Do the rights afforded to employees by the TUPE Regulations 2006 apply only to transferring employees?

No, in a TUPE situation, all employees of the transferee and transferor are protected from dismissal where the sole or principal reason for the dismissal is the transfer itself and it is not an economic, technical or organisational reason entailing changes in the workforce. Such a dismissal would be automatically unfair. For example, the dismissal of one of the transferee's existing employees because he or she refuses to agree to a change to his or her terms and conditions to harmonise them with those of incoming employees would be automatically unfair.

Further, the transferor and transferee have obligations to provide information to staff representatives regarding the transfer and, where relevant, to consult with them. These obligations extend beyond the transferring employees to any employees who may be affected by the transfer or by any measures taken in connection with it.