skills Charge is not paid?

 

Immigration Skills Charge is paid when issuing a Certificate of Sponsorship (CoS). If you don't pay at this time, the UKVI will contact the sponsor. The Certificate of Sponsorship (CoS) is invalid until the Immigration Skills Charge is fully paid, and decisions on visa applications based on the Certificate of Sponsorship (CoS) may be delayed until the cost is fully paid. If Immigration Skills Charge is not paid in full within 10 days of the initial reminder to pay the full amount, the visa application may be refused. 

 

Can the Immigration Skills Charge be refunded?

 

If a worker's visa application is refused or withdrawn, the Immigration Skills Charge will be refunded. The amount of payment will also be refunded in full if the worker’s visa has been granted but the worker has not entered the UK or has not started working for the sponsor. 

The sponsor can receive a partial refund if the workers change their employer, terminate the employment contract before the end of the employment contract specified in the Certificate of Sponsorship (CoS), or be granted a visa for a period shorter than the period of the sponsorship application. In addition, you can get a refund even when a small company pays the Immigration Skills Charge due to incorrect issuance of the amount to a large company.

 

It is important for sponsors to pay the necessary Immigration Skills Charge so that there is no unnecessary delay in applying for a visa for migrant workers.