Right to Work rules have changed: is your business compliant?

Right to Work rules have changed is your business compliant
Changes to the UK’s Right to Work rules took effect on 1 October 2026, extending checking responsibilities to certain working arrangements beyond traditional employment. If your business engages workers or individual subcontractors, reviewing your current processes should be a priority.

Right to Work checks help businesses establish whether an individual is legally permitted to work in the UK. Carrying them out correctly can also protect employers from civil penalties for illegal working.

The updated rules widen the scope of the scheme, meaning some businesses may now have additional responsibilities when engaging individuals. Here’s what has changed, what to review and how to approach compliance.
What has changed from 1 October 2026? 
The Right to Work scheme previously focused primarily on individuals employed under contracts of employment. From 1 October 2026, the requirements extend to additional working arrangements. 

Under the updated rules, prescribed checks are required in the following circumstances: 

  • Employees: Individuals employed under a contract of employment or apprenticeship.
  • Workers: Individuals engaged under a worker’s contract, where they personally undertake work or services for another person and are not operating as a business providing services to a client or customer. 
  • Individual subcontractors: Individuals engaged as individual subcontractors. 
  • Online matching services: Organisations operating an online matching service that connects individual service providers with potential clients or customers. 
Businesses should consult the Home Office’s updated Right to Work guidance to establish which checks apply to their circumstances. 
The changes are particularly relevant to businesses that engage people through different working arrangements, rather than relying exclusively on directly employed staff. 

For example, you may need to review your approach if your business: 

  • Engages individuals on a self-employed or subcontracting basis. 
  • Uses workers engaged under contracts for personal services. 
  • Works with agencies or other organisations that supply labour. 
  • Relies on individual contractors to deliver services. 
  • Operates an online platform that matches individual service providers with customers. 
Using an agency or outsourcing a service does not automatically mean your business is responsible for every right to work check. The relevant arrangements need to be assessed to establish who has the legal duty to carry out the check and whether any separate responsibilities apply. 

Businesses with existing processes should review them against the expanded scope, rather than assuming that procedures designed around permanent employees will cover every engagement.
What should your business do now?
A practical review can help identify gaps and clarify responsibilities. 
1. Review how you engage people
Start by mapping the different ways individuals work with your business. Include employees, workers, individual subcontractors and any relevant arrangements involving agencies or online matching services.
Establish who must carry out the prescribed check for each relevant arrangement. Where agencies, contractors or other third parties are involved, review your contracts and working practices to clarify responsibilities.
Review your onboarding and engagement processes to ensure the appropriate checks are completed before an individual commences work, where required.
Ensure your business retains the prescribed evidence of checks and has a clear process for managing any follow-up checks required to maintain its statutory excuse against a civil penalty.
Right to Work checks must be carried out in a way that avoids unlawful discrimination. Your procedures should be applied consistently, regardless of an individual’s nationality or ethnic or national origins.
What happens if I get it wrong?
Employers who fail to comply with the relevant requirements may face significant consequences.

Civil penalties for employing an illegal worker can reach £60,000 per illegal worker, depending on the circumstances and the applicable penalty rules. Businesses that hold a sponsor licence may also face further action, including the potential revocation of their licence.

Failing to establish clear responsibilities across different working arrangements can create additional compliance risks, particularly where several organisations are involved.

Reviewing your procedures now can help identify potential issues and establish a more consistent approach to managing your workforce.
How can Fiander ETL help?
Understanding how the updated Right to Work rules apply to your business may require a closer look at your workforce arrangements, contracts and existing compliance procedures.

Fiander ETL can help you consider the potential operational impact of the changes and identify areas that may need further review. Where specialist employment law or immigration advice is required, we can help you establish the appropriate next steps.

Speak to your Client Director or Manager or make an enquiry  to discuss the potential impact of these changes on your business.