An Azure service that provides an event-driven serverless compute platform.
Hi @Sayan Dutta ,
Welcome to Microsoft Q&A portal. Thank you for posting your question here.
The SubscriptionIsOverQuotaForSku error you're hitting is the standard App Service regional quota check. Your subscription in UK South currently has 0 App Service worker VMs available for the Y1 (Consumption) SKU, so every Y1 plan deployment fails preflight with Current Limit (Total VMs): 0. The same ARM template works in Australia East / Canada Central / South Africa North because those subscriptions already have non-zero App Service capacity in those regions.
Answering your questions one by one:
1. Y1 VMs vs. Total Regional VMs — do you need to raise both?
Raise the Y1 VMs (per-SKU) quota first. When Azure approves a SKU-level App Service quota increase, the Total Regional VMs aggregate is normally bumped by the same amount automatically, so you usually don't need a separate request. If after approval you see the SKU counter go up but Total Regional VMs is still 0, reply on the same support case and ask for the regional aggregate to be raised as well.
2. What value should you request?
The error states the minimum is 1: Amount required for this deployment (Total VMs): 1 Minimum new limit required: 1
1 will unblock this single deployment. However, Y1 Consumption plans can scale out to 200 instances, so if you expect real traffic, request headroom now (e.g. 10, 50, or 200) to avoid raising another ticket later.
3. Is a default of 0 in UK South expected?
Yes, this is expected. Default App Service quotas depend on subscription age, offer type (PAYG, EA, CSP, MSDN), and prior usage in the region. UK South is currently under noticeable capacity pressure, so new or previously unused subscriptions are frequently created with 0 App Service capacity in this region until a quota request is filed and reviewed.
4. Does raising the quota cost anything?
No. Requesting or being granted an App Service quota increase is free quotas are a limit, not a reservation. You're billed only when the Function App on a Y1 Consumption plan actually executes, based on executions, execution time (GB-s), and memory used. If the plan sits idle, there is no charge.
5. After approval, can you just rerun the ARM template?
Yes. Once the support engineer confirms the new limit is applied (verify on the Quotas → App Service (Public Preview) blade for UK South), redeploy the same ARM / Bicep template with no changes. No additional Microsoft.Web re-registration or subscription-level settings are needed — you've already confirmed the resource provider is registered, which is the other common cause of this error.
How to file the request
- Azure portal → Quotas
- Select App Service (Public Preview) from the service list.
- Use the Region filter at the top → select UK South.
- Locate the Y1 VMs row → click the edit (pencil) icon → enter your New Limit (1 for a single plan, higher for headroom) → Submit.
- Wait for approval (typically minutes to a few hours).
- If it fails, Create Support Request button will appear. Click on it and fill the details to create a request.
Steps to create support request: recommended for UK South right now, since the self-service flow is often routed to manual review in capacity-constrained regions:
- Azure portal → Help + support → Create a support request.
- Issue type: Service and subscription limits (quotas)
- Quota type: Web App (Windows and Linux), this is the correct type for Function Consumption plans too.
- Provide:
- Region: UK South
- SKU: Y1 (Dynamic)
- New limit: your desired number of worker VMs
- Paste the exact error message in the description.
Recommendation
Y1 Consumption is now the legacy hosting model for Azure Functions (Linux Consumption has already been retired). Microsoft's current recommendation for new Function Apps is the Flex Consumption (FC1) plan, and it has its own quota surface (often easier to approve in capacity-constrained regions), better cold-start / scale characteristics, and full VNet integration. If your workload allows, consider deploying on Flex Consumption in UK South (or UK West as a nearby alternative).
References
- Increase regional vCPU quotas – Azure Quotas
- Quickstart: Request a quota increase in the Azure portal
- Announcing the Public Preview of the New App Service Quota Self-Service Experience
- Azure Functions hosting options (Consumption / Flex Consumption)
- Azure Functions pricing
Please let me know if you have any other questions.