Digital Identity Cards
Government Plans Mandatory Digital Indentity Cards for UK Citizens
On 26 September 2025 the government announced plans to introduce digital identity cards for all UK citizens and legal residents. The credential will be free of charge, stored in a GOV.UK digital wallet on a smartphone, and will hold core details such as name, date of birth and residency/immigration status. It will be available to everyone aged 16 and over by the end of this Parliament.
Digital Identity Cards And Right To Work Checks
When introduced, the government intends to make the digital identity cards mandatory for all right-to-work checks. Employers will be required to use it when onboarding new staff and when carrying out follow-up checks. The stated aim is to remove the prospect of unlawful employment for individuals without the right to work and to deter irregular migration.
The new Digital Identity Cards will replace the list of 16 different documents currently accepted for manual right-to-work checks, offering a single, streamlined system. Making it harder for individuals to present borrowed or fraudulent documents.
Employers who follow the rules should benefit from greater simplicity, as there will be one single process for all new recruits. The Home Office will gain real-time oversight of which employers have completed checks, strengthening its ability to monitor compliance. Beyond immigration control, digital identity cards are intended to support wider access to public services, financial services and age verification. The system is also framed as a step toward greater social inclusion: around one in ten UK adults are currently “ID-excluded”, and the government argues that free, universal digital idenity cards will help close this gap.
Implications For Employers
For now, nothing changes. Employers must continue to follow existing right-to-work requirements: checking original documents, or for non-British/Irish citizens with digital status, using the online share-code service. Civil penalties for non-compliance remain up to £60,000 per illegal worker.
Looking ahead, key points for employers to note are:
- Future compliance model: By the end of this Parliament, employers will no longer be required to collect multiple forms of documentation. Digital Identity Cards will become the single route for proving right to work.
- Potential cost savings: Employers who currently use paid identity verification providers may see efficiencies if the government system becomes the default, though details on implementation are still awaited.
- Greater oversight: With the Home Office able to track in real time whether checks have been conducted, employers should expect closer scrutiny of compliance.
- Minimal disruption for the compliant: For employers who already carry out checks correctly, the main change will be the way checks are undertaken rather than the obligation itself.
A public consultation will be launched before legislation is introduced, and details of how employers will access the system are still to be clarified. In the meantime, businesses should maintain existing processes and ensure their right-to-work checks are fully compliant.
Kea HR will continue to monitor developments and provide updates as further detail emerges.
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