Certificates Of Sponsorship: An Employer’s Guide

Learn what a certificate of sponsorship is, the different types, and how to apply for one in this detailed guide from our immigration law experts.

Employers wishing to hire international workers under particular sponsored visa routes will need to assign a Certificate of Sponsorship (CoS) to the workers. This process of issuing can be complex with severe consequences if something goes wrong.

What is a Certificate of Sponsorship?

A Certificate of Sponsorship is an electronic record issued to prospective employees by the sponsoring employer. It confirms that the sponsor will meet the employment conditions of the worker’s visa.

All foreign workers applying for the Skilled Worker, Senior or Specialist Worker, Temporary Worker or Scale Up visa routes require a CoS.

A CoS does not guarantee visa approval, but it is a prerequisite to applying. It is assigned by an employer and issued by the UK government.

Types of Certificates of Sponsorship

There are two distinct types of CoS: defined and undefined.

Defined Certificates of Sponsorship

Workers applying via the skilled worker route from outside the UK will require a defined CoS.

To be eligible, the worker must meet the eligibility requirements of the Skilled Worker visa, including an offer of a job with a salary higher than the skilled worker going rate.

Sponsors must apply to the Home Office for each defined CoS, and details of the specific job and salary will need to be provided. Applications are usually processed within 24-48 hours unless further information is requested by the Home Office.

Undefined Certificates of Sponsorship

International workers already in the UK and switching to the skilled worker route will require an undefined CoS, as will those applying under one of the other visa routes from within the UK or overseas.

The sponsoring organisation should have an annual allocation of undefined CoS. These CoS sit on the licence and can be assigned when required to sponsor an eligible worker. If the sponsor runs out of undefined CoS they must apply to the Home Office for an increase in their annual allocation.

How much does a certificate of sponsorship cost?

Employers must hold an A-rated sponsor licence to issue certificates of sponsorship. All sponsors need to pay a £525 fee for assigning each CoS. There is a lower fee of £55 for the temporary worker route.

In addition, employers must pay the immigration skills charge (ISC) which currently stands at:

• £480 per year for small companies

• £1,320 per year for medium and large companies

There are some circumstances where the sponsor may be exempt from this charge, including where a worker:

• is applying for entry clearance and will be sponsored for less than six months

• is sponsored in an ISC exempt occupation code as listed in the Immigration Rules

• has previously been assigned a CoS by the same sponsor and the new CoS will not exceed their current period of permission

• is switching from a student route, including when a further CoS is assigned, provided they remain within the same role

• was assigned a CoS before 6 April 2017 and was granted permission to enter or stay and undertook and continued the same role.

For certain roles, and for workers from certain countries including EU member states, a charge will not apply.

Read the government’s guidance on the Immigration Skills Charge for more information.

How to apply for a CoS

Employers can assign CoS through the government’s sponsorship management system (SMS).

Nominated level 1 users can submit the worker’s details and supporting documentation. They will then get a reference number which should be provided to the worker. The worker will use this reference number to support their visa application, of which they have three months from the date the CoS was issued to complete it.

It is essential that the role meets the eligibility criteria and that sufficient details are provided before assigning the CoS and paying the fee — amendments cannot be made once it has been assigned. Minor errors may be corrected by adding a sponsor note, but for any substantive amendments a new CoS would be required. The CoS fee of £239 will not be refunded and it may take around three months to receive a refund of the ISC for a CoS that is withdrawn and not used as part of a visa application.