DRAFT CODE OF PRACTICE FOR EMPLOYERS: AVOIDING UNLAWFUL DISCRIMINATION WHILE PREVENTING ILLEGAL WORKING
21/04/2026
On 15 April 2026, the Home Office published a consultation and draft updated Code of Practice on avoiding unlawful discrimination while preventing illegal working. The draft Code does not change the law immediately however it sets out how employers will be expected to comply with their obligations in future.
Whilst there are currently a growing number of employment‑related consultations taking place in Great Britain that do not extend to Northern Ireland, the obligation to carry out right to work checks is a UK‑wide requirement, and employers in Northern Ireland should be aware of a new Home Office consultation that will apply here if approved.
If approved, the draft Code will apply on or after 1 October 2026 to:
- all new employment checks
- any repeat right to work checks on existing workers where those checks are carried out on or after that date to retain a statutory excuse.
Until then, employers must continue to comply with the current Right to Work Code of Practice, which has been in force since February 2024.This draft Code reinforces the need for right to work checks to be carried out:
- At the same stage of recruitment or engagement for all applicants or workers
- In a consistent manner, regardless of whether checks are done manually, online, or through an external service provider
Employers using different checking methods must ensure that these do not result in different treatment for different groups of workers.
One of the most significant changes in the draft Code is the introduction of formal definitions of “employer” and “worker”. These definitions are intended to cover:
- Employees
- Workers
- Individual sub‑contractors
- Individuals engaged via online matching services and platforms
This reflects the direction of travel under the Border Security, Asylum and Immigration Act 2025, which, once commenced, will extend the illegal working regime to organisations engaging people in the gig economy or on zero‑hours arrangements.
Employers who rely on contractors, agency staff, or platform‑based working arrangements should therefore pay particular attention.
Penalties for non-compliance with the prevention of illegal working rules includes fines of up to £45,000 for a first offence, and up to £60,000 per illegal worker for repeat breaches. Failure to conduct checks properly can also impact on any Sponsor Licence. It will therefore be important for businesses to understand their obligations
The consultation is open for a short two‑week period and closes on 29 April 2026.