The UK Skilled Worker route comes with several mandatory costs that both sponsoring companies and visa applicants must consider carefully. Employers wanting to sponsor foreign workers under the Skilled Worker route should be aware of the skilled worker sponsorship costs involved in this visa process. They are required to pay different fees at different stages of the sponsorship, both for the initial application and for the ongoing visa process. The skilled worker sponsorship cost is a key component of the overall cost that each company or organisation sponsoring foreign workers has to pay.

Skilled worker sponsorship costs for UK companies in 2025 include the following:

• Sponsorship Licence Application Costs

• Certificate of Sponsorship Costs

• Immigration Skill Charge

• Priority Service Fee (Optional)

In this blog, we outline the key skilled worker sponsorship costs involved, using the most recent fee updates effective from 9 April 2025.

Sponsorship Licence Application Costs 

UK companies must hold a valid sponsor license to recruit non-UK resident workers through most work visa routes, including the UK Skilled Worker route. Being a sponsor license holder entails costs that the employer needs to include in recruitment and ongoing employment.

The new Skilled Worker Sponsorship Licence application costs from July 2025 are as follows.

Certificate of Sponsorship

Before an employer can sponsor overseas workers, they need to obtain a valid sponsor licence issued by the Home Office. The licence allows companies to assign a CoS (Certificate of Sponsorship) to each foreign worker they employ, confirming that the conditions of the relevant visa have been met. CoS, which is an electronic record, is a crucial document for sponsoring foreign workers. Each certificate has its own unique number, which a worker can use when applying for a Skilled Worker visa.

Visa Categories that require assigning a Certificate of Sponsorship to the Applicants

• Skilled Worker

• Global Business Mobility Route

  • Senior or Specialist Worker, 

  • Graduate Trainee, 

  • Service Supplier, 

  • UK Expansion Worker and 

  • Secondment Worker

• Temporary Worker Route

  • Creative Worker, 

  • Charity Worker, 

  • Religious Worker, 

  • Government Authorised Exchange, 

  • International Agreement and 

  • Seasonal Worker

• Minister of Religion

• International Sportsperson

Defined Certificates

You need to obtain and assign a defined certificate to the foreign workers applying for a Skilled Worker visa from outside the UK.

Undefined Certificates

On the other hand, you need to apply for, obtain, and then assign an undefined certificate to the foreign workers applying for a Skilled Worker visa from inside the UK, and applicants on all other visas.

When you apply for your sponsor licence, the Home Office will ask you to estimate how many undefined certificates you'll need in the first year to hire foreign workers and temporary workers.

Certificate of Sponsorship Fee

Sponsors are required to pay a Certificate of Sponsorship fee in order to assign it to a skilled worker. The skilled worker sponsorship costs and other work visa sponsorship costs that the sponsor needs to pay will depend on factors such as the type of visa the applicant is applying for and how long the CoS is being assigned for. The fee is subject to change. It was last updated by the Home Office on 9 April 2025. 

Now, it costs £525 to assign a Worker (except workers on the International Sportsperson visa) CoS and £55 to assign a Temporary Worker CoS

This fee applies to each CoS issued by the UK companies, regardless of whether it is a Defined CoS for entry clearance or an Undefined CoS for leave to remain in the UK. Employers must pay this fee when assigning the CoS to a prospective employee.

Immigration Skills Charge 

Sponsors might have to pay an additional charge called the ISC (Immigration Skill Charge) when they assign a CoS to those applying for a Skilled Worker or Senior or Specialist Worker visa.

A Skilled Worker visa sponsor must pay the immigration skills charge if the worker is applying for it from:

• Overseas to work in the UK for 6 months or more

• Within the UK for any length of time

Under the government, the White Paper released on 12 May 2025, the ISC is set to increase by 32%, although the timings of the rise in cost have yet to be confirmed.

How much does it cost?

The amount employers need to pay as ISC is based on the size of their organisation and how long the worker will work for them, using the start and end dates on their certificate of sponsorship.

How to determine if you're a Small or Large Sponsor?

You're usually termed a large sponsor if at least 2 of the following apply:

• Your company's annual turnover is £15 million or less

• Your company's total assets are worth £7.5 million or less

• Your company has 50 employees or fewer

One is a charitable sponsor if they're a charity:

• Registered in England or Wales 

• Registered in Scotland 

• Registered in Northern Ireland - if the sponsor is not on the register, they must provide proof of their status as a charity for tax purposes from HM Revenue and Customs (HMRC)

• That is an excepted charity 

• That is an exempt charity 

• That is an ecclesiastical corporation established for charitable purposes

When do you not need to pay ISC?

You will not be required to pay the ISC if you're sponsoring someone with one of the following occupation codes:

You may not have to pay the immigration skills charge if you're sponsoring a worker who was assigned a CoS before 6 April 2017. You can find more information in the immigration skills charge guidance for sponsors.

You will also not need to pay the ISC for any of the workers' dependents, for example, their partner or child.

Priority Processing Fee (Optional)

Any UK company that needs a faster decision on their request for a Defined CoS or for additional Undefined CoS allocations can use the CoS Priority Request Service. This costs the sponsors an additional £500 per request. The availability is capped every day, and requests are allocated on a first-come, first-served basis.

Need our assistance?

UK companies looking to employ foreign workers need to consider Skilled Worker sponsorship costs in 2025. 

Visa and Migration is a renowned private law firm in the UK. Our UK immigration lawyers bring extensive experience and proficiency in guiding companies through the sponsorship regime, facilitating the recruitment of overseas skilled workers to fulfil their talent requirements.

Leveraging our profound knowledge and understanding of the sponsorship process, we offer a comprehensive evaluation of skilled worker sponsorship costs and the broader impacts on your company or organization when sponsoring overseas workers. 

For specialized UK immigration guidance, call us at +44 (0)20 3411 1261.