Right to work extension scheme guidance

Legislation

Section 15A of the Immigration, Asylum and Nationality Act 2006 (as amended) will extend civil liability where a company is contracted to provide work or services to a third party as part of its business, and then in turn sub-contracts all or part of that work or services to another company, which then provides the workers to carry out the work or services. 

The secondary legislation for this was laid in June and the measures come into force on 1 October 2026.

What does this mean?

As a general principle, responsibility for carrying out a right to work check rests with the employer that holds the direct contractual relationship with the individual worker.

In broader terms, this can apply where a business is outsourcing delivery of its core service through one or more tiers of contractors, including outsourced service providers. In such circumstances, the principal or original contracting company will be expected to ensure that prescribed requirements are met across the supply chain in order to establish a statutory excuse (defence) in the event that illegal working is identified. This includes having written contractual terms that clearly set out who is responsible for right to work checks and formal substitution control mechanisms within subcontracts.

The application of these provisions is not limited to a single tier of contracting (for example, the first contract in a chain only), and whether liability for illegal working applies will be considered on a case-by-case basis. This will include (but is not limited to) how the arrangements operate in practice.

How might this apply to employers in the NHS?

The changes are not anticipated to have significant impact on situations in the NHS as they are primarily aimed at the gig economy. However, employers should consider what arrangements are in place in the following circumstances:

• Agency workers - Where workers are supplied through an external recruitment or staffing (employment) agency to work within a organisation’s own operations, it remains the long-standing position that the agency is responsible for conducting the right to work checks as it has the direct contractual relationship with the worker. Employers must ensure that any agencies or other external staffing and service providers they contract with have robust appointment processes which meet with the same high standards as those required if appointed directly by the organisation, including the undertaking of right to work checks.
• Contractors - Where an NHS organisation contracts with a service provider to deliver services, responsibility for right to work checks will ordinarily sit with the provider that employs or engages the workers. However, employers should still consider whether the contractual arrangements involve any subcontracting that could bring the supply chain within scope of the extended liability provisions. This should include checking that contracts clearly set out who is responsible for right to work checks and that appropriate controls are in place where work or services may be substituted or subcontracted. 
• NHS organisations working as contractors - Some NHS organisations may act as a lead contractor in delivering services to another organisation and subcontract part of that delivery to a third-party provider that uses its own workers. In these circumstances, employers should consider whether they fall within the scope of the extended illegal working liability provisions. This may require assurance that subcontractors have appropriate processes in place to verify and maintain workers’ right to work status, supported by suitable contractual provisions governing compliance. Please refer to Home Office guidance about contractual terms and conditions, including written statements and substitution controls. 
• Sponsorship - As sponsor licence holders, NHS organisations are already required to ensure that appropriate right to work checks are carried out for all sponsored workers to comply with their sponsor duties. This includes where the worker is not their direct employee (for example, if they’re self-employed).

What happens next?

Employers can be reassured that the legislative changes shouldn't require them to repeat right to work checks on subcontractors, agency workers or other third-party staff. However, it's important to be aware of what's changing as it could affect where right to work responsibilities form part of contractual arrangements, when the new measures become active on 1 October 2026. 

HR teams should work with procurement and contracting colleagues to review relevant staffing, service and subcontracting arrangements. This will help ensure contracts clearly set out who is responsible for right to work checks, how this is managed through any subcontracting chain, and whether further legal advice is needed.

What are the key points to remember for right to work checks?

• The person or organisation that directly employs or engages the worker, or operates the relevant online matching service, is responsible for completing the right to work check.
• In specified contractual arrangements, liability for a civil penalty may extend beyond the direct employer or engager to another organisation in the contractual chain through which the work or services are being delivered. This does not transfer responsibility for carrying out the check from the direct employer or engager.
• The correct prescribed check must be completed before employment, work or services begin.
• The check must confirm that the person is permitted to do the work being offered, including any restrictions.
• The required evidence must be retained to establish a statutory excuse against liability for a civil penalty.

Contact 

If you have any queries, please contact us, or the Home Office Right to Rent and Right to Work team.