Civil Penalties and Appeals Professional Legal Support

Employing individuals without the legal right to work in the UK can result in severe consequences, including civil penalties, criminal liability, and reputational damage. Employers in the UK have a legal duty to carry out appropriate right to work checks and maintain compliance with immigration law. 

At Sunrise Solicitors, our experienced lawyers and solicitors provide comprehensive support to employers who have received a Civil Penalty Notice or Referral Notice. We represent businesses at every stage from submitting formal objections and making representations to the Home Office to pursuing appeals in the County Court in England, Wales and Northern Ireland or the Sheriff Court in Scotland. Our priority is to protect your legal position, seek the reduction or cancellation of penalties where appropriate, and preserve your business reputation and Sponsor licence (if applicable). 

We offer free initial consultation for 5 minutes and in suitable cases, we may be able to act on a fixed fee or conditional fee agreement. Time limits to challenge civil penalties are short and strictly enforced. Contact us today for professional and effective legal assistance.

What is Civil Penalty Notice? 

A Civil Penalty Notice penalises an employer who the Home Office has found liable for employing a person who does not have permission to carry out the work in question in the UK. This can happen if the employer has not carried out the correct right to work checks. 

The notice sets out why the Home Office considers the employer liable and confirms the financial penalty being imposed. An employer has 28 days to respond to a Civil Penalty Notice. During this time, an employer can either pay the fine, request a payment plan, or submit a formal objection if they believe the penalty is incorrect. 

At Sunrise Solicitors, we assist employers in understanding the basis of the civil penalty, identifying any legal grounds to challenge it, and preparing a response that protects their position and helps achieve a favourable outcome.

Other types of notices

Warning Notice

A Warning Notice may be issued if an employer has employed someone who is not allowed to work in the UK and does not have a statutory excuse against liability for a civil penalty. However, this notice may only be given if: 

• It is treated as the employer’s first breach within the previous three years; and 

• The employer has met all three mitigating factors, including reporting the suspected illegal worker to the Home Office and receiving a Unique Reference Number (URN), fully cooperating with the Home Office during the investigation, and having effective right to work checking practices in place. 

A Warning Notice means no financial penalty is given, but it does act as a formal warning. It will be considered if the employer is found to be in breach again in the future and could result in a higher penalty next time.

Referral Notice

A Referral Notice may be issued when the Home Office finds an employer employing someone in breach of the Right to Work Scheme under section 15 of the Immigration, Asylum and Nationality Act 2006. It notifies the employer that their case is being referred to Home Office officials to consider liability for a civil penalty. The notice explains the process and outlines the possible outcomes, including the issuance of a penalty. 

No Action Notice

A No Action Notice is issued when the Home Office decides that the employer is not liable for a civil penalty. This usually happens if the employer can prove they carried out the correct right to work checks and therefore have a statutory excuse, or where the Home Office otherwise determines that the employer is not liable for a civil penalty. 

This notice confirms that no further action will be taken. It will not be considered when calculating the penalty amount in the event of a future breach of the Scheme. 

What are the penalties for illegal employment?

 If an employer in the UK is found to have employed someone who does not have the right to work in the UK, they may face serious civil or criminal penalties depending on the circumstances. 

If the employer knew, or had reasonable cause to believe, that the individual did not have permission to work, they may be prosecuted. This is a criminal offence and carries a penalty of up to five years’ imprisonment, an unlimited fine, or both. 

Where an employer has employed someone who does not have the right to work and has failed to conduct the prescribed right to work checks to establish a statutory excuse, a civil penalty of up to £60,000 per illegal worker may be issued. The Home Office may first send a referral notice indicating that enforcement action is being considered, followed by a civil penalty notice if liability is confirmed. 

Employers have 28 days to respond to a civil penalty notice either by paying the fine, requesting a payment plan, or lodging an objection if they believe the penalty is incorrect. Failure to take timely action may lead to further enforcement and reputational damage, including publication of the employer’s details by Immigration Enforcement. 

Suspension of Sponsor licence

If an employer is found liable for employing an individual who does not have the right to work in the UK, this may have implications for their sponsor licence. The Home Office may suspend or revoke the licence or take the civil penalty into account when assessing any future sponsor licence application. Sponsor licence holders are required to comply with all relevant duties, including conducting right to work checks. A civil penalty is treated as a serious breach of compliance and may result in further regulatory action beyond the financial penalty itself. 

What is the process of Civil Penalty?

• Breach – A breach of Section 15 occurs when an employer employs someone who does not have the right to carry out the work in question in the UK. 

• Referral – The case is referred within the Home Office to assess whether a civil penalty should be issued. 

• Information Request – The Home Office may request further information and evidence from the employer, including evidence of a statutory excuse, before deciding liability. 

• Decision – A decision is made on liability, and a civil penalty notice is issued if appropriate. 

• Payment – The employer can pay the penalty, request permission to pay by instalments where applicable, or object to the penalty. 

• Objection – The employer may submit a formal objection in writing within the applicable 28-day period specified in the Civil Penalty Notice. 

• Appeal – If the employer remains liable following an objection, they may appeal to the County Court in England, Wales and Northern Ireland, or the Sheriff Court in Scotland, within the applicable 28-day period specified in the relevant notice. 

• Enforcement – If no action is taken, the Home Office may begin enforcement proceedings to recover the penalty.

How to respond to a Civil Penalty notice

If you receive a Civil Penalty Notice from the Home Office for employing a worker without lawful permission to work in the UK, you must act promptly. The notice will outline the basis on which the Home Office considers the employer liable and the amount of the penalty. Employers typically have 28 days to respond. You have the following options: 

Object to the penalty

You may challenge a Civil Penalty Notice by submitting a formal objection to the Home Office in writing within the applicable 28-day period specified in the notice. This must be done in writing using the designated objection form and may be made on one or more of the following grounds, such as, that you are not liable for any reasons explained, that you conducted the required right to work checks, or that the penalty amount has been incorrectly calculated. The Home Office may cancel, reduce, increase, or maintain the penalty following its review. If you remain liable and are dissatisfied with the outcome of the objection, you may appeal to the County Court in England, Wales and Northern Ireland, or the Sheriff Court in Scotland, within the applicable 28-day period specified in the Objection Outcome Notice or any new Civil Penalty Notice. 

Pay the penalty at a reduced rate

If you do not wish to object, you may qualify for a 30% discount by paying the full amount within 21 days of the notice, provided you have not received a civil penalty in the previous three years. 

Request to pay in instalments

If immediate payment is not possible, you can request permission to pay the penalty by instalments over an agreed period, usually up to 24 months. Supporting financial evidence must be submitted, and this option does not qualify for the 30% discount. 

Why Choose Sunrise Solicitors to Assist You with a Civil Penalty Appeal?

Sunrise Solicitors provide expert legal support to employers facing civil penalties for illegal employment. Our experienced employment lawyers and solicitors will assess your case, explain your legal rights, and advise on the most effective course of action. We help clients with the preparation of detailed objections to the Home Office, assist in gathering evidence, and represent you in County Court appeals in England, Wales and Northern Ireland, or Sheriff Court appeals in Scotland, if necessary. Our team is here to help you every step of the way from initial advice to final resolution. If you are someone who needs help with the civil penalty appeal process, call us today and get expert help from our civil penalty and appeal solicitors.