LONDON, England – Companies operating in the gig economy will now be required to verify the eligibility of all workers on their payrolls to ensure they are legally allowed to work in the United Kingdom.
This is the first time that employment checks will be extended to businesses in sectors such as construction, food delivery, beauty salons, and courier services, which are central to the gig economy.
The move was announced by the Home Office on Sunday, March 30, 2025, and is part of the UK government’s broader efforts to strengthen its immigration system.
The new requirement means that companies will face heavy penalties if they fail to conduct these checks.
Employers who fail to comply could be hit with fines of up to £60,000 per illegal worker, along with potential business closures, director disqualifications, and prison sentences of up to five years.
The Home Office stated that expanding illegal working checks to the gig economy would “help level the playing field for the majority of honest companies who do the right thing.”
The checks, which are said to take just minutes to complete, will be provided free of charge by the government.
This new law is part of a wider package of measures aimed at tightening the UK’s immigration laws.
Earlier this month, the UK government announced it would impose stricter restrictions on foreign convicted criminals, particularly those who the government is pursuing for deportation but has been unable to remove from the country.
Additionally, visa fees for students, tourists, and skilled foreign workers were hiked in a bid to manage immigration and labor demands.
The expansion of employment checks is expected to have a significant impact on gig economy businesses, which have historically operated with more flexibility compared to traditional industries.
