Specialist lawyers at Irwin Mitchell are warning hospitality businesses about increased risks relating to immigration compliance due to recent regulatory changes. The firm reports that the Home Office has intensified immigration audits for hospitality businesses with sponsorship licences, exposing them to potentially damaging new licensing rules.
According to lawyers at the national firm, this increased scrutiny can lead to severe repercussions, including substantial financial fines, business closure orders, and potential prosecutions.
Mandeep Khroud, Partner and Head of Immigration at Irwin Mitchell, said:
“The recently introduced increase in civil penalties for employers from a maximum of £20,000 to £60,000, highlights the increased scrutiny businesses are facing when it comes to immigration enforcement.
“The issue is particularly acute in the hospitality sector where since the end of the COVID-19 pandemic, the Home Office’s Immigration Enforcement has increased the frequency of audits on businesses in sectors like hospitality.”
Mandeep also highlights significant recent regulatory changes:
“Section 36 and Schedule 4 of the Immigration Act 2016 amended the Licensing Act 2003, introducing immigration safeguards relating to licensing applications and already licensed premises.
“Notably, the Secretary of State for the Home Department (SSHD) has been incorporated into the list of Responsible Authorities within the regulatory licensing framework.
“This development allows the Home Office’s Immigration Enforcement division to provide feedback and make representations regarding the grant, full variation, transfer, and review of premises licences.
“In addition, as stipulated in Section 179 (1A) of the Licensing Act 2003, immigration officers are permitted to enter licenced premises to ascertain whether any offences under the Immigration Acts are being committed in relation to the carrying on of the licensable activities.
“We are seeing a lot of businesses being caught out by these changes. It’s vital organisations in the hospitality sector ensure they are fully compliant with the new regulations and immigration laws to avoid severe penalties, including financial fines, business closure orders, and potential prosecutions.”
