The Border Security, Asylum and Immigration Act 2025 (Commencement No. 4) Regulations 2026

The Border Security, Asylum and Immigration Act 2025 (Commencement No. 4) Regulations 2026 mark a pivotal shift in the UK's illegal working enforcement regime. These Regulations bring into force Section 48 of the Border Security, Asylum and Immigration Act 2025, which significantly extends the prohibition on illegal working beyond traditional employment contracts. This expansion now encompasses a broader array of working arrangements, including self-employment, gig economy roles, and engagements through online matching services. The commencement of this section imposes substantial new compliance obligations on businesses and individuals, broadening the scope of potential civil and criminal liabilities for those involved in illegal working.

The landscape of immigration enforcement in the United Kingdom has undergone a significant transformation with the recent commencement of key provisions of the Border Security, Asylum and Immigration Act 2025. Specifically, the Border Security, Asylum and Immigration Act 2025 (Commencement No. 4) Regulations 2026 bring into force Section 48 of the principal Act, a measure designed to fundamentally reshape the legal framework surrounding illegal working. This development is not merely an administrative update; it represents a deliberate and expansive effort by the government to broaden the scope of who is considered to be 'working illegally' and, crucially, who bears responsibility for preventing such activity.

This article delves into the implications of these new regulations for legal practitioners, businesses, and individuals. It will examine the historical context of illegal working legislation in the UK, analyse the specific changes introduced by Section 48, and discuss the practical challenges and increased liabilities that arise from this expanded regime. The central thesis is that the extension of illegal working prohibitions necessitates a comprehensive re-evaluation of compliance strategies across all sectors, particularly those reliant on non-traditional employment models.

The Border Security, Asylum and Immigration Act 2025 received Royal Assent on 2 December 2025, forming a cornerstone of the government's strategy to deter irregular migration, enhance border security, and safeguard the integrity of the UK's immigration and asylum system. The Act introduces a raft of new powers and offences, with a particular focus on combating organised immigration crime. Its enactment has been followed by a series of commencement regulations, progressively bringing its various provisions into force, with the latest being the focus of this analysis.

Prior to the 2025 Act, the primary legislative instruments governing illegal working were the Immigration, Asylum and Nationality Act 2006 and the Immigration Act 2016. The 2006 Act established the fundamental legal duty for employers to prevent illegal working by conducting prescribed 'right to work' checks on all prospective employees. Failure to do so could result in civil penalties, with employers able to establish a 'statutory excuse' against liability by demonstrating compliance with these checks. The Immigration Act 2016 significantly strengthened this regime, making it a criminal offence for individuals to work illegally and increasing the severity of penalties for employers. Under the 2016 Act, employers could face criminal prosecution, unlimited fines, and up to five years' imprisonment if they knew or had reasonable cause to believe they were employing an illegal worker. Civil penalties were also increased, reaching up to £20,000 per illegal worker. This established a robust framework, primarily targeting traditional employer-employee relationships, which Section 48 of the 2025 Act now dramatically expands.

Section 48 of the Border Security, Asylum and Immigration Act 2025, now in force, fundamentally alters the scope of the illegal working regime by amending the Immigration, Asylum and Nationality Act 2006. It extends the prohibition on employment to 'other working arrangements', moving beyond the traditional contracts of service or apprenticeship. This expansion explicitly brings within scope individuals engaged under a 'worker's contract' (defined as a contract other than one of service or apprenticeship), self-employed individuals, individual sub-contractors, agency workers, and service providers matched through online platforms. This legislative reach is a direct response to the evolving nature of the modern labour market, particularly the growth of the gig economy and complex supply chains, which were previously largely outside the direct enforcement mechanisms for illegal working.

The implications for businesses are profound. Where previously the duty to conduct right-to-work checks and the associated liabilities were largely confined to direct employees, organisations must now extend their due diligence across a much wider spectrum of their workforce. This includes individuals who might be considered independent contractors, freelancers, or those engaged on zero-hours contracts. The Home Office has indicated an intention to bring casual workers and businesses benefiting from agency workers, even without direct engagement, within scope. Furthermore, the Act introduces the potential for liability to be applied at any point in a chain of contracts, meaning multiple businesses could be held separately liable for the same instance of illegal working.

The penalties for non-compliance remain severe and are now applicable to this expanded range of working arrangements. Civil penalties for employing an illegal worker can reach up to £45,000 for a first breach within a three-year period, escalating to £60,000 for repeat offences per illegal worker. Criminal sanctions for employers, including directors, managers, or company secretaries, can lead to unlimited fines and up to five years' imprisonment where there is knowledge or reasonable cause to believe an individual lacks the right to work. Businesses holding Home Office sponsor licences face the additional risk of licence revocation, which would prevent them from employing sponsored migrant workers.

For individuals, the expansion means a broader range of activities can now constitute illegal working, exposing them to criminal charges, fines, and the seizure of earnings under the Proceeds of Crime Act 2002. A significant challenge for businesses will be the practical implementation of right-to-work checks for these new categories of workers, particularly in dynamic sectors like construction, food delivery, and creative industries, which often rely on flexible and transient labour. Concerns have also been raised regarding the prevention of 'impostor switching', where a legitimate worker is substituted by someone without the right to work, potentially imposing an onerous monitoring burden on businesses. The Home Office is expected to issue updated guidance to clarify the practical application of these new requirements, which will be crucial for effective compliance.

The commencement of Section 48 of the Border Security, Asylum and Immigration Act 2025 through the Border Security, Asylum and Immigration Act 2025 (Commencement No. 4) Regulations 2026 represents a watershed moment for UK immigration compliance. Practitioners must advise clients that the era of distinguishing between 'employees' and 'contractors' for illegal working purposes is largely over. Businesses across all sectors, particularly those engaging self-employed individuals, gig economy workers, or operating with complex supply chains, must urgently review and update their right-to-work check procedures, contractual arrangements, and internal training programmes to ensure comprehensive compliance.

The expanded regime carries significant financial, reputational, and operational risks, including substantial civil penalties, criminal prosecution, and potential business disruption. Proactive engagement with the new requirements, including anticipating the forthcoming Home Office guidance, is paramount. Legal professionals should guide clients in conducting thorough audits of their workforce engagement models and implementing robust, consistent right-to-work verification processes for all individuals providing services. Failure to adapt will expose organisations to unprecedented levels of scrutiny and enforcement action in the evolving landscape of UK immigration law.