The Guardian has revealed that the Home Office has written to 1,473 EU nationals stating that their pre-settled or settled status under the EU Settlement Scheme (EUSS) was ‘granted in error’. Campaign group the3million is crowdfunding a judicial review, arguing the decision breaches the Withdrawal Agreement because affected individuals had been living lawfully in the UK before Brexit. Letters began landing in late-2025 but the scale of the issue has only now become public. Recipients risk losing the right to work, rent, and access services, throwing careers and family life into limbo. Examples include an Italian engineer employed in London’s tech sector and an NHS researcher whose tenancy and job eligibility are now in question. For employers this development revives a post-Brexit compliance headache. HR teams must urgently audit right-to-work documentation for affected staff; losing status automatically invalidates digital proof in the Home Office employer-checking service. Businesses that continue to employ individuals without valid status face civil penalties of up to £60,000 per worker from January 2027. The Home Office says individuals can submit a fresh EUSS application and may appeal if refused, but lawyers warn the process could take months. Companies may need to consider interim visa options—such as Skilled Worker or Global Business Mobility routes—to avoid workforce disruption. The case underscores the fragility of digital-only immigration status and the reputational risk for the UK as a talent destination. Multinationals should track the forthcoming judicial review; a ruling against the Home Office could force wholesale policy changes—and potential reinstatement—for thousands more EU citizens.
Source: The Guardian
