Certificate of Sponsorship (CoS) Allocation 2025 – Step-by-Step Employer Guide

Why CoS Allocation Matters for 2025

If you’re a UK employer with a sponsor licence, your Certificate of Sponsorship (CoS) allocation is the key to hiring Skilled Workers legally in 2025.

Every visa application under the Skilled Worker route must be supported by a valid CoS, assigned through the Sponsor Management System (SMS). Without an active allocation, even the best candidate can’t get their visa.

The Home Office reviews CoS allocations every year, and employers must ensure their allocation request or renewal is completed correctly — or risk missing recruitment deadlines.

At AHJ Immigration, we assist companies across the UK with licence management, allocation requests, and compliance reviews to keep hiring processes smooth and lawful.

What Is a Certificate of Sponsorship?

A Certificate of Sponsorship (CoS) is a unique digital reference number issued by the Home Office to confirm that a UK-licensed employer is sponsoring a specific overseas worker.

It’s not a paper certificate — it’s an online record in the Home Office Sponsor Management System (SMS).

There are two types of CoS employers should know about:

1. Defined CoS
Used for overseas Skilled Worker applicants applying from outside the UK. Employers must request each defined CoS individually via the SMS before assigning it.

2. Undefined CoS
Used for workers already inside the UK (for example, switching from a Graduate or Student visa) and for certain Intra-Company transfers. Employers usually receive an annual allocation of these each April.

Understanding Your Annual CoS Allocation

Each sponsor licence holder receives an annual allocation of undefined CoS.
This allocation allows you to assign certificates quickly to eligible candidates without requesting approval every time.

The allocation cycle runs from 6 April to 5 April the following year.

Allocation Categories

• New Licence Holders: Request initial CoS numbers during the sponsor licence application.
• Existing Licence Holders: Must renew or adjust allocations annually based on hiring forecasts.

Failure to renew means you’ll lose the ability to assign CoS — causing recruitment delays and compliance risks.

How to Request or Renew Your CoS Allocation

The Home Office allows employers to manage allocations through the Sponsor Management System (SMS).
Here’s the step-by-step guide to staying compliant in 2025.

Step 1: Log into the Sponsor Management System

Use your Level 1 User credentials to access your account via the Home Office portal.

Step 2: Review Current Allocation

Check your current allocation and note how many CoS remain. Consider your 2025 recruitment plans — you’ll need to justify the number you request.

Step 3: Submit a Renewal Request

If your annual allocation expires on 5 April 2025, submit a renewal at least four weeks before the expiry date.
Choose “Request additional/renewal allocation” under the ‘Licence Summary’ tab.

Step 4: Provide Evidence and Justification

You may be asked to justify your request by showing:

• Recruitment forecasts or offer letters
• Proof of previous CoS usage
• Details of sponsored job roles and SOC codes

Step 5: Await Decision

Decisions are usually made within 18–26 working days, but can take longer during peak periods.
If approved, your allocation refreshes automatically on the SMS dashboard.

Deadlines & Key Dates for 2025 Renewals

Mark these dates — missing them could leave your business unable to issue sponsorships.

Common Mistakes Employers Make

Even experienced sponsors sometimes make simple errors that cause unnecessary delays or compliance issues.

1. Forgetting to Renew the Allocation
Allocations don’t auto-renew without approval. If you forget to submit your renewal, you’ll have no valid CoS to assign.

2. Requesting Unrealistic Numbers
Excessive requests without evidence can trigger Home Office scrutiny or even a compliance audit.

3. Ignoring Expiry Notifications
The SMS sends renewal reminders — but many companies overlook them.

4. Assigning the Wrong CoS Type
Using a Defined CoS when an Undefined one is required (or vice versa) can invalidate the application.

5. Failing to Update Key Personnel
Outdated Level 1 Users or Authorising Officers can delay allocation approvals.

“Most allocation delays stem from poor planning or outdated user access. A quick compliance review each quarter can prevent last-minute hiring issues.”
— Abdul Basit, Senior Sponsor Licence Consultant, AHJ Immigration

ABC Tech CoS Renewal Success

ABC Tech, a medium-sized IT firm in Birmingham, sponsors several Skilled Workers each year.
In early 2024, their HR team realised they had only one CoS left but needed to hire four developers.

AHJ Immigration reviewed their previous allocations, prepared the renewal justification, and submitted a targeted request for six new CoS.
The Home Office approved the request within 10 days — avoiding hiring disruption.

The takeaway? Plan renewals early, document your hiring needs, and keep your SMS account in good order.

Why Work with AHJ Immigration

Sponsor licence management is detailed work — especially with constant rule changes.
A single missed renewal or wrong allocation request can cost months in delays.

AHJ Immigration provides:

• Annual CoS allocation management
• Sponsor licence renewals and compliance reviews
• HR and Authorising Officer training
• Fixed-fee employer advisory services

Free 30-Minute Case Assessment — Find Out If Your CoS Allocation Is Up to Date.

We’ll review your current allocation, identify risks, and help you renew or request additional certificates before deadlines.

Frequently Asked Questions

1. How long does a CoS allocation request take in 2025?
Usually 18–26 working days, but longer during busy periods like April and September.

2. What’s the difference between Defined and Undefined CoS?
Defined CoS are for applicants applying from outside the UK. Undefined CoS are for workers already in the UK.

3. When should I renew my annual allocation?
At least four weeks before 5 April 2025 to avoid losing sponsorship capability.

4. Can I request more CoS during the year?
Yes. Submit an “Additional Allocation Request” via SMS with justification for extra hires.

5. What happens if I forget to renew my CoS allocation?
You won’t be able to assign sponsorships until the renewal is approved. This can delay hiring or contract fulfilment.

Keeping your CoS allocation updated is essential for uninterrupted recruitment.
If your business sponsors Skilled Workers, make sure your allocation and compliance are ready for 2025.

Free 30-Minute Case Assessment — Find Out If Your CoS Allocation Is Up to Date.

Our specialists will review your licence health, ensure your SMS is compliant, and handle renewal submissions before the deadline.