Important Changes to Right to Work (RTW) Requirements:

In April 2026, the Home Office introduced a requirement for sponsors to complete RTW checks on individuals who were “directly engaged” but not sponsored. This caused significant concern for many businesses, as it extended compliance duties far beyond traditional employment relationships.

The previous sponsor guidance published on 8 April 2026 stated:

‘S1.40. You must check that any worker you wish to sponsor (including a worker who is not your direct employee), or any worker you otherwise wish to employ or directly engage, has permission to enter or stay in the UK and can do the work in question before they start working for you. This applies even if the worker is, or appears to be, a British citizen or other settled worker. If you fail to carry out a right to work check, or any necessary follow-up checks, you will be in breach of your sponsor duties and may be liable for a civil penalty under illegal working legislation. If you are issued with a civil penalty, or otherwise fail to carry out the correct checks, we will normally revoke your licence.’

On 20 May 2026, the Home Office reversed this change in the published sponsor guidance; 

S1.40. You must check that any worker you wish to sponsor (including a worker who is not your direct employee), or any worker you otherwise wish to employ (whether sponsored or not), has the appropriate immigration permission to work in the UK and do the work in question before they start working for you. This applies even if the worker is, or appears to be, a British citizen or other settled worker. If you fail to carry out a right to work check, or any necessary follow-up checks, you will be in breach of your sponsor duties and may be liable for a civil penalty under illegal working legislation. If you are issued with a civil penalty, or otherwise fail to carry out the correct checks, we will normally revoke your licence.’

The updated guidance now confirms that sponsors are required to retain evidence of right to work checks for any worker they employ (whether sponsored or not), as well as for any individual they sponsor, even where the sponsor is not the person’s direct employer.

This brings the rules back in line with long standing practice and removes the additional burden introduced in April 2026.

What Employers Should Do Now?

Based on the consultation and the likely October 2026 implementation date, employers should:

A. Review internal RTW processes
Identify where expanded checks may apply and ensure processes are consistent and non discriminatory.

B. Conduct a compliance audit
A mock audit can highlight gaps before the new regime takes effect. 

C. Assess whether to use a Digital Verification Service
The expanded regime may make DVS use more efficient or necessary.

D. Update HR and onboarding systems
Ensure alignment with new employment law obligations introduced in 2026. 

E. Monitor Home Office updates
A revised Employer’s Guide to Right to Work Checks is expected before October 2026.