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UK Cracks Down on Illegal Employment with Expanded Gig Economy Regulations

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Keir Starmer
Keir Starmer
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The UK government has introduced a new requirement for companies operating in the gig economy to verify the work eligibility of all individuals on their payroll.

Announced on Sunday by the Home Office, the new rule extends mandatory employment checks — traditionally reserved for formal, long-term roles — to gig economy sectors such as construction, food delivery, beauty salons, and courier services.

This marks the first time the UK has officially applied such scrutiny to freelance and short-term contract jobs, in a move aimed at curbing illegal employment and strengthening the country’s immigration system.

“Where businesses fail to carry out these checks, they will face hefty penalties already in place for those hiring illegal workers in traditional roles, including fines of up to £60,000 per worker, business closures, director disqualifications and potential prison sentences of up to 5 years,” the Home Office said in a statement.

The government said it would offer the necessary verification tools for free, noting that the checks are quick and easy to complete.

“Expanding illegal working checks will help level the playing field for the majority of honest companies who do the right thing,” the statement added.

The new measure is part of broader efforts by the UK to reform its immigration and employment policies. Earlier this month, authorities announced stricter rules targeting foreign convicted criminals, while also introducing significant hikes in visa fees for students, tourists, and skilled foreign workers.

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