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UK employers can face civil penalties of up to £45,000 per illegal worker for a first breach and £60,000 per illegal worker for a repeat breach. A prescribed right to work check, correctly completed before employment begins, can establish a statutory excuse against a civil penalty. But having a copy of a passport or a share code on file does not necessarily mean the required check has been carried out.
For businesses holding a sponsor licence, the exposure can be greater. Illegal working and right to work failures can call into question the employer's ability to meet its sponsor duties, even where the employee concerned is not sponsored. A penalty is therefore only one part of the commercial risk, sponsors must do all they can to protect their sponsor licence.
What are the penalties for employing an illegal worker?
The Home Office can impose civil penalties of up to £45,000 per worker for a first breach and £60,000 per worker for a repeat breach. The applicable amount and whether a penalty is imposed depend on the circumstances and the statutory framework. See the official guidance on illegal working penalties.
Enforcement can also bring operational disruption, the cost of investigating records and responding to the Home Office, and reputational damage. The Home Office publishes details of certain employers receiving civil penalties in its illegal working penalty reports.
Why right to work compliance is a business-wide risk
Right to work checks apply across the workforce, not just to overseas employees or people sponsored under the Skilled Worker route. Employers with multiple sites, decentralised recruitment or high staff turnover are particularly exposed when different teams follow different processes.
A failed check may be the result of a seemingly minor operational gap: someone starts work before verification is completed, a team saves the wrong online screenshot, a follow-up check is not scheduled, or a manager assumes that HR has already checked the employee's permission. The consequences can be substantial even where nobody intended to employ someone illegally.
Five weaknesses employers should address
1. Using the wrong right to work check method
The correct process depends on the employee's immigration status and the evidence available. Some individuals must be checked using the Home Office online right to work service; other prescribed routes include manual document checks or an eligible identity service provider process. Employers must use the appropriate method rather than treating all identity documents or status screenshots as interchangeable.
2. Completing checks too late or retaining inadequate evidence
A prescribed check must be carried out before the person starts employment to establish a statutory excuse. Employers also need to retain the required evidence in a form that can be produced during a Home Office enquiry. A share code by itself, an incomplete screenshot or an undated record may not demonstrate that a compliant employer check took place.
3. Missing follow-up checks
Some employees have time-limited permission requiring a follow-up check. HR systems should identify the relevant dates, assign responsibility and escalate cases where an employee's position is uncertain. Where a Home Office Employer Checking Service check is appropriate, employers need to follow the prescribed process rather than assume that an application or appeal automatically resolves their checking obligations.
4. Allowing different sites or teams to follow different processes
Recruitment, onboarding, HR and line management may all play a part in the process. Without consistent training, records and oversight, an employer can have a compliant policy on paper but still make repeated errors in practice. Audits should test actual employee files and workflows, not simply whether a policy exists.
5. Treating right to work compliance as separate from sponsor compliance
A sponsor licence holder must take illegal working risks seriously across its workforce. Problems involving unsponsored employees can still raise questions about the organisation's systems and fitness to hold a sponsor licence. Employers should therefore review right to work processes as part of their wider sponsor compliance arrangements, alongside sponsored worker records, salary reconciliation and reporting duties.
What Ewen McKenzie sees in employer compliance reviews
“A right to work policy is not the same as a compliant right to work process. What matters when the Home Office looks at an employer is whether the checks were completed correctly, at the right time, and whether the business can produce the evidence. We often find that the weaknesses sit between recruitment, onboarding and HR record-keeping, rather than in the written policy itself.”
Ewen McKenzie
Head of Sponsor Compliance, Immtell
Former Home Office Regional Compliance Manager
Video: Meet Ewen McKenzie, Head of Sponsor Compliance
Meet Ewen, the former Home Office Regional Compliance Manager who leads Immtell's sponsor compliance audits and salary reviews.
How Immtell helps employers reduce illegal working risk
Immtell provides right to work audits, mock Home Office sponsor compliance audits, training and ongoing compliance support. We examine whether checks have been completed using the correct method, review the evidence retained and identify gaps in follow-up processes and internal accountability.
Our Head of Sponsor Compliance, Ewen McKenzie, is a former Home Office Regional Compliance Manager and leads our compliance audits. Immtell's Founder and Managing Director, Gavin Webster, brings 23 years of UK immigration experience, including 13 years working for the Home Office. Together, they help employers understand how their systems may stand up to Home Office scrutiny and what needs to change.
Where weaknesses are identified, we provide clear findings and an improvement plan. Employers can also engage us for practical training and continuing compliance support, rather than waiting until the Home Office identifies a problem.
Protect your business and your sponsor licence
Find out where your right to work processes may expose the business to penalties or sponsor licence action.
Immtell sponsor compliance webinars
Explore our webinars and recordings covering Home Office compliance checks, sponsor duties and practical risks for employers.
Frequently asked questions
What is the civil penalty for employing an illegal worker in the UK?
Civil penalties can reach £45,000 per illegal worker for a first breach and £60,000 per illegal worker for a repeat breach. Liability depends on the circumstances, including whether the employer established a statutory excuse through a prescribed right to work check.
How does an employer establish a statutory excuse against an illegal working civil penalty?
Carry out the prescribed right to work check before employment begins, check that the person is permitted to undertake the work offered, retain the required evidence and conduct follow-up checks when required. The correct method depends on the person's status and documents.
Can a right to work breach affect a sponsor licence even if the worker is not sponsored?
Yes. Illegal working and failures in right to work compliance can raise serious concerns about a sponsor's ability to meet its obligations, even where the employee involved is not sponsored. The Home Office may take sponsor compliance action as well as considering civil penalties.
Can employers use an eVisa or share code for right to work checks?
Where the Home Office online right to work service is the prescribed method, the employer must use the official service and retain evidence of the result. A worker showing an eVisa or providing a share code alone is not a completed employer check.
How can employers identify weaknesses in their right to work processes?
A structured right to work audit can test whether the correct check method was used, when the check was completed, what evidence was retained, whether follow-up checks are needed and whether HR systems consistently identify exceptions across the workforce.
