Compliance & Tax

How do I verify contractor right to work in the UK?

How do I verify contractor right to work in the UK?
Kat Shepherd
Kat Shepherd
February 20, 2025
Reading time
4
minutes

Right to work verification is a crucial legal requirement for any business engaging contractors in the UK. As we navigate through 2025, the process has become increasingly digital, yet the fundamental importance of compliance remains unchanged. This comprehensive guide will walk you through everything you need to know about verifying a contractor's right to work in the UK, ensuring you stay compliant with current legislation while protecting your business.

Understanding right to work checks: The basics

Right to work checks are mandatory verifications that employers must conduct before hiring any individual in the UK. These checks ensure that contractors have the legal right to work in the country and help prevent illegal working while avoiding potential civil penalties that can reach up to £20,000 per illegal worker.

Why are right to work checks important?

  • Legal compliance with Immigration, Asylum and Nationality Act 2006
  • Protection against civil penalties
  • Prevention of illegal working
  • Maintaining workplace integrity
  • Supporting fair competition

Types of right to work checks available

As of 2025, there are three primary methods for conducting right to work checks:

1. Digital right to work checks

The most common method today involves using the UK government's online checking service or certified Identity Service Providers (IDSPs). At YunoJuno, we've integrated automated right to work checks into our platform, making the process seamless for both businesses and contractors.

2. Manual document checks

While less common now, manual checks may still be necessary for certain document types. This involves physically examining original documents and following a specific verification process.

3. Adjusted checks

These are specific arrangements that may be implemented during exceptional circumstances, such as those seen during the COVID-19 pandemic.

Step-by-step guide to conducting right to work checks

For digital checks:

  1. Obtain the contractor's share code and date of birth
  2. Access the online checking service
  3. Input the required information
  4. Review the results
  5. Store the digital record securely

For manual checks:

  1. Obtain original documents
  2. Check documents in the presence of the holder
  3. Verify authenticity
  4. Make and retain clear copies
  5. Record the date of the check

Required documentation for right to work checks

Acceptable documents fall into two lists:

List A (Permanent right to work)

  • British passport
  • EU Settlement Scheme status
  • Indefinite leave to remain
  • Birth certificate with proof of NI number

List B (Temporary right to work)

  • Current valid passport with visa
  • Biometric Residence Permit
  • Frontier Worker Permit
  • Time-limited visa documentation
AspectEmployeeIndependent Contractor
Control and supervisionDirect control over how, when, and where to workFreedom to set their own schedules and methods
PaymentRegular wages; taxes withheld by employerPaid per project; responsible for their own taxes
BenefitsHealth insurance, retirment plans, paid leaveMust arrange their own benefits
TerminationOften requires notice and may include severanceCan usually be terminated at any time without benefits
Tools and equipmentProvided by the employerTypically use their own tools

Common challenges and how to overcome them

Understanding and managing right to work verification can present several challenges:

Challenge 1: Expired documents

Solution: Implement a tracking system for document expiration dates and set up automatic reminders for renewals.

Challenge 2: International contractors

Solution: Ensure familiarity with various visa types and maintain clear communication channels with contractors about documentation requirements.

Challenge 3: Document authenticity

Solution: Use certified digital verification services and train relevant staff in spotting fraudulent documents.

Best practices for maintaining compliance

  • Conduct checks before employment begins
  • Keep detailed records for at least two years after employment ends
  • Implement regular audits of right to work documentation
  • Provide training for staff responsible for checks
  • Stay updated with legislative changes

Legal implications and penalties

Failing to conduct proper right to work checks can result in:

  • Civil penalties up to £20,000 per illegal worker
  • Criminal prosecution
  • Business closure
  • Damage to reputation

Future trends in right to work verification

As we continue through 2025, several trends are shaping the future of right to work verification:

  • Increased automation and AI-powered verification
  • Blockchain-based identity verification
  • Enhanced biometric integration
  • Real-time compliance monitoring

Conclusion

Verifying a contractor's right to work in the UK is a critical process that requires attention to detail and ongoing commitment to compliance. By following the guidelines outlined in this article and staying informed about legislative changes, businesses can maintain compliant hiring practices while protecting themselves from potential penalties.

The trend towards digital verification solutions continues to streamline the process, making it easier for businesses to maintain compliance while reducing administrative burden. Whether managing these checks in-house or through a contractor management platform, the key is to maintain consistent, thorough verification practices that meet all legal requirements.

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