With the Border Security, Asylum and Immigration Act 2025 now fully in force, the UK’s expanded Right-to-Work (RTW) scheme has entered its first full week of operation—and legal advisers are warning that liability for illegal working now extends far beyond traditional employment contracts. Writing in a detailed FAQ published today, immigration specialists Gurjit Pall and Daniel McKaveney of Lindsays outline the practical steps employers must take to avoid civil penalties of up to £60,000 per worker. The new rules deem any organisation in a contractual chain that fails to prescribe RTW obligations on its subcontractors to be a ‘deemed employer’. That means a facilities-management company hiring self-employed cleaners, an events organiser engaging freelance technicians, or a tech firm using gig-economy coders could all be on the hook if checks are missed further down the chain. Crucially, contracts signed on or after 1 October must include specific wording obliging the supplier to carry out prescribed checks and retain auditable records. Digital identity verification adds another layer: third-party providers must appear on the Office for Digital Identities and Attributes register, and employers remain responsible for ensuring scans are taken before work starts. Renewals or material variations to pre-existing contracts may also trigger the new regime, so HR and procurement teams are urged to conduct an immediate contract review. For global mobility managers the implications are clear. First, assignment agreements that rely on outsourced payroll, umbrella companies or intra-group service contracts may need redrafting. Second, failure to embed RTW language could jeopardise an employer’s sponsor licence; Home Office guidance links compliance breaches to possible downgrading or revocation. Webinars and helplines are proliferating, but the message is simple: treat RTW as a pan-organisational compliance obligation, not just an HR checklist.
Source: Mondaq / Lindsays
