Certificate of Sponsorship (CoS) is an electronic document that a sponsored license holder must assign to the migrant workers they wish to onboard. It enables you to onboard the worker and the worker to apply for a visa.
The CoS is essential while recruiting workers under the Skilled Worker and ICT routes, some T2 and T5 visas, and Tier 2 and Tier 5 visas. The allocation happens via Sponsor Management System (SMS), an online portal. Every CoS has its reference number, and you can locate the same on the Cos or the submitted application form.
Before an employer can sponsor a migrant worker, they must first issue a Certificate of Sponsorship. The worker then applies for a sponsorship visa using the CoS. They must use it within 3 months and no later than 3 months before the joining date for visa application.
The Home Office can deny an allocation request or deny it altogether if it becomes aware that you, as an employer, are a direct or indirect threat to the immigration control. Furthermore, it may even decrease or remove the existing allocation for the same reason.
Defined CoS v/s Undefined CoS
Before December 2021, the types of Certificate of Sponsorship were the Unrestricted Certificate of Sponsorship and the Restricted Certificate of Sponsorship. They are now known as Defined Certificate of Sponsorship and Undefined Certificate of Sponsorship, respectively.
Defined CoS
Defined Certificate of Sponsorship, formerly known as Restricted Certificate of Sponsorship, is for skilled workers outside the UK. The employee must be paid less than £159,600 (annually) for this type of certificate. You can request a Defined CoS via SMS, and the Home Office will usually respond within one working day. However, if the sponsor needs to provide additional information to decide on the application, the processing time could be anywhere between 10-15 working days.
Before the new points-based system, sponsors had to file their request for a (Defined) CoS by the 5th of every month, with a decision expected by the 11th of the month. Moreover, the Home Office was allowed to grant a limited number of annual Certificate of Sponsorship to sponsors. Fortunately, due to amendments, the cap is no longer valid, meaning that merit is the basis of evaluation for CoS applications.
Undefined Cos
Undefined Certificate of Sponsorship, formerly known as Unrestricted Certificate of Sponsorship, is a must for those applying for a visa within the United Kingdom. Individuals extending visas with their current employer, changing sponsors, or “switching” visa categories from an eligible route also fall under this category. Undefined Certificate of Sponsorship is for employees who will be getting paid £159,600 or more annually.
When you apply for a Sponsor Licence for the first time, the Home Office will ask you to estimate how many Undefined CoS you plan to allocate during the first year for every one of the routes you’re applying. Your “annual” allocation will be confirmed on your approval letter if and when the Home Office approves the initial allocation.
Total Cost of Sponsoring Migrant
Sponsor License Cost
The cost of a sponsor license varies according to your organization’s size and type. The sponsor license is renewed every four years, and the organization must pay the application fees for every renewal.
- The sponsor license fee for medium and large organizations is £1,476.
- The sponsor license fee for small organizations is £536
Immigration Skills Charge
As an organization, you might have to pay an additional charge known as the Immigration Skill charge on allocating a certificate of sponsorship to an individual applying for a Skilled Worker or Intra-company Transfer visa.
You are liable to pay if they are applying for a visa –
- outside of the United Kingdom to work in the UK for six months or more
- within the UK for any length of time
You are not liable to pay if you are sponsoring an individual who –
- is on an Intra-company Graduate Trainee visa
- is studying in the UK and changes to a Skilled Worker or Intra-company Transfer visa ( if they then extend their stay on the new visa, you will not have to pay)
- is a professional practicing the following occupation – chemical scientists (2111), biological scientists and biochemists (2112), physical scientists (2113), social and humanities scientists (2114), and other natural and social science professionals (2119), managers of research and development (2150), higher education teaching professionals (2311), clergy (2444), sports players (3441), sports coaches, instructors, or officials (3442).
Note.: The numbers mentioned in the brackets are the occupation codes.
The charges of the Immigration Skills depend on two factors; the size of your organization and the period you will employ the individual.
For the first 12m months, you will have to pay £364 if you are a small or charitable sponsor and £1,000 if you are a medium/large sponsor. Beyond that, for every additional 6 months, you will have to pay £182 if you are a small/charitable sponsor and £500 if you are a medium/large sponsor.
Since the longest you can sponsor a worker is 5 years, you will pay not more than £1,820 if you are a small/charitable sponsor and £5,000 in total if you are a medium/large sponsor.
CoS fees
You will have to pay:
- £199 for a skilled worker, T2 minister of religion, T2 sportsperson, intra-company transfer, and intra-company graduate trainee.
- £21 for a Temporary worker
- no fee for CESC nationals (The list of countries is available on the official Home UK website)
The visa charges and Immigration Health Surcharge depends on the type of application.
Final Thoughts
A Certificate of Sponsorship is a prerequisite for hiring a skilled worker. However, one must remember that assigning a CoS does not necessarily mean that the employee has a visa. As an employer, you must check if the worker meets the requirements for the visa. Furthermore, an employee must always comply with Sponsorship duties to be eligible to issue a CoS. This article is only a brief overview, covering crucial details. For the nitty-gritty, we suggest you visit the official government website.
