A sponsor can assign undefined Certificates of Sponsorship (CoS) only from its allocation: the number UK Visas and Immigration (UKVI) has agreed it may assign in a 12-month period. This guide explains how the allocation is set, increased and renewed, from section S2 of Part 2 of the sponsor guidance and the Home Office's SMS manual 2. Defined certificates for Skilled Workers applying from outside the UK are not part of the allocation and are applied for one at a time (S2.10).
The first allocation
The licence application asks for an estimate of the undefined certificates the organisation may assign in its first year on each route, with reasons (Part 1, L6.23 and L6.26; Part 2, S2.17). UKVI may ask for more information before deciding. The grant letter states the maximum number. It is zero if the organisation said it was unsure whether or when it would recruit overseas workers (Part 1, L9.3).
What UKVI weighs
Paragraph S2.18 lists factors UKVI may consider when setting an allocation, including:
- any agents used to recruit workers, and whether they have been linked to immigration abuse
- the sponsor's previous record with the Home Office
- the number of workers employed
- the kind and extent of the business
- how long the organisation has been trading
Paragraph S2.19 gives reasons UKVI may allocate fewer certificates than requested, or none: a history of non-compliance, not enough justification, a need that does not look credible given current circumstances, doubts that the work meets the definition of an eligible role, or uncertainty about whether the sponsor will recruit at all. The same considerations apply to defined CoS applications.
The CoS year
Allocated certificates must be used within the "CoS year" (S2.20). For most sponsors it runs 12 months from the date the licence was granted and, after that, 12 months from each renewal. Sponsors whose Tier 2 licences converted on 1 December 2020 may have a different year, set out in S2.20.
Unused certificates are removed at the end of the year and cannot be carried over (S2.23). UKVI may also reduce an allocation, or set it to zero, if circumstances change, for example if the sponsor downsizes or faces compliance action (S2.21).
Increasing the allocation during the year
A sponsor that expects to run out, or whose allocation is zero, can ask for more through the sponsorship management system (SMS). It must give reasons and UKVI may ask for evidence (S2.22). SMS manual 2 (guide 7) says the request is made from the licence summary screen, that reasons "must be explained in full", and that a submitted request can be withdrawn but not edited.
GOV.UK says a decision on extra undefined certificates usually comes within 12 weeks, and may take longer if UKVI needs to make further checks.
The priority option
The priority change of circumstances service can be used for additional or annual allocation requests. It costs £350 per request (checked 3 Oct 2026) and aims for consideration within 5 working days. Its guidance says:
- the sponsor must be an A-rated, fully active Worker or Temporary Worker sponsor
- the request must first be submitted in the SMS and not yet be with a caseworker
- additional certificates requested this way must be undefined; defined CoS requests are rejected without a refund
- the service is open 7am to 5pm, Monday to Friday, and accepts at least 120 requests a day
- accepted sponsors receive a payment link and have 72 hours to pay
- the service does not guarantee approval
Renewing the allocation each year
An allocation must be renewed every year while the licence is valid (S2.23). Renewal is automatic if the licence is A-rated, the allocation is marked "active" in the SMS, and the sponsor is on an eligible route (S2.25). Seasonal Worker, Secondment Worker, Service Supplier and UK Expansion Worker are not eligible for automatic renewal (S2.26).
An automatic renewal equals the number of certificates assigned in the previous year. Paragraph S2.27 gives the example of a sponsor allocated 15 that assigned 10: it receives 10, and must request more if it needs them. Skilled Worker sponsors receive only undefined certificates this way (S2.28).
Sponsors not eligible for automatic renewal submit a manual request in the SMS, up to 3 months before the CoS year ends (S2.29). SMS manual 2 (guide 8) adds that an expired allocation can still be renewed, but no certificates can be assigned until UKVI grants the request.
Common questions
Can unused certificates be carried into next year?
No. Part 2 (S2.23) says unused certificates are removed at the end of the CoS year.
Will our allocation renew at the same number?
Not necessarily. An automatic renewal matches the number actually assigned in the previous year, not the number allocated (S2.27).
Can we use the priority service for defined certificates?
No. The priority service guidance says requests for additional certificates must be for undefined CoS only, and defined CoS requests are rejected without a refund.
What does each certificate cost?
£525 on the Worker routes and £55 on the Temporary Worker routes, plus the Immigration Skills Charge for many Skilled Workers. The cost calculator adds them up, and the compliance checklist lists what follows once a certificate is assigned.