An employer's guide to certificates of sponsorship

Any employers wishing to hire international workers under particular sponsored visa routes will need to assign certificates of sponsorship (CoS) to the workers.

However, the process of issuing a CoS can be complex, and the consequences of getting it wrong can be severe.

This guide to CoS may help employers to carefully navigate the process.

What is a certificate of sponsorship?

A CoS is an electronic record that is 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.

A CoS 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 CoS

Workers who are 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.

For detailed guidance, see the government’s list of Skilled Worker Going Rates.

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 CoS

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 CoS. All sponsors need to pay a £239 fee for assigning each CoS. There is a lower fee of £25 for the temporary worker route.

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

• £364 per year for small companies
• £1,000 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 6 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 and will then be provided with a reference number which should be provided to the worker.

The worker will then use this reference number to support their visa application — they will have three months from the date that the CoS is issued to complete their visa application.

It is essential that you ensure the role meets the eligibility criteria and that sufficient details are provided before assigning the CoS and paying the fee, as a CoS cannot be amended 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.

How can we help you?

We have a team of experienced immigration solicitors who can help and advise you on obtaining the right sponsor licence, maintaining your sponsor licence at the highest rating, managing your sponsor licence, and complying with your ongoing sponsor duties and responsibilities.