Just to be clear, the UK system is much simpler than the US system. There is just a bad law. That law could be repealed with a majority in parliament tomorrow, until it is repealed (spoiler it absolutely will not be repealed) the regulator can and will file these law suits. The best we can hope for is that the regulator (Home Office) just don't bother trying to enforce the law.
The core problem is the people writing the laws are know-nothing busy bodies who write crap laws and then cause massive problems, and we've demonstrated over the last 18 months that you can fire literally 70% of the UK Parliament, replace them all and still end up with the same rules written by the same know-nothing busy bodies.