The Government has confirmed that section 48 of the Border Security, Asylum and Immigration Act 2025 (BSAI Act) will come into force on 1 October 2026, significantly widening the scope of the UK's illegal working regime.

What is changing?

Currently, employers are responsible for checking that employees have the legal right to work in the UK before they start work. Section 48 extends these obligations beyond traditional employment relationships.

From 1 October 2026, the illegal working regime will also apply to organisations engaging individuals through:

• gig economy platforms;
• casual and zero-hours arrangements;
• agency or intermediary models; and
• subcontracting arrangements.

The Government has already consulted on these changes and published an updated draft Code of Practice. Further Home Office guidance is expected before implementation to help organisations understand their obligations and the practical steps required for compliance.

What does this mean for you?

Many NHS organisations, local authorities, housing providers and other public sector bodies rely on a mix of employees, bank staff, agency workers, contractors and outsourced service providers. As a result, organisations should not assume that responsibility for right to work compliance sits solely with a contractor, agency or platform provider. Instead, they should review existing arrangements (in particular any commercial arrangements with third parties) and ensure that appropriate compliance checks and assurance processes are in place.

Employers should be mindful of their immigration compliance obligations as employers may face civil penalties of up to £45,000 per illegal worker for an initial breach, rising to £60,000 per illegal worker for repeat breaches for non-compliance.

What can you do now?

Organisations should use the lead-in period to review existing practices, identify any potential compliance gaps and consider whether additional contractual or governance protections may be required ahead of 1 October 2026.

As part of their preparations, organisations may wish to consider:

• where different categories of workers sit within their workforce model;
• how right to work checks are currently being conducted, and by whom;
• what evidence is retained and where records are stored;
• whether there are clear processes for monitoring ongoing compliance; and
• whether existing contracts contain appropriate indemnities, warranties and audit rights relating to right to work compliance.

How we can help

Our immigration and employment teams regularly advise on right to work compliance, sponsorship and immigration risk management. If you would like advice on preparing for the implementation of section 48, reviewing your existing compliance framework or delivering training to managers and HR teams, please get in touch with a member of our Immigration team.