What is the penalty for employing an illegal worker?

The civil penalty for employing an illegal worker is up to £60,000 per illegal worker for a first offence and up to £60,000 for repeat offences. Criminal prosecution can result in up to 5 years imprisonment and an unlimited fine. Penalties were significantly increased in 2024.

How can I avoid a penalty for employing illegal workers?

Conduct proper right to work checks before employment begins and conduct follow-up checks for employees with time-limited permission. If you conduct checks correctly and in accordance with the Home Office guidance, you establish a statutory excuse which protects you from civil penalties.

What is a statutory excuse?

A statutory excuse is a legal defence against civil penalties. You establish one by conducting right to work checks in accordance with Home Office guidance before the person starts work. If you have a valid statutory excuse, you cannot be fined even if the person turns out to be working illegally.

Illegal Working Penalties for UK Employers: Guide 2026

UK employers face civil penalties of up to £60,000 per illegal worker and potential criminal prosecution with imprisonment. The only protection is conducting proper right to work checks before employment begins. Penalties were significantly increased in 2024, making compliance more important than ever.

Civil Penalties

The civil penalty scheme imposes fines on employers who employ people without the right to work:

First offence: Up to £45,000 per illegal worker.
Repeat offence: Up to £60,000 per illegal worker.

These amounts were tripled in February 2024 from the previous levels. The Home Office can issue penalties to any employer, from a multinational company to a small business or individual householder.

See our civil penalty guide for more detail on the penalty assessment process.

Criminal Prosecution

In serious cases, employers can face criminal prosecution under Section 21 of the Immigration, Asylum and Nationality Act 2006. This applies when the employer knew or had reasonable cause to believe that the worker did not have the right to work.

Criminal penalties include:

Up to 5 years' imprisonment.
An unlimited fine.
Proceeds of crime confiscation orders.

The Statutory Excuse

Your protection against civil penalties is the statutory excuse. You establish this by conducting right to work checks correctly:

Before employment starts: Check the employee's right to work documents or use the Home Office online checking service.
Record the check: Keep a clear, dated record of the check and copies of documents.
Follow-up checks: For employees with time-limited permission, conduct a follow-up check before their current permission expires.

If you have conducted checks correctly and the person turns out to be working illegally (for example, using forged documents that appeared genuine), the statutory excuse protects you from civil penalties.

Common Mistakes

Not checking at all: Assuming the person has the right to work based on their appearance or nationality is both discriminatory and leaves you without a statutory excuse.
Checking the wrong documents: Only documents on the Home Office's acceptable list count. Check the employer's guide.
Missing follow-up checks: If an employee's visa expires and you do not re-check, you lose your statutory excuse from the expiry date.
Not keeping records: You must retain copies of documents and records of checks for the duration of employment plus 2 years.

What Happens During an Enforcement Visit

Immigration Enforcement officers can visit your premises to check whether your workers have the right to work. During a visit:

Officers may ask to see your employees and their documents.
They may check your right to work records.
If illegal workers are found, they may be arrested.
You will receive a referral notice if a civil penalty is being considered.

Appealing a Civil Penalty

If you receive a civil penalty notice, you can:

Object to the Home Office: Within 28 days, providing evidence of your statutory excuse.
Appeal to the court: If your objection is rejected, you can appeal to the county court within 28 days.

Penalties can be reduced if you cooperate with the investigation, have conducted checks (even if incorrectly), or can demonstrate mitigating circumstances.

Best Practices for Employers

Check every employee's right to work before they start. No exceptions.
Use the online checking service for employees with eVisas or BRPs.
Set diary reminders for follow-up checks before visa expiry dates.
Train HR staff on right to work check procedures.
Keep organised records that can be produced quickly during a visit.
See our employer responsibilities guide for comprehensive compliance guidance.