GB Enacts Immigration (Restrictions on Employment and Residential Accommodation) Regulations 2026

The Immigration (Restrictions on Employment and Residential Accommodation) (Prescribed Requirements and Codes of Practice) (Amendment) Regulations 2026 introduce significant updates to the UK's 'right to work' and 'right to rent' schemes. These amendments primarily focus on refining the prescribed requirements and codes of practice that employers, landlords, and their agents must follow to establish a statutory excuse against civil penalties for employing or housing individuals without valid immigration status. The Regulations are expected to further embed digital identity verification methods, clarify documentation requirements, and potentially adjust the framework for civil penalty imposition, necessitating a thorough review of compliance procedures by all affected parties.

The landscape of immigration compliance for employers and landlords in the United Kingdom is subject to continuous evolution, reflecting the government's ongoing efforts to prevent illegal working and renting. The forthcoming Immigration (Restrictions on Employment and Residential Accommodation) (Prescribed Requirements and Codes of Practice) (Amendment) Regulations 2026 mark another pivotal development in this area, directly impacting the obligations of businesses and property owners across England. These Regulations are designed to amend the existing framework, particularly concerning the checks of immigration status that must be diligently undertaken to avoid liability for substantial civil penalties.

This article delves into the anticipated changes introduced by the 2026 Regulations, examining their implications for legal practitioners advising employers, landlords, and agents. The core objective of these amendments, as indicated by the excerpt, is to refine the mechanisms through which a 'statutory excuse' can be established, thereby protecting compliant entities from penalties. Understanding these nuances is critical, as failure to adhere to the updated prescribed requirements and codes of practice can lead to severe financial and reputational consequences.

The article will provide an overview of the existing legal framework, analyse the likely scope and impact of the 2026 amendments, and conclude with practical advice for practitioners navigating this complex regulatory environment. Special attention will be paid to the ongoing shift towards digital verification methods and the need for robust internal compliance systems.

The foundation for preventing illegal working and renting in the UK is laid by several key pieces of legislation. The Immigration, Asylum and Nationality Act 2006 (IANA 2006) established the civil penalty regime for employers who employ individuals without the right to work, making it a criminal offence to knowingly do so. This was operationalised by the Immigration (Restrictions on Employment) Order 2007, which detailed the prescribed checks employers must undertake to gain a 'statutory excuse' against a civil penalty.

Similarly, the 'right to rent' scheme was introduced by the Immigration Act 2014, imposing a duty on landlords in England to check the immigration status of prospective tenants. The Immigration Act 2016 further strengthened these provisions, introducing criminal offences for landlords who knowingly rent to illegal immigrants and making it easier to evict tenants without a right to rent. The Immigration (Residential Accommodation) (Prescribed Requirements and Codes of Practice) Regulations 2014, alongside Home Office guidance and codes of practice, set out the specific steps landlords must follow to establish a statutory excuse.

Central to both schemes is the concept of a 'statutory excuse'. This defence protects employers and landlords from civil penalties if they can demonstrate that they have carried out the prescribed checks correctly before the commencement of employment or a tenancy, and conducted follow-up checks where a person has a time-limited right to work or rent. Civil penalties for non-compliance have seen significant increases, with employer penalties reaching up to £60,000 per illegal worker for repeat breaches, and landlord penalties up to £3,000 per illegal tenant, with potential criminal liability in serious cases.

The Immigration (Restrictions on Employment and Residential Accommodation) (Prescribed Requirements and Codes of Practice) (Amendment) Regulations 2026 are poised to build upon this established framework, primarily by updating the 'prescribed requirements' and 'codes of practice' that underpin the statutory excuse. A key area of amendment is expected to be the further integration and standardisation of digital identity verification. Since April 2022, employers and landlords have been able to use Identity Document Validation Technology (IDVT) via certified Identity Service Providers (IDSPs) for British and Irish citizens holding valid passports, and the Home Office online service using 'share codes' for most other non-British/Irish citizens.

These 2026 Regulations are likely to solidify the shift away from manual document checks, particularly for individuals with digital immigration status (e.g., eVisas, EU Settlement Scheme status), for whom online checks are already mandatory. The amendments may clarify the responsibilities of employers and landlords when engaging IDSPs, ensuring that the use of such technology provides a robust statutory excuse. This could involve more detailed guidance on selecting certified IDSPs and the specific audit trails required. The ongoing development of the UK Digital Identity and Attributes Trust Framework (UKDIATF) provides the overarching standard for these digital checks, and the 2026 Regulations will likely align closely with its principles.

Furthermore, the amendments may address specific challenges or ambiguities that have arisen in the application of the existing schemes. This could include updated lists of acceptable documents, particularly as physical Biometric Residence Permits (BRPs) are phased out in favour of digital eVisas. Clarifications regarding follow-up checks for individuals with time-limited leave, and the process for reporting changes in immigration status to the Home Office, are also probable areas of refinement. The Regulations may also seek to harmonise the 'right to rent' checks with the broader changes introduced by the Renters' Rights Act 2025, which came into force on 1 May 2026, particularly concerning landlord duties and civil penalties.

While the primary focus is on civil penalties, the Regulations may also indirectly influence the threshold for criminal liability. By clarifying the 'reasonable cause to believe' standard through updated codes of practice, the Home Office aims to ensure that only those who genuinely flout the law face criminal sanctions, while providing clear pathways for diligent compliance. The codes of practice are also crucial in reiterating the importance of avoiding unlawful discrimination when conducting checks, a persistent concern since the inception of both schemes.

The Immigration (Restrictions on Employment and Residential Accommodation) (Prescribed Requirements and Codes of Practice) (Amendment) Regulations 2026 underscore the UK government's commitment to a robust immigration enforcement regime, placing continued onus on employers and landlords. For legal practitioners, these amendments necessitate a proactive approach to advising clients. It is imperative for businesses and property owners to review and update their internal policies and training programmes to reflect the revised prescribed requirements and codes of practice, particularly concerning the increased reliance on digital verification methods.

Practitioners should guide clients on the proper use of certified Identity Service Providers and the Home Office online checking service, ensuring that all checks are conducted meticulously and records are maintained diligently to establish and preserve the statutory excuse. Staying abreast of updated Home Office guidance, which typically accompanies such legislative changes, will be crucial. Failure to adapt to these evolving requirements risks exposure to significant civil penalties and potential criminal liability, making continuous vigilance and expert legal counsel indispensable in navigating the UK's complex immigration compliance landscape.