The UK is preparing to introduce significant changes to its Right to Work framework from 1 October 2026, placing greater emphasis on workforce visibility, identity verification and employer responsibility.
The updated approach reflects the changing nature of employment, where businesses increasingly rely not only on direct employees but also on contractors, consultants, outsourced workers and other forms of contingent labour. For employers, this means Right to Work compliance is becoming a broader workforce governance issue rather than simply a document check completed during recruitment.
Employers should not assume that enforcement will only target businesses with obvious immigration compliance problems. Increased information sharing between government departments is making it easier for authorities to identify potential illegal working and investigate organisations more efficiently.
This means businesses should be prepared to demonstrate not only that Right to Work checks are being completed, but also that their wider workforce arrangements are properly controlled and documented.
The draft Code of Practice reinforces this broader approach. While employers have long had responsibilities under the Civil Penalty Scheme, the updated guidance places greater emphasis on compliance across extended workforce arrangements.
Employers need to be confident that the person carrying out the work is the same individual whose Right to Work status was checked. This becomes particularly important where businesses use contractors, outsourced labour or arrangements involving substitution.
The draft guidance highlights areas such as:
For HR and compliance teams, this represents a shift away from treating Right to Work as a one-time recruitment exercise. The focus is increasingly on maintaining reliable controls throughout the employment or engagement relationship.
For smaller businesses, the main challenge may be ensuring that compliance responsibilities are clearly assigned and consistently followed.
Consider a small UK media agency with around 30 employees. Right to Work checks may historically have been managed by an office manager or another employee alongside their other responsibilities. Under the strengthened framework, businesses will need to ensure that their normal checking and record-keeping procedures remain robust, while also paying closer attention to outsourced labour and contractual arrangements.
For SMEs, potential weaknesses may include:
A global organisation may have well-established UK immigration and HR procedures but still engage significant numbers of contractors, consultants and contingent workers through several different suppliers.
This can make it difficult to establish exactly who is working within the organisation, how those individuals are engaged and which party is responsible for verifying their Right to Work status.
The updated framework reinforces the importance of having visibility across the entire workforce.
Global employers should therefore consider whether their UK processes are being applied consistently across different business units, suppliers and engagement models. As immigration and identity systems become increasingly digital, employers can also expect greater emphasis on auditability and reliable workforce data.
Businesses should consider reviewing:
Right to Work policies: Confirm that current policies reflect the broader workforce arrangements used by the organisation.
Recruitment procedures: Check that Right to Work checks are completed consistently and that appropriate evidence is retained.
Contractor and supplier arrangements: Identify who is responsible for Right to Work compliance when workers are supplied through third parties.
Identity controls: Assess whether existing processes provide sufficient confidence that the individual checked is the person actually performing the work.
Record keeping: Review whether records are accurate, accessible and capable of demonstrating compliance during an audit or enquiry.
Training: Ensure HR, recruitment and relevant business teams understand their responsibilities.
Technology: Consider whether existing digital verification and monitoring systems remain suitable for the new compliance environment.
Employers are increasingly expected to understand their workforce, identify who is performing work on their behalf and maintain appropriate controls across different forms of engagement.
This is particularly important as government agencies improve information sharing and intelligence-led enforcement. Businesses that cannot clearly demonstrate how their workforce is being checked and managed may face greater regulatory exposure.
Employers that review their processes before October 2026 will be better positioned to protect their statutory excuse, respond to compliance enquiries and reduce the risk of penalties associated with illegal working.
The most effective approach is therefore to treat the upcoming changes as an opportunity to strengthen overall workforce governance rather than simply another immigration compliance requirement.
The updated approach reflects the changing nature of employment, where businesses increasingly rely not only on direct employees but also on contractors, consultants, outsourced workers and other forms of contingent labour. For employers, this means Right to Work compliance is becoming a broader workforce governance issue rather than simply a document check completed during recruitment.
Why Employers Should Prepare Now
The changes form part of a wider government effort to strengthen compliance, increase enforcement and address perceived gaps in the existing Right to Work system.Employers should not assume that enforcement will only target businesses with obvious immigration compliance problems. Increased information sharing between government departments is making it easier for authorities to identify potential illegal working and investigate organisations more efficiently.
This means businesses should be prepared to demonstrate not only that Right to Work checks are being completed, but also that their wider workforce arrangements are properly controlled and documented.
The draft Code of Practice reinforces this broader approach. While employers have long had responsibilities under the Civil Penalty Scheme, the updated guidance places greater emphasis on compliance across extended workforce arrangements.
Identity Verification Becomes More Important
One of the key themes of the updated framework is identity.Employers need to be confident that the person carrying out the work is the same individual whose Right to Work status was checked. This becomes particularly important where businesses use contractors, outsourced labour or arrangements involving substitution.
The draft guidance highlights areas such as:
- Identity verification procedures
- Contractual protections
- Controls around worker substitution
- Digital verification systems
- Appropriate evidence and record keeping
For HR and compliance teams, this represents a shift away from treating Right to Work as a one-time recruitment exercise. The focus is increasingly on maintaining reliable controls throughout the employment or engagement relationship.
What This Means for Small Businesses
The changes are not limited to large corporations.For smaller businesses, the main challenge may be ensuring that compliance responsibilities are clearly assigned and consistently followed.
Consider a small UK media agency with around 30 employees. Right to Work checks may historically have been managed by an office manager or another employee alongside their other responsibilities. Under the strengthened framework, businesses will need to ensure that their normal checking and record-keeping procedures remain robust, while also paying closer attention to outsourced labour and contractual arrangements.
For SMEs, potential weaknesses may include:
- Manual or inconsistent records
- Unclear ownership of compliance responsibilities
- Poor oversight of outsourced workers
- Assumptions that a supplier is responsible for everything
- Inadequate identity verification
Challenges for Global Employers
Multinational businesses face a different set of challenges.A global organisation may have well-established UK immigration and HR procedures but still engage significant numbers of contractors, consultants and contingent workers through several different suppliers.
This can make it difficult to establish exactly who is working within the organisation, how those individuals are engaged and which party is responsible for verifying their Right to Work status.
The updated framework reinforces the importance of having visibility across the entire workforce.
Global employers should therefore consider whether their UK processes are being applied consistently across different business units, suppliers and engagement models. As immigration and identity systems become increasingly digital, employers can also expect greater emphasis on auditability and reliable workforce data.
What Employers Should Do Before October 2026
Employers should avoid waiting until the new framework takes effect before reviewing their existing processes.Businesses should consider reviewing:
Right to Work policies: Confirm that current policies reflect the broader workforce arrangements used by the organisation.
Recruitment procedures: Check that Right to Work checks are completed consistently and that appropriate evidence is retained.
Contractor and supplier arrangements: Identify who is responsible for Right to Work compliance when workers are supplied through third parties.
Identity controls: Assess whether existing processes provide sufficient confidence that the individual checked is the person actually performing the work.
Record keeping: Review whether records are accurate, accessible and capable of demonstrating compliance during an audit or enquiry.
Training: Ensure HR, recruitment and relevant business teams understand their responsibilities.
Technology: Consider whether existing digital verification and monitoring systems remain suitable for the new compliance environment.
A Broader Compliance Responsibility
The direction of travel is clear: Right to Work compliance is moving beyond a simple pre-employment document check.Employers are increasingly expected to understand their workforce, identify who is performing work on their behalf and maintain appropriate controls across different forms of engagement.
This is particularly important as government agencies improve information sharing and intelligence-led enforcement. Businesses that cannot clearly demonstrate how their workforce is being checked and managed may face greater regulatory exposure.
Employers that review their processes before October 2026 will be better positioned to protect their statutory excuse, respond to compliance enquiries and reduce the risk of penalties associated with illegal working.
The most effective approach is therefore to treat the upcoming changes as an opportunity to strengthen overall workforce governance rather than simply another immigration compliance requirement.
Pros and Cons Summary
Pros
- Stronger identity verification can help reduce illegal working and impersonation risks.
- Greater workforce visibility can improve overall compliance controls.
- Digital verification can make checking and record keeping more efficient.
- Clearer responsibility across workforce arrangements can reduce compliance gaps.
- Proactive employers can strengthen their statutory excuse and prepare for increased enforcement.
Cons
- Businesses may need to review and update existing Right to Work procedures.
- SMEs may face additional administrative and technology requirements.
- Global employers may find contractor and supplier arrangements more difficult to manage.
- Increased scrutiny could expose weaknesses in existing workforce compliance systems.
- Employers may need additional training, documentation and ongoing monitoring.