From 1 October 2026, significant changes to the UK's Right to Work (RtW) Scheme come into force. These updates expand employer responsibilities, introduce new terminology, widen the scope of working arrangements covered, and strengthen compliance requirements.

Whether you are a business owner, HR professional, recruitment agency or sponsor licence holder, understanding these changes is essential to avoid costly civil penalties and maintain compliance with Home Office requirements. This article is based on the Home Office presentation on the Right to Work changes effective from 1 October 2026.

What is Changing on 1 October 2026?

The Home Office has introduced several important reforms designed to modernise Right to Work checks and reflect today's labour market.

The key changes include:

• Expansion of the Right to Work Scheme to cover additional working arrangements.

• Updated terminology throughout the guidance.

• Changes to acceptable document combinations.

• Greater use of registered Right to Work Digital Verification Service Providers (RtW DVSPs).

The Right to Work Scheme Now Covers More Working Arrangements

One of the most significant changes is that the scheme is no longer limited to traditional employment relationships.

From October 2026, it also covers:

• Worker contracts

• Individual subcontractors

• Online matching services

Importantly, in certain contractual arrangements, civil penalty liability may extend beyond the direct employer, meaning organisations involved in labour supply chains must understand their responsibilities before engaging workers.

Updated Right to Work Terminology

The Home Office has refreshed the terminology used throughout the Right to Work Scheme.

One notable change is the introduction of the term:

Right to Work Digital Verification Service Provider (RtW DVSP)

This replaces previous references and reflects the growing role of certified digital identity providers in carrying out prescribed Right to Work checks.

Acceptable Documents Have Been Updated

The Home Office has expanded the list of acceptable evidence.

Government-issued digital documents may now be accepted as evidence of a person's:

• Name

• National Insurance Number

where required as part of an acceptable Right to Work document combination.

Which Right to Work Check Should Employers Use?

The correct checking method depends on the worker's circumstances.

1. Online Right to Work Check

An employer conducts an online check using:

• the worker's Home Office share code

• their date of birth

This remains the prescribed method for many immigration statuses.

2. Manual Right to Work Check

Where permitted, employers may carry out a manual document check using the worker's original documentation.

The prescribed process involves:

• Obtaining the original acceptable documents.

• Checking that the documents appear genuine, belong to the individual and confirm the correct permission to work.

• Making clear copies in a non-alterable format.

• Recording the date of the check.

• Retaining the records securely for the duration of employment plus two years after employment ends.

3. Right to Work Check Using a Registered RtW DVSP

British and Irish citizens holding an eligible passport or Irish passport card may undergo a prescribed digital Right to Work check through a registered RtW DVSP.

The process includes:

• Selecting a registered provider.

• Completing digital identity verification.

• Saving the verification output.

• Retaining the evidence for employment plus two years.

Only providers registered through the Office for Digital Identities and Attributes (OFDIA) may provide prescribed digital Right to Work checks.

Employer Compliance Remains Critical

Carrying out the prescribed Right to Work check before employment or work begins remains essential.

To establish a statutory excuse against a civil penalty, employers must:

• Complete the correct prescribed check.

• Retain evidence securely.

• Record the date the check was undertaken.

Failure to follow the prescribed process may result in the loss of the statutory excuse.

Stronger Enforcement and Higher Penalties

The Home Office continues to increase enforcement activity against illegal working.

Employers who fail to comply with Right to Work requirements may face:

• Civil penalties of up to £60,000 per illegal worker

• Up to five years' imprisonment

• Unlimited fines

• Business closure orders

• Director disqualification

• Loss of sponsor licence privileges

• Seizure of profits from illegal working

• Licence review or revocation in regulated sectors

The Home Office also reminds employers that it is a criminal offence to knowingly employ, or have reasonable cause to believe you are employing, an individual who does not have the right to work in the UK.

Preparing Your Business for the October 2026 Changes

To remain compliant, employers should review their existing Right to Work procedures before the new rules take effect.

Practical steps include:

• Updating internal Right to Work policies.

• Training HR and recruitment staff.

• Reviewing contractor and labour supply arrangements.

• Ensuring document retention procedures remain compliant.

• Considering whether to use a registered RtW DVSP where appropriate.

• Auditing current Right to Work records before October 2026.

Final Thoughts

The changes taking effect on 1 October 2026 represent one of the most significant updates to the Right to Work Scheme in recent years. With broader employer responsibilities, expanded working arrangements and enhanced digital verification options, businesses should ensure their recruitment and onboarding processes are fully aligned with the new Home Office requirements.

Taking proactive steps now can help employers protect themselves against substantial financial penalties, safeguard sponsor licence and maintain full compliance with UK immigration law.