2nd March 2026
Rising restrictions in the UK asylum and immigration system will affect certain types of employment and employers more than others, mainly because of two major policy shifts.
A much tougher illegal‑working regime that expands employer liability.
Higher barriers to hiring and retaining migrant workers, including those who transition from asylum routes into work.
The changes are broad enough that almost every employer will feel some impact, but the effects are uneven across sectors.
How the new rules change employer responsibilities
Two developments stand out:
Expanded illegal‑working liability
The Border Security, Asylum and Immigration Act 2025 will extend employer responsibility beyond traditional employees.
Businesses will become liable for ensuring the right to work of:
contractors
sub‑contractors
gig‑economy workers
zero‑hours workers
indirectly engaged workers
This is a major shift from the current system, where liability applies mainly to direct employees.
Stricter right‑to‑work checks
Section 48 of the Act significantly expands the scope of right‑to‑work checks once implemented. Employers will need more robust systems, documentation processes, and auditing.
Sectors most affected
Some industries rely heavily on workers with precarious or complex immigration statuses. These sectors will feel the changes most sharply.
1. Social care
High reliance on migrant labour.
Increased compliance costs and risk of penalties.
Harder to recruit due to higher English‑language requirements and rising visa costs.
2. Hospitality and food services
Large numbers of casual, seasonal, and gig‑style workers.
Expanded liability for contractors and agency staff increases risk exposure.
3. Agriculture and food production
Heavy use of seasonal and short‑term labour.
Stricter checks and higher costs may worsen existing labour shortages.
4. Construction
Extensive subcontracting chains mean the new liability rules could significantly increase compliance burdens.
5. Logistics, delivery, and gig‑economy platforms
The new rules explicitly target gig‑economy arrangements.
Companies will need to verify right‑to‑work for workers they do not directly employ.
6. Health and NHS
Higher English‑language requirements for Skilled Worker visas (B2 from January 2026) make recruitment harder.
Increased visa and sponsorship costs add financial pressure.
How asylum‑related changes affect employers
The asylum reforms indirectly affect employers in three ways:
Reduced pool of people eligible to work
Many asylum seekers will remain on temporary protection with limited rights.
Fewer will transition into long‑term work routes.
Longer, more complex pathways to settlement
Employers may struggle to retain staff who cannot secure stable immigration status.
Workers may need to switch into new "Protection Work and Study" routes, requiring employer sponsorship.
Higher compliance risk
More frequent status reviews mean employers must monitor immigration status more actively to avoid illegal‑working penalties.
Increased costs for employers
Immigration‑related costs rose sharply in late 2025:
Immigration Skills Charge up 32%
Priority service fees for sponsorship and licence management increased
These costs disproportionately affect SMEs, charities, and sectors with tight margins.
What employers will need to do
Businesses will need to:
review contracts and supply‑chain arrangements
strengthen HR systems for right‑to‑work checks
budget for higher immigration costs
reassess recruitment strategies for overseas talent
prepare for more Home Office enforcement activity
Certain sectors—care, hospitality, agriculture, construction, logistics, and health—will be most affected because they rely heavily on migrant labour and complex employment structures.
Employers across the UK will face higher compliance duties, greater liability, and increased costs as the asylum and immigration reforms come into force.