Home Office Raids: A guide to Employer Right To Work checks and Civil Penalties

In January 2025, the UK’s Immigration Enforcement made a record 509 arrests for illegal working, representing a 73% increase compared to the previous year. This sharp rise underscores the government’s intensified measures to combat illegal employment practices across various sectors, including car washes, nail bars, convenience stores, and restaurants.

What does the law say?

Employing individuals without the legal right to work in the UK is a serious offense under the Immigration, Asylum and Nationality Act 2006. Employers are legally obligated to conduct comprehensive right to work checks before hiring to ensure compliance. These checks require verification of original documents, such as passports, biometric residence permits, or E-visas, and maintaining records of both manual and digital verification processes.
Failure to conduct these checks can result in severe consequences, including the revocation of sponsor licenses and substantial financial penalties. As of February 13, 2024, the civil penalty for employing illegal workers has been significantly increased, with first-time offenders facing fines of up to £45,000 per illegal worker and repeat offenders up to £60,000 per worker.

Stages of the Civil Penalty Process

The civil penalty process consists of several stages, designed to ensure compliance and provide employers with an opportunity to respond to allegations of illegal employment:

1) Identification: Immigration Enforcement officers conduct visits to businesses suspected of employing illegal workers. If unauthorised workers are identified, they may be arrested, and the employer is notified. At this stage, the employer has an opportunity to demonstrate that they have carried out the required right to work checks and established a statutory excuse against liability for a civil penalty.
2) Investigation: If officials determine that illegal workers have been employed without a statutory excuse, a Referral Notice is issued. The case is then referred to the Civil Penalty Compliance Team for further examination.
3) Information Request: The compliance team issues an Information Request Form, offering the employer a second chance to provide evidence and establish a statutory excuse against liability.
4) Outcomes: Based on the investigation, one of the following notices may be issued:

  • Civil Penalty Notice: If evidence supports non-compliance, a penalty notice is issued, detailing the breach and the proposed fine.
  • Warning Notice: If mitigating factors are met and the employer has no prior violations in the last three years, a formal warning may be issued instead of a fine.
  • No Action Notice: If a statutory excuse is successfully established, no further action is taken, and the case is closed.

5) Objection and Appeal: Employers have the right to object to a civil penalty within 28 days, providing evidence of compliance or mitigating circumstances. If the objection is unsuccessful, an appeal can be made to a county court.
6) Enforcement: If the penalty is upheld and remains unpaid, the government may initiate enforcement actions, including asset seizures and court proceedings.

Establishing a Statutory Excuse

A statutory excuse serves as an employer’s legal defence against liability for a civil penalty, provided that prescribed right to work checks were properly conducted before employment commenced. Employers can establish this excuse through one of the following methods:

  • Manual right to work check (for all employees)
  • Identity Document Validation Technology (IDVT) check via an Identity Service Provider (IDSP) (for British and Irish citizens only)
  • Home Office online right to work check (for non-British and non-Irish citizens)
  • Employer Checking Service (for individuals with pending applications, administrative reviews, or appeals)

Employers conducting manual right to work checks must securely retain copies of ID documents and maintain records of the date on which the verification was conducted.

Digital Right to Work Verification

The Home Office online right to work check provides employers with a statutory excuse in the event of illegal working allegations. Employers must:

  • Request a share code from the employee, which enables access to their immigration status using – Check a Job Applicant’s RTW.
  • Retain evidence of the check, including the “profile” page confirming the individual’s right to work, which must include the photo and date of verification.

Section 3C Leave and Follow-Up Checks

Section 3C leave is a provision under the Immigration Act 1971 that automatically extends a person’s existing visa status when they have made an in-time application to extend or vary their visa, but a decision has not yet been made by the Home Office. This prevents the individual from becoming an overstayer while awaiting a decision. Employers must:

  • Request a share code from the employee and conduct a Right to Work check using the Home Office online checking service.
  • Conduct follow-up checks every six months if the employee’s application remains pending.

Employers must also recheck the right to work status of individuals with time-limited permission before their current leave expires. Employees with indefinite leave to remain or EU Settlement Scheme status are exempt from follow-up checks.

Employing Part-time workers

Employers hiring part-time workers who have a valid visa under the Skilled Worker Visa or Health and Care Visa must ensure that:

  • The primary sponsored employment remains in place.
  • Supplementary employment does not exceed 20 hours per week.
  • Supplementary employment occurs outside contracted hours of the main sponsor.
  • The job role aligns with eligible skilled occupations.

How KTS Legal Can Assist

At KTS Legal Solicitors & Advocates, we assist a diverse range of employers, from restaurant owners to large retailers, in ensuring compliance with right to work checks. Our services include but not limited to pre-emptive compliance advice where we assist employers implement legally sound right to work procedures and maintain compliant records; Responding to Civil Penalty Notices by assessing cases, gathering evidence, and drafting objections or appeals; Identifying mitigating factors to reduce hefty penalty amounts; ensuring employers provide comprehensive and compelling responses on the Information Request Form and appealing penalty decisions with a high success rate.
Contact our Immigration and Dispute Resolution team at 020 8367 0505 or email info@ktslegal.com.