Soundbite: Right to work responsibilities expand from 1 October 2026

Right to work responsibilities expand from 1 October 2026

From 1 October 2026, the UK rules on illegal working apply to a wider range of working arrangements.

Previously, these rules mainly focused on employees. They may now also apply to some contractors, subcontractors, temporary workers, substitute workers, and individuals who find work through online platforms.

In some cases, a business may be responsible even if it does not directly employ or have a contract with the person carrying out the work. However, the new rules do not automatically make every customer or end-user responsible for everyone working in an outsourced supply chain.

What is changing?

The changes widen the circumstances in which a business may receive a civil penalty for illegal working. The rules may now cover:

• individuals who agree to carry out work personally, unless they are genuinely running an independent business;
• subcontracting and labour-supply arrangements;
• arrangements where a contractor sends another person to carry out the work in their place; and
• online platforms (such as Just Eat, Uber etc) that connect individual service providers with clients or customers.

This means that a business may be liable even where it does not have a direct contract with the individual doing the work. For example, a main contractor could face a penalty if a worker supplied by a subcontractor does not have permission to work in the UK.

The new rules are not intended to cover every service provided by one business to another. For example, services purchased for a business’s internal needs (such as legal, accounting or software services) are less likely to be covered if you are paying for a professional service rather than for a supply of workers. Each arrangement should nevertheless be considered individually. The written contract and the way the arrangement works in practice will both be relevant.

How can businesses protect themselves?

A correctly completed right to work check can provide a legal defence, known as a “statutory excuse”, against a civil penalty. Businesses affected by the expanded rules are also likely to need suitable contract terms and practical procedures. These may include:

• requiring suppliers to carry out proper right to work checks;
• preventing subcontracting unless it has been approved;
• requiring all approved subcontractors to follow the same checking requirements;
• checking substitute workers before they begin work; and
• confirming that the person doing the work is the same person whose immigration status was checked.

Contract terms alone are unlikely to provide sufficient protection. Businesses must ensure that the required checks and procedures are actually followed in practice.

Risks and recommended steps

Civil penalties can be as high as £60,000 for each worker. Other possible consequences include criminal prosecution, closure of business premises and loss of a sponsor licence.

Businesses should consider taking the following steps:

• identify all arrangements involving contractors, consultants, subcontractors and platform-based workers;
• update right to work policies and procedures;
• review supplier and consultancy contracts, including terms dealing with audits and substitute workers;
• train HR, procurement, legal, compliance and commercial teams; and
• confirm that any digital verification provider is properly registered and authorised.

These reforms represent an important change. Responsibility for preventing illegal working is no longer focused only on the direct employer and may extend further through labour-supply chains and online working arrangements.

For assistance with reviewing working arrangements, contracts, policies or training requirements, please contact a member of the team.

This article is intended to provide general information only. It is not a detailed technical legal note.