Right to Work Checks Are Changing from 01 October 2026

From 1 October 2026, significant changes to the UK’s right to work regime will come into force, expanding the responsibilities of employers and their businesses when checking whether individuals are legally entitled to work in the UK.

The Draft employer’s guide to right to work checks guidance, published on the Gov.UK website on 11 September 2026, provides further clarification on the new rules and how businesses can protect themselves from liability.

Currently, businesses will be familiar with carrying out right to work checks on their employees. From 01 October, however, the rules will extend to a wider range of working arrangements.

Who will the new rules affect?

The Right to Work Scheme will cover individuals engaged:

• under a traditional employment contract;
• under a worker’s contract;
• as an individual subcontractor; and
• through certain online matching services, where a platform connects individuals providing services with potential customers.

This could be particularly relevant for businesses operating in sectors such as construction, logistics and the gig economy, where subcontracting and non-traditional working arrangements are common.

Importantly, businesses cannot rely solely on how an individual is described in a contract. The Home Office guidance states that the substance of the working arrangement and how it operates in practice should be considered.

Extended liability

One of the biggest changes is the introduction of extended liability.

In certain circumstances, responsibility for illegal working can extend beyond the business that directly engages the worker and further up a contractual chain.

For example, the guidance considers a property developer contracted to build new homes. If the developer uses a chain of subcontractors to provide workers for parts of the project, the developer may potentially be treated as an employer for the Right to Work Scheme.

However, this does not mean that every business purchasing services from another company becomes responsible for that company’s employees.

For example, where a retailer purchases cleaning services for its own premises from a facilities management company, the guidance says responsibility for carrying out checks remains with the facilities management company as the cleaners’ employer.

What should employers do?

Employers who are potentially affected by the new rules should review their arrangements before 1 October 2026.

In particular, they should:

• Identify who carries out work for the business, including workers and individual subcontractors as well as employees.
• Review subcontracting arrangements – particularly where the business has agreed to provide work or services to another organisation and uses subcontractors to deliver them.
• Check contracts – as businesses affected by extended liability may need specific terms requiring subcontractors or service providers to conduct proper right to work checks.
• Review substitution arrangements – as businesses allowing workers to send substitutes will need processes to ensure substitutes are appropriately checked before they start work.
• Keep appropriate records so that the business can demonstrate its compliance if questioned by the Home Office.

The guidance makes clear that contractual wording alone may not be enough. Employers should also be able to demonstrate that their compliance arrangements actually operate effectively in practice.

Why does this matter?

Failure to comply can have serious consequences. An employer that employs someone illegally without establishing the necessary statutory excuse can face a civil penalty of up to £60,000 per illegal worker.

More serious cases can lead to criminal prosecution, with penalties including up to five years’ imprisonment and an unlimited fine.
The new rules represent an important expansion of right to work compliance in the UK.

For many employers, the existing process of carrying out checks on ordinary employees will remain familiar. The bigger change will be for businesses using workers, subcontractors, online platforms or more complex contractual chains.

With the changes taking effect on 1 October 2026, businesses should consider reviewing their working arrangements and contracts now to establish whether they will be caught by the expanded scheme and what steps they need to take to protect themselves from liability.

If you are an employer and wish to secure further advice on how these changes will affect you and your business, please get in contact with our expert immigration solicitors.