Barbers, vape outlets and mini-marts that launder £1bn a 12 months might be raided vows Shabana Mahmood
Home Secretary Shabana Mahmood has pledged a huge police clampdown on dodgy high street shops, with the National Crime Agency (NCA) estimating £1billion is laundered each year in the UK
Shabana Mahmood has pledged more resources to tackle dodgy businesses(Image: BBC/AFP via Getty Images)
Dodgy high street shops where £1billion is laundered each year will face a huge police clampdown, Shabana Mahmood has said.
The Home Secretary said businesses like mini-marts, barber shops, vape stores and sweet shops will be targeted if they are suspected of being linked to organised crime gangs. New funding has been allocated to step up raids and tackle dirty money – with criminals operating in plain sight.
The National Crime Agency (NCA) will set up a new unit with £20million, while trading standards will receive £6million extra funding to help identify sham businesses.
Ms Mahmood said: “Criminal gangs have exploited our high streets to launder their dirty money and undercut honest businesses.
“We are hitting back with a nationwide crackdown to shut these fronts down, seize dirty cash and drive organised crime off our high streets and put bosses behind bars.”
A new High Street Organised Crime Unit will bring together police, government departments and trading standards teams. And a rapid review has been ordered to determine what is needed to react faster.
The NCA estimates £1billion is laundered through high street businesses each year, with some linked to the sale of fake goods, tax evasion, illegal working, and illegal drug supply. There will be 75 new police roles to build up intelligence.
Sal Melki, deputy director of illicit finance at the NCA, said that £10m had been seized and 950 arrests linked to high street crime in the past 18 months. And Lord Bichard, who chairs National Trading Standards, said: “Organised high street crime, including the illegal sale of tobacco and counterfeit goods, is damaging communities across the country.
“These criminal networks undercut honest businesses, draw money away from local economies and expose consumers to unregulated and potentially unsafe products. They are also often linked to wider offending, including money laundering, exploitation, and violence.”
A £30m package will also include £1.5m to immigration enforcement, £1.35m to HMRC and £900,000 for the High Street Organised Crime Unit, based out of the Home Office.
Ed Woodhall, chief executive of the Association of Convenience Stores, said: “Local shops tell us that rogue traders on high streets are causing massive damage to their businesses and the wider community, so we strongly welcome this Government action to back responsible retailers and crack down on the organised crime gangs that are fuelling the illicit trade.”
