- The draft thresholds for the RAG ratings have been circulated by the Home Office
- The RAG rating is not an aggregate of the three core BCA metrics. Instead, the rating will be linked to the lowest-rated metric of visa refusals, enrolment rates or course completions
- Amber-rated sponsors will have their CAS limit capped, while green-rated sponsors will not automatically receive an increased CAS allocation
- Red-rated sponsors will incur in a minimum 10% CAS reduction, the loss of privileges such as English self-assessment, and a warning that will stay on record for five years. Any further breach in that time would result in licence revocation
Core requirement thresholds
In June 2026, the legacy Basic Compliance Assessments (BCA) framework for student sponsors is set to be replaced with a new regulatory model. This action was first announced in the government’s immigration white paper in 2025.
The core requirement thresholds will change, with all sponsor assessments on or after June 1 2026, required to meet the following metrics:
- a visa refusal rate of less than 5%
- an enrolment rate of at least 95%
- a course completion rate of at least 85%*.
*The minimum course completion rate will increase to 90% from 1 June 2027.
Sponsors will be assessed annually on their compliance performance relating to the previous 12 months. The point of assessment relates to when an institution was granted a sponsor licence, and institutions will differ in the number of intakes they have across a year.
The proposed RAG rating system
Draft guidance seen by The PIE News reveals the details of the new red-amber-green banding system and sanctions if sponsors fail to meet the core requirement metrics.
The ratings are set to be published on the public student sponsor register. However, individual RAG ratings will not be published until every sponsor has received their first rating and all results can be uploaded simultaneously. This means the full set of results is unlikely to be published until the summer of 2027.
The proposed RAG rating system is not an aggregate. A sponsor’s rating will be determined by their lowest rated metric, rather than an average across the three metrics. Failure to meet any of the three core requirements will automatically result in a red rating and a CAS reduction.
It is also significant that an amber rated banding will still result in a cap on CAS allocation, meaning the punitive thresholds are narrower than first expected.
| Metric | Red | Amber | Green |
| Refusal rate | ≥ 5% | ≥ 4% – < 5% | < 4% |
| Enrolment rate | < 95% | ≥ 95% – < 96% | ≥ 96% |
| Course completion rate | < 90% | ≥ 90% – < 92% | ≥ 92% |
Red rating
Where a sponsor fails to meet a core requirement of the BCA, they will fall into the red category for that metric and therefore receive a red rating overall.
As a consequence, the sponsor institution will be placed on a UKVI action plan and the next CAS allocation will be reduced by a minimum of 10%, with no stated maximum. The sponsor will also lose privileges including the ability to self assess English language levels and the ability to undertake remote delivery of teaching.
Finally, UKVI will also notify the sponsor that they have been issued with a ‘final warning’ notice, which will remain active for the next five BCAs. If they are rated red again in that period then the UKVI will begin the licence revocation process with that institution.
The guidance also outlines that if evidence of exceptional circumstances is provided, proving that fault was outside of the sponsor’s control, then sanctions may not be enacted. However, UKVI makes clear that individual cases will not be considered as part of this appeals process.
Amber rating
Amber-rated sponsors will be required to attend formal engagement meetings with the UKVI to review their results and discuss any mitigating action required. This is required to take place within 30 days of notification of the rating and must be attended by the chief executive or vice-chancellor of the institution.
The UKVI will not grant more CAS than what was previously used by the sponsor until they are rated green.
Green rating
Sponsors must be rated in the green metric bands across all three categories to be rated green overall. No compliance action will be taken in direct response to a green rating outcome. However, sponsors will not automatically be rewarded for a strong compliance performance with an increased CAS allocation.
Green-rated sponsors can also be audited and sanctioned on a discretionary basis.
In advance of these measures coming into force, many universities are taking preemptive action to bring their compliance metrics in line with the new BCA standards including pausing recruitment from ‘high-risk’ countries, increasing deposit payments and tuition fee instalments, and investing in more monitoring and auditing processes and technology.
These changes have been designed to work with the sector, not against it and supporting sponsors to maintain high standards and protecting the reputation of UK education internationally
The Home Office issued a statement to The PIE, saying: “The new framework is designed to further drive the responsible recruitment of international students by making it clear to sponsors, the authorities and the public which institutions are achieving high rates of compliance while allowing the Home Office to take robust action against those who are not upholding their duties, before it may become necessary to revoke their sponsor licence.
“Raising the BCA thresholds and introducing clearer performance ratings will support institutions in identifying genuine students more effectively, reinforce the principle that sponsorship is a privilege, and help the sector continue attracting the brightest talent while reducing opportunities for misuse of the route. These changes have been designed to work with the sector, not against it and supporting sponsors to maintain high standards and protecting the reputation of UK education internationally.”
The Home Office continues to work with the sector on implementing these proposed changes including participation in sector discussions on the circulated draft guidance. Full details will be confirmed in due course and published by the Home Office directly.
The BCA metrics, RAG ratings and compliance are all key themes at The PIE Live Europe 2026, including a wide range of workshops, expert panels, immigration law firms and over 80 UK universities discussing the new Home Office guidance. Tickets are still available here for 24-25 March event in London.
