Illegal working in the UK: enforcement is rising — is your business prepared?

The UK’s Immigration Enforcement has recently reported its highest number of raids and arrests for illegal working – marking a 63% increase in arrests compared to previous years. Illegal working continues to pose a major compliance challenge for employers, particularly when traditional employment verification methods are used without adequate due diligence. However, new laws have helped to address this. The Government have stated that they will introduce Digital ID as a tool to prove someone’s right to work, which will make it harder for people to avoid checks or use forged documents as proof. This blog will give you an insight into illegal working and how to prevent this from affecting your business.

What is illegal working?

“Illegal working” refers to the employment of individuals who either do not have the right to work in the UK or who are working in breach of their visa conditions. The legal framework for preventing illegal working is primarily set out in the Immigration, Asylum and Nationality Act 2006. Employers may face civil penalties of up to £45,000 for a first offence and £60,000 for subsequent offences if they employ someone who is not permitted to undertake the work in question, provided the employment commenced on or after 29 February 2008.

Originally, criminal liability for illegal working was governed by the Asylum and Immigration Act 1996, which imposed strict liability. However, this has since been replaced by a more measured approach under the 2006 Act, which requires proof that the employer knew or had reasonable cause to believe that the individual was disqualified from working due to their immigration status. This shift reflects a more balanced enforcement strategy, focusing on deliberate non-compliance rather than inadvertent breaches.

Why businesses must prevent illegal working

Employing individuals who do not have the legal right to work in the UK exposes businesses to serious legal and compliance risks. Under UK immigration law, employers may face substantial civil penalties, criminal prosecution and reputational damage for failing to prevent illegal working – consequences that can severely impact business operations, including the potential risk of closure.

For sponsor licence holders, the stakes are even higher. Engaging in illegal working – whether knowingly or through inadequate right to work checks – can lead to revocation of the sponsor licence, resulting in the loss of permission to sponsor migrant workers. This not only disrupts business continuity but also places sponsored workers at risk of losing their immigration status, potentially leading to curtailment of their visas and forced departure from the UK.

Beyond legal liability, illegal working contributes to wider social and economic harm. It leaves individuals vulnerable to exploitation and enables unscrupulous employers to undercut law-abiding businesses. This practice can depress wages for lawful workers and is often linked to broader labour market abuses, such as tax evasion and poor working conditions.

Key steps for immigration compliance

All employers in the UK have a legal duty to prevent illegal working. This involves conducting robust right-to-work checks before hiring any individual, to ensure they are not disqualified from carrying out the work in question by reason of their immigration status.

Key steps to maintain compliance and protect your business:

• Conduct right-to-work checks correctly, using one of the approved methods: manual document checks, online checks via a share code or digital checks through an Identity Service Provider.
• Maintain detailed records, including the type of check performed, the date it was conducted, and the name of the person who carried it out.
• Stay up to date with all relevant laws and regulations to ensure ongoing compliance.
• Conduct regular internal audits of your immigration and visa practices to identify and address any gaps before they become issues.

How Gherson can assist

Gherson’s Immigration Team are highly experienced in advising on all UK visa matters. If you have any questions arising from this blog, please do not hesitate to contact us for advice, send us an e-mail, or, alternatively, follow us on X, Facebook, Instagram, or LinkedIn to stay-up-to-date.

The information in this blog is for general information purposes only and does not purport to be comprehensive or to provide legal advice. Whilst every effort is made to ensure the information and law is current as of the date of publication it should be stressed that, due to the passage of time, this does not necessarily reflect the present legal position. Gherson accepts no responsibility for loss which may arise from accessing or reliance on information contained in this blog. For formal advice on the current law please do not hesitate to contact Gherson. Legal advice is only provided pursuant to a written agreement, identified as such, and signed by the client and by or on behalf of Gherson.

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