New extended right to work checks – what employers need to know

Published by Jack Dale on 1 October 2026

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Businesses will from 1 October 2026 face a new extended right to work check regime.

Where previously employers were only responsible for direct employees, the new regime will mean they are now responsible for ensuring agency staff, contractors, sub-contractors, gig economy platforms and service providers introduced through fee-charging online matching services have a legal right to work in the UK. 

The new regime will be felt particularly hard by businesses on the property and construction, retail, social care, agriculture and manufacturing sectors that often rely on flexible, seasonal, contractors and gig economy labour.

Businesses that fail to complete right to work checks face stiff penalties of £45,000 per employee, rising to £60,000 for repeat offences. Serious cases can lead to criminal prosecution, with up to five years’ imprisonment and an unlimited fine.

Whilst businesses will know their directly employed workforce, it will be now more important than ever for businesses to understand who performs work or services, the contractual basis on which they do so and how they entered the workforce. Simply stating that another party is responsible for checks will not be enough. 

Checks must be completed using an approved method, including manual, Home Office online or certified digital verification routes where appropriate. 

Kreston Reeves and AAB can now offer businesses the full support of a dedicated HR Services team that can advise employers on managing their people effectively in an increasingly complex and regulated environment.  Our support can be in the form of day-to-day advice, outsourced administration or strategic planning. 

If you are interested in learning more about what we can help with, please speak with Jack Dale and Lucy Pritchett. 

 

RevealWhat are the new right to work rules from October 2026?

From 1 October 2026, right to work responsibilities extend beyond traditional employees to certain individuals engaged under worker contracts, individual subcontractors and service providers operating through online matching services. Businesses may also face extended liability in certain contractual arrangements.

RevealDo businesses need to check the right to work of contractors and subcontractors?

In certain circumstances, yes. From 1 October 2026, the Right to Work Scheme applies to individuals engaged as individual subcontractors and under worker contracts, meaning businesses need to understand how their workforce is engaged and whether the new requirements apply.

RevealAre employers responsible for checking agency and gig economy workers?

The position depends on the contractual and working arrangements. The new rules broaden the definition of who may have responsibility under the Right to Work Scheme, including certain worker contracts, individual subcontractors and online matching services. Businesses should assess their specific arrangements rather than assuming another organisation is responsible.

RevealWhat happens if a business does not carry out the required right to work checks?

A business may face a civil penalty of up to £60,000 per illegal worker where the prescribed checks have not been completed. Serious cases can also result in criminal prosecution, with a potential prison sentence of up to five years and an unlimited fine.

RevealHow should businesses prepare for the new right to work rules?

Businesses should review who performs work or services for them, how those individuals are engaged and whether their contractual arrangements bring them within the expanded Right to Work Scheme. They should also make sure the appropriate prescribed checks are carried out and records retained, and review relevant agency, contractor and service-provider arrangements before relying on another party to carry out checks.

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