Right To Work Check - Home Office Update

Who will be covered?

From 1 October, the RTW rules will apply, in specified circumstances, to individuals engaged:

• Under a contract of employment (a contract of service or apprenticeship
• Under a worker's contract;
• As an individual subcontractor
• Through an online matching service

Genuinely self-employed people running their own business and providing services to clients will generally remain outside the new rules.

However, simply describing someone as “self-employed” or a “contractor” does not, by itself, mean that the rules do not apply. The nature of the actual working relationship will determine whether the individual falls within the scope of the rules.

Liability may extend through the supply chain

In some contractual arrangements, liability can extend beyond the organisation directly engaging the worker. The organisation responsible for the worker must still carry out the RTW check.

The maximum penalty is £60,000 per illegal worker.

Businesses can protect themselves against this wider liability by meeting the required contractual, substitution and identity verification requirements.

Three prescribed ways to complete a RTW check

From 1 October, the prescribed checking routes are:

• Manual document check
• Home Office online RTW check
• Right to Work Digital Verification Service Provider (RtW DVSP)

Use of a RtW DVSP is optional. If you use a digital provider, check that it is registered and authorised to carry out RTW checks from 1 October 2026.

A share code is not itself a RTW check. Where the online service is used, the employer must complete the check, confirm the individual's right to undertake the work and identify any restrictions.

Consistent Checks

The updated Code of Practice reinforces the requirement to prevent discrimination when carrying out RTW checks. Employers should apply the same RTW process consistently and must not make assumptions about a person's right to work based on nationality, colour, ethnic or national origin, accent, surname or perceived immigration status.

Individuals should not be treated less favourably because they use a different permitted checking route.

A worker with time-limited permission to work should not be treated less favourably because their permission is temporary. However, where a follow-up RTW check is required, this must be completed at the appropriate time.

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How does this affect your business?

The changes mean that RTW compliance should be considered across your workforce and contractual arrangements, not just your permanent employees.

You should review your arrangements if your business:

• Engages workers, contractors or individual subcontractors;
• Supplies workers or services to another organisation;
• Uses agency workers;
• Subcontracts work that your business has been contracted to deliver; or
• Operates an online platform matching individual service providers with clients

Businesses buying services for their own use will not normally be affected by the new extended liability rules. However, the rules can apply depending on how the work is arranged. If workers can be substituted, any replacement worker must have the right to work before they start.

What should you do now?

Review your workforce and contracts
Identify workers, contractors, subcontractors, agency arrangements and relevant supply chains. Review your contracts with subcontractors and suppliers to identify where your business could be exposed to the new rules.

Review your RTW procedures
Ensure the correct prescribed check is completed before work begins and that the required evidence is retained.

Review your recruitment practices
Make sure RTW checks are applied consistently and that recruitment decisions are not based on assumptions about nationality or immigration status.

Train relevant staff
Ensure HR, recruitment, procurement and operational teams understand the expanded RTW requirements.

Check follow-up dates
Where permission to work is time limited, ensure follow-up checks are diarised and completed when required.

Key Consideration

Businesses should review who they engage, how they engage them and how their services are provided, and make sure their RTW processes are ready for the changes.

The new rules will apply to relevant employment starting on or after 1 October 2026. The extended liability rules will also apply to relevant contracts entered into from that date.

As mentioned above, the Home Office guidance is currently in draft, and further information will be available when the final version is published.

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Disclaimer

This update is intended as a general guide and does not replace tailored legal advice. If you have questions on any of the topics above, please do not hesitate to contact us.