The Home Office is on a tear, and the latest numbers can confirm that they’re coming after illegal UK employment.
In the last quarter of 2024, 200 UK businesses were collectively issued fines that totalled an eye-watering £12.5 million, with the average penalty sitting at £62k.
Along with a 48% increase in visits from immigration enforcement, they’ve sent a clear message to employers about the consequences for employing illegal workers.
If you want to dive deeper into the data (and who doesn’t!) you’ll see that a small group of businesses accounted for disproportionately high penalties. It’s a worrying concentration. The top five companies fined include:
- Arya Rae Ltd (£280,000)
- DPD (£240,000)
- Kukki Glazing Ltd (£225,000)
- Betacare Agency Ltd (£200,000)
- CCT Demolition Limited (£200,000)
It’s a stark reminder that no business in the UK, regardless of size or sector, is immune from Home Office scrutiny.
The consequences of Home Office penalties
Beyond just the financial hit, it’s not a list any company wants to be a part of.
Appearing on the government’s published list can have lasting implications, impact client trust, and prevent future business opportunities. Some of the businesses fined last quarter have already taken steps towards being struck off the Companies House register, signalling the severe impact on both staff and customers.
And if you’re a director at one of these companies, it’s even worse. They’ve seen their directorships terminated, raising concerns about ability and corporate governance.
Worryingly, it looks like some of them have already established new businesses in the same sectors, potentially highlighting gaps in the regulatory framework — which is something we should talk about soon. It also highlights why it’s so important that UK employers do directorship checks when they hire and during their re-screening process. (If you need a hand with that, we can help.)
What does it mean for me?
In a surprise to no one, these numbers show us that sectors reliant on low-paid casual or temporary labour are more vulnerable. This only reinforces the need for effective and ongoing right to work (RTW) checks.
If you’re looking from a regulatory perspective — which we always are at Zinc — you need to be constantly on top of your compliance process. Regular audits help you spot and address compliance gaps faster than you can say “Home Office investigation”.
And there’s no shame in getting a helping hand, either. HR tech and specialist providers can help you quickly level up how accurate and efficient your screening process is, especially when it comes to RTW.
Any HR pro will be able to tell you that keeping up with the changing rules and regulations around hiring legally in the UK is a full time job on its own, but that doesn’t excuse you from staying informed on what you need to do to protect your company and stay on the right side of the law.
As the latest penalties demonstrate only too well, complacency can be disastrous, whether it’s to your reputation or to your bottom line. The cost of compliance is a drop in the bucket compared to the consequences of falling foul of immigration laws.
Don’t want that to be you? Here’s how Zinc can help you stay protected
We built Zinc to meet your background checking needs, no matter what changes the government announces (and they announce a lot of changes).
We’re here to make sure your background checks run as smoothly and quickly as possible, no matter what.
When it comes to checking RTW, as an IDSP Zinc is certified under the UK Digital Identity and Attributes Trust Framework (UK DIATF). That means our platform meets the highest standards for digital identity and RTW verification, so you can be sure that your process is compliant, secure, and ready when you need it.
As well as automating your RTW checks, Zinc flags upcoming re-checks for visas due to expire. That means no more manual tracking and gives you your statutory excuse and peace of mind knowing all checks are in line with current Home Office guidance.
At Zinc, we continually support our customers in maintaining robust and compliant hiring practices. If you're concerned about your processes or seeking guidance to ensure compliance, book a time with the Zinc team.
