Stricter penalties for employers breaching UK immigration rules

The UK government has announced significant changes to how employers who breach immigration laws will be penalised. Businesses that repeatedly commit immigration or employment offences will face tougher sanctions, including longer bans on hiring overseas workers. This is part of a broader effort to tackle illegal working and protect overseas workers from exploitation.

Full details are given here

Key measures announced

1. Extended sanctions for repeat offenders.
2. Employers who are found guilty of repeated breaches will now be barred from recruiting overseas workers for at least two years, up from the previous 12-month restriction. This measure aims to deter businesses from flouting immigration laws repeatedly.
3. Proactive enforcement before serious breaches.
4. The government will act against businesses showing historical or ongoing signs of non-compliance, even before severe legal breaches occur. This marks a shift toward preventive action rather than reactive enforcement.
5. Longer action plans for minor breaches.
6. For minor infractions, businesses are often placed on government action plans designed to address and resolve compliance issues. The duration of these plans will now increase from three months to 12 months. During this period, businesses will face restrictions on their ability to sponsor overseas workers. Employers who fail to comply or demonstrate improvements during this time will lose their sponsor licences.
7. Harsher penalties for employing illegal workers.
8. The government has also emphasised the range of penalties for hiring illegal workers. These include financial fines, closure orders for offending businesses, and potential criminal prosecution of employers.

These measures will be introduced alongside the new Employment Rights Bill currently under review in Parliament, to strengthen enforcement capabilities further.

Case study: Consequences of breaching immigration rules

A recent case highlights the severe consequences of breaching immigration rules.

Business: A Turkish restaurant.

Findings: An Immigration Enforcement visit revealed three illegal workers, including two without any right to work in the UK.

Penalties included:

• £45,000 fine.
• Seven-year directorship ban for the owner.
• Premises licence revoked by the local council.
• Business closure in 2023.

This serves as a stark reminder for all employers to ensure compliance with immigration regulations.

At Five Star we specialise in assisting employers meet their obligations in relation to right work checks and compliance.

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