In this piece, Cybill Watkins, Group Product Legislation Manager at Zellis, shares her perspective on the Home Office’s draft July 2026 Employer Guidance and explains why employers should be preparing now.


With the expanded illegal working regime expected to come into force on 1 October 2026, employers have only weeks remaining to understand the implications of the Home Office’s substantially revised draft Employer’s Guide to Right to Work Checks, published on 16 July 2026.

The changes go much further than a routine update. The draft guidance has been rewritten to support the expansion of the illegal working regime under the Border Security, Asylum and Immigration Act 2025, which is expected to come into force on 1 October 2026.

For employers, the key messages are:

  • The scope of right to work compliance is expanding beyond traditional employment relationships.
  • New “extended liability” provisions may make organisations responsible in circumstances beyond their direct employees.
  • The guide introduces new terminology, new definitions and extensive examples clarifying which arrangements are in and out of scope.
  • There is greater emphasis on preventing discrimination when carrying out checks.
  • The Home Office has further clarified that expired physical Biometric Residence Permits (BRPs) are not acceptable evidence of a right to work.
  • The overall structure and content have been simplified and modernised, making the guidance easier to use but also highlighting significant new compliance expectations.

Employers that engage contractors, gig economy workers, labour providers, subcontractors, agency workers or online platform workers should review their arrangements urgently. With the anticipated implementation date of 1 October 2026 approaching, organisations have limited time to assess potential exposure and prepare their compliance frameworks.

More broadly, the draft guidance reflects the reality that work itself is changing. Organisations are increasingly relying on more diverse workforce models, creating greater complexity when it comes to governance, compliance and accountability.

Overview of the changes

The June 2025 version was primarily focused on establishing a statutory excuse for traditional employment relationships. The July 2026 draft broadens the guidance significantly and increases from approximately 60 pages to 72 pages, reflecting the wider scope of the regime.

For organisations that have not yet reviewed the draft guidance, the period before October should be viewed as a preparation window rather than a waiting period.

The GOV.UK update notice states that the most significant changes are:

  • Simplification of content
  • Revision of terminology
  • Further clarification that expired physical BRPs are not acceptable proof of right to work
  • Updates throughout the guide, with a full list of changes contained within the draft document itself.

Whilst some of these changes relate to documentation and terminology, others reflect a fundamental shift in how organisations need to think about workforce responsibility across increasingly complex labour ecosystems.

Expansion beyond traditional employees

What has changed?

The most significant change is that the draft guidance has been rewritten to support the expanded illegal working regime introduced by the Border Security, Asylum and Immigration Act 2025. New sections explain how the rules apply beyond ordinary contracts of employment.

The draft introduces:

  • New definitions
  • A new section covering non-direct contractual arrangements
  • Guidance on “extended liability”
  • Examples covering complex labour supply chains and service arrangements.

What does this mean for employers?

Historically, employers generally focused on the individuals they directly employed.

Under the expanded regime, organisations may need to think about:

  • Workers engaged under worker contracts
  • Individual subcontractors
  • Labour supplied through intermediaries
  • Certain online matching platforms
  • Complex contracting arrangements

Compliance can no longer be viewed solely as an HR recruitment issue. Procurement, vendor management, contingent workforce teams, compliance functions and legal teams may all need to be involved.

This reflects a broader challenge. Many organisations are redesigning how work gets done through increasingly blended workforces made up of employees, contractors, outsourced services and platform-based talent. As workforce models evolve, organisations need greater visibility and accountability across every part of their workforce ecosystem.

Introduction of extended liability

What has changed?

A completely new concept introduced within the draft guidance is “extended liability”. The draft contains specific guidance explaining circumstances in which responsibility may extend beyond the party directly engaging the individual.

Previously the employer guide merely encouraged employers to seek assurance from labour suppliers and contractors. The draft moves beyond encouragement and provides a framework linked to the new statutory provisions.

What does this mean for employers?

Businesses operating labour supply chains will need to:

  • Understand where responsibility sits contractually.
  • Review supplier due diligence processes.
  • Consider contractual protections.
  • Ensure compliance controls exist before work commences.

Simply relying on contractual wording may not be sufficient. Operational evidence of compliance may be required.

For organisations already navigating economic pressures, skills shortages and increasingly complex workforce arrangements, this development highlights the importance of building resilient workforce governance frameworks that extend beyond organisational boundaries.

More detailed guidance on scope

What has changed?

The draft introduces numerous new examples and scenarios demonstrating:

  • Arrangements that are within scope.
  • Arrangements that are outside scope.
  • Situations involving contractors and subcontractors.
  • Situations involving labour supply chains.

The contents page itself now includes new sections such as:

  • “When this guidance does not apply”
  • “Example scenarios of working arrangements not in scope”
  • “Application to employers in direct contractual relationships with workers”

What does this mean for employers?

Employers now have clearer practical guidance when assessing:

  • Consultancy arrangements.
  • Self-employed engagements.
  • Agency labour.
  • Contracted out services.

This should reduce uncertainty, but organisations will need to assess arrangements based on practical reality rather than contractual labels alone.

As work becomes increasingly flexible and distributed, organisations need to understand not just who performs work on their behalf, but how that work is structured, governed and managed in practice.

Greater emphasis on avoiding discrimination

What has changed?

The draft expands the section on discrimination and introduces stronger cross references to the draft Code of Practice on avoiding unlawful discrimination while preventing illegal working.

The issue has always existed within right to work compliance, but the new guidance provides greater prominence and clarification.

What does this mean for employers?

Employers should ensure that:

  • All applicants are checked consistently.
  • Recruitment teams receive updated training.
  • Nationality assumptions are avoided.
  • Checking processes are applied uniformly.

Failure to carry out checks correctly may create both immigration compliance risks and discrimination risks.

This serves as an important reminder that effective workforce management requires balancing compliance obligations with employee trust, fairness and positive workplace experiences. Compliance processes should support consistency and inclusion, rather than create unintended barriers.

New Right to Work digital verification service provider (RtW DVSP) guidance

What has changed?

The draft includes additional material explaining how Right to Work Digital Verification Service Providers (RtW DVSPs) may be used within the new framework.

Terminology has also been modernised, reflecting the growing use of digital verification.

What does this mean for employers?

Employers using digital identity technology should:

  • Review provider contracts.
  • Confirm processes remain compliant.
  • Understand where liability remains with the employer.

Using a provider does not automatically transfer responsibility for compliance.

As organisations continue to digitise workforce processes, technology can help improve efficiency and consistency, but accountability remains a human and organisational responsibility.

Clarification regarding expired BRPs

What has changed?

The Home Office specifically highlights further clarification that expired physical Biometric Residence Permits (BRPs) are not acceptable evidence of a right to work.

This builds on the government’s wider transition from physical immigration documents to digital immigration status and eVisas.

What does this mean for employers?

Employers should ensure:

  • Recruitment teams do not accept expired BRPs.
  • Existing checklists are updated.
  • Guidance notes and onboarding procedures reflect digital status verification requirements.

Failure to follow the updated rules could invalidate a statutory excuse.

This is another example of how workforce administration is becoming increasingly digital, requiring organisations to ensure their systems, processes and teams evolve alongside changing requirements.

Structural and terminology changes

What has changed?

The draft guide has been reorganised substantially. New sections have been added covering:

  • References
  • Application of the guidance
  • Scope exclusions
  • Direct contractual relationships
  • Expanded scenario based guidance

The Home Office describes the revisions as a simplification of content and a revision of terminology.

What does this mean for employers?

Existing internal policies, training materials and right to work procedures may now contain outdated terminology and references.

Employers should plan to:

  • Review policies.
  • Update onboarding guidance.
  • Retrain hiring managers.
  • Amend compliance checklists.
  • Review third party labour arrangements.

For many organisations, these changes may also provide an opportunity to review whether workforce processes remain fit for purpose in a rapidly changing world of work.

Employer action plan

Ahead of the expected implementation date of 1 October 2026, employers should:

  1. Review all right to work policies and procedures.
  2. Reassess contractor and subcontractor arrangements.
  3. Identify any exposure to extended liability provisions.
  4. Update training for recruitment, HR and compliance teams.
  5. Review supplier assurance processes.
  6. Update guidance on BRPs, eVisas and digital status checks.
  7. Monitor publication of the final version of the guidance and associated Codes of Practice.

Organisations should also consider whether they have sufficient visibility across their wider workforce ecosystem to identify compliance risks before they become business risks.

Conclusion

The July 2026 draft guidance represents the most substantial change to right to work compliance in several years. While some amendments simply modernise terminology and simplify the guide, the introduction of extended liability and the broadening of the regime beyond traditional employment relationships could have a significant impact on organisations that use contractors, outsourced labour, agency workers and platform based workforces.

With 1 October 2026 fast approaching, employers should treat the draft as a call to action rather than an early indication of future change. The organisations best placed to respond will be those that use the remaining weeks to review processes, assess workforce arrangements and strengthen governance frameworks before the new regime takes effect.

Ultimately, the changes highlight a wider trend shaping the future of work. As organisations continue to rethink how work gets done, workforce models are becoming more flexible, interconnected and complex. Managing that complexity successfully requires more than compliance. It requires visibility, accountability and confidence across the entire workforce ecosystem.

That is why right to work compliance should no longer be viewed as a standalone administrative process. It is becoming an important part of the trusted operational foundations that enable organisations to adapt, grow and navigate constant change, which is a key principle at the heart of Worklife Reinvention.