Hiring talent from overseas is an investment. But precisely how much does it cost? Use this guide to calculate the exact budget required to sponsor a Skilled Worker in 2025.
The 4 Main Costs
There are four distinct fees you need to be aware of. Some are one-off, others apply per employee.
1. Sponsor License Application Fee
You pay this once every 4 years to hold the license.
- Small Companies / Charities: £536
- Medium / Large Companies: £1,476
(Small company definition: Less than 50 employees, or turnover under £10.2m)
2. Certificate of Sponsorship (CoS)
You pay this for every individual you sponsor.
- Skilled Worker: £239 per certificate.
- Temporary Worker: £25 per certificate.
3. Immigration Skills Charge (ISC)
This is the largest cost. You must pay this for every year of the visa you sponsor. It effectively is a tax on hiring overseas talent.
| Company Size | Cost Per Year | Cost for 3 Years | Cost for 5 Years |
|---|---|---|---|
| Small / Charity | £364 | £1,092 | £1,820 |
| Medium / Large | £1,000 | £3,000 | £5,000 |
4. International Health Surcharge (IHS)
Ideally, the employee pays this (£1,035 per year). However, many employers chose to cover this expense as part of the relocation package to remain competitive.
Real World Example
Use SponsorReady to check your CV, find focused sponsor-match jobs, and prepare your next application.
If you are a Small Company hiring a software engineer for 3 years:
- License (if new): £536
- CoS Assignment: £239
- ISC (3 x £364): £1,092
- Total Employer Cost: £1,867 (excluding legal fees).
For more details on the process, read our Complete Guide to Sponsorship.
