HMRC has confirmed a crackdown on five types of high street stores, with more than 30,000 interventions planned this year to tackle tax fraud and illegal activity. The Labour Party government tax arm will conduct unannounced visits, tax and organised crime investigations, seizures, and warning letters.
Types of Shops Targeted
The interventions will focus on vape shops, barbers, souvenir shops, candy stores, and convenience stores. Officers from HMRC were joined by colleagues from Home Office Immigration Enforcement, Westminster Council Trading Standards, and the Metropolitan Police. The intelligence gathered will inform future actions to combat illegal activity on the high street.
Government Statements
Dan Tomlinson, Exchequer Secretary to the Treasury, said: "HMRC is stepping up its action to go after illegal activity on our high streets. Owners of dodgy shops that are evading tax: we are coming for you." He added: "Too many high streets have been blighted by illegal activity that harms local communities and undercut honest businesses, and we're determined to fix this."
Tomlinson continued: "We're increasing our action across the UK to target the criminals using shops as a front for tax evasion, money laundering and fraud. This is a sustained, nationwide effort – and HMRC and its partners will use every power available to dismantle these criminal networks."
Home Secretary Shabana Mahmood said: "High streets across the country have been hijacked by criminal gangs operating in plain sight – running vape stores, dodgy barbers, and nail salons to launder their dirty money. I have launched a nationwide crackdown to raid and close thousands of illegal businesses, arrest bosses and seize their dirty cash. But I will go further – introducing new laws to close these shops for good and put criminal bosses behind bars."
Industry Reaction
John Herriman, Chief Executive at the Chartered Trading Standards Institute (CTSI), said: "CTSI welcomes the government's intent to strengthen enforcement powers across England and Wales, particularly regarding closure orders, which is an issue we have been actively campaigning on recently. Closure orders are a key enforcement tool for Trading Standards Officers in tackling 'dodgy shops' but our members have made us aware of challenges that limit their current impact. Strengthening enforcement powers, including extending the duration of closure orders, is an important first step in addressing those issues."
Herriman added: "Stronger enforcement powers will allow officers more time to investigate criminality, prevent criminals from using a premises to break the law and, crucially, safeguard local communities from the serious risk these groups pose."
