How to Obtain a Certificate of Sponsorship (CoS) in the UK: A Guide for Business Owners
Discover how UK businesses can secure a Certificate of Sponsorship (CoS) to hire international talent. Learn the steps, eligibility, and compliance requirements to streamline the process.
As the global talent pool continues to grow, UK businesses increasingly rely on international hires to drive growth and innovation. A key requirement for hiring migrant workers is obtaining a Sponsor Licence and assigning a Certificate of Sponsorship (CoS) to the employee. In this article we will outline the steps involved, eligibility requirements and key considerations for businesses looking to assign a CoS to employees.
What is a Certificate of Sponsorship (CoS)?
A CoS is an electronic document issued by a UK sponsor employer to a migrant worker. It acts as a supporting document to the migrant workers visa application to demonstrate to the Home Office they have met the necessary requirements outlined in the Immigration Rules to work in the UK. Further the CoS is a confirmation from the business to the Home Office that you:
wish to sponsor the worker;
are satisfied the worker can meet the relevant immigration requirements;
are eligible to sponsor the worker under the relevant route; and
agree to abide by the terms and conditions set by the Home Office.
There are two types of CoS:
Defined CoS: This CoS applies to individuals that are based outside of the UK and require sponsorship.
Undefined CoS: For individuals that are already in the UK and require sponsorship to continue living and working in the UK.
Without a valid CoS businesses cannot sponsor and hire migrant workers in the UK. Note that a CoS does not guarantee that the migrant worker will be granted entry clearance under their chosen immigration route.
Steps to Obtain a Certificate of Sponsorship
1. Obtain a Sponsor Licence
To issue a CoS, your business must first apply for and obtain a Sponsor Licence. This involves making an application to the Home Office to demonstrate the following:
Your business is genuine and operating legally in the UK.
The business has the relevant systems and abilities to maintain the Sponsor Licence and comply with their sponsor duties.
The application requires the submission of various evidential documents to show the business is genuine, operating lawfully in the UK and has the funds and ability to sponsor migrant workers.
2. Request CoS Allocation
Once your Sponsor Licence is approved, you can request a CoS allocation on the Sponsor Management System (SMS). This allocation must match your hiring needs for the year and may need renewing annually. For Defined CoS, you must make a specific request each time you hire a worker from outside the UK.
3. Assign the CoS
When you are ready to assign the CoS to an employee, log into the SMS and assign the CoS to the candidate. The CoS application requires the following:
work dates (start date and end date);
job title and description;
hours of work;
days of work;
salary; and
confirmation of whether maintenance will be provided to the migrant.
4. Decision
Defined CoS: For Defined CoS applications the Home Office aims to provide a decision within one working day, however, this may be delayed due to requests for further information or Home Office backlog.
Undefined CoS: For increases to a businesses Undefined CoS allocation, decisions can take up to 18 weeks to be approved. Alternatively, businesses may use the Priority Change of Circumstance service to receive a decision within 5 working days.
5. Worker’s Visa Application
The worker will then use the unique CoS reference number to apply for their visa. It is imperative that the information provided on the visa application matches that on the CoS. Failure to do so can result in significant delays or rejection of the visa application.
Key Considerations for Employers
Eligibility Requirements for Roles
The job must meet certain criteria, including:
Being on the list of eligible occupations.
Meeting the minimum salary threshold – currently the minimum salary for Skilled Workers is the higher of either the ‘going rate’ for the relevant occupation or £38,700.
Compliance Obligations
As a licenced sponsor, your business must comply with several obligations, some of which include:
Report significant changes in the worker’s employment.
Retain employment records for a specified period.
Monitor employees to ensure compliance with visa conditions.
Non-compliance can result in penalties, licence suspension, revocation, or criminal convictions.
Costs Involved
Sponsor Licence Application Fee: £536 for small organisations or charities, £1,476 for medium/large organisations.
CoS Assignment Fee: £239 per CoS.
Note that the Home Office have recently announced they intend to increase the fee for CoS’ to £525. Whilst it is yet to be confirmed when this change will be implemented, it is important for businesses to consider this when planning to hire migrant workers.
Immigration Skills Charge: £364 for the first 12 months of sponsorship, £182 for every 6-months thereafter.
Common Challenges and How to Overcome Them
Navigating Documentation Requirements
Ensure all documents are accurate and up-to-date. Using legal or immigration advisers can help streamline this.
Understanding Job Eligibility
The rules for eligible roles and salary thresholds can be complex and are constantly evolving. Familiarise yourself with the UK’s Skilled Worker occupation list or consult an expert.
Maintaining Compliance
Implement robust internal systems to manage sponsorship duties and meet Home Office requirements.
Conclusion
Securing a Certificate of Sponsorship is a vital step for UK businesses when hiring international talent. By understanding the requirements, following the steps outlined, and maintaining compliance, you can streamline the process and gain access to a diverse talent pool.
At Dragon Argent, we specialise in supporting businesses with Sponsor Licence applications, CoS allocations, compliance management and HR support. Whether you’re an SME or a corporate entity, our experts provide tailored guidance to ensure a smooth sponsorship process, helping you attract and retain global talent.
For more information or to get started, contact our immigration solicitors today.
Frequently Asked Questions
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A CoS is an electronic document issued by a licensed UK sponsor to a foreign worker, enabling them to apply for a work visa. It confirms that the employer is authorised to sponsor the worker and that the job meets the eligibility criteria under the UK immigration rules.
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There are two main types of CoS:
Defined CoS: For Skilled Worker visa applicants applying from outside the UK.
Undefined CoS: For workers already in the UK or those applying under other visa categories.
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Employers must first obtain a sponsor licence from the Home Office. Once approved, they can assign a CoS through the Sponsorship Management System (SMS). The job offered must meet specific requirements, such as skill level, salary thresholds, and, if applicable, being listed on the Immigration Salary List.
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A CoS contains details about the employer, the role being offered, and the employee. This includes the job title, salary, work location, start and end dates, and a unique reference number that the worker can then use when making their entry clearance application.
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Defined CoS: For Defined CoS applications the Home Office aims to provide a decision within one working day, however, this may be delayed due to requests for further information or Home Office backlog.
Undefined CoS: For increases to a businesses Undefined CoS allocation, decisions can take up to 18 weeks to be approved. Alternatively, businesses may use the Priority Change of Circumstance service to receive a decision within 5 working days.
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The fee to assign a Certificate of Sponsorship is currently £239. However, it has been announced that this is set to increase to £525. The date on which this change is to be implemented is yet to be confirmed.
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A CoS is valid for three months from the date it is assigned. The sponsored worker must apply for their visa within this timeframe. Additionally, once the visa is approved, its duration will depend on the terms outlined in the CoS and the worker’s visa type.
Legal Disclaimer
The matters contained in this article are intended to be for general information purposes only. This article does not constitute legal advice, nor is it a complete or authoritative statement of the law, and should not be treated as such. Whilst every effort is made to ensure that the information is correct at the time of writing, no warranty, express or implied, is given as to its accuracy and no liability is accepted for any error or omission. Before acting on any of the information contained herein, expert legal advice should be sought.
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