Home Secretary Shabana Mahmood has announced that tough new laws to shut down shady vape shops will be introduced by the end of the year. The legislation aims to give police and councils greater powers to tackle rogue high street businesses and put criminal bosses behind bars.
Background and research
Research indicates that approximately £1 billion is laundered through high street businesses annually. Ms Mahmood stated that a loophole allowing shops to reopen and continue trading illegally will be closed. She said: "High streets across the country have been hijacked by criminal gangs operating in plain sight – running vape stories, dodgy barbers, and nail salons to launder their dirty money."
Details of the crackdown
The Home Secretary has launched a nationwide crackdown to raid and close thousands of illegal businesses, arrest bosses, and seize their dirty cash. The new laws will double the duration of closure orders to give investigators more time to prosecute criminal bosses. Ms Mahmood has also instructed officials to urgently review the presence of vape shops, barbers, and car washes on the skilled worker sponsorship list, which allows them to bring workers from overseas.
Earlier this week, Andy Burnham, who is seeking to return to Parliament in the Makerfield by-election, called for councils to have greater powers to block new vape shops. He said this would give town halls more control over their high streets.
Current challenges
The Home Office noted that although premises can be closed for up to six months, businesses can still reopen before investigations conclude. This allows criminal activity to resume, creating more burdens for councils, police, and courts. The new laws aim to address this issue.
Funding and impact
The crackdown on organised crime on high streets in England and Wales has received £30 million in funding. The National Crime Agency estimates that £1 billion is laundered through high street businesses each year. The Home Office said criminals using shops as a front for money laundering or drug supply often go to great lengths to conceal their identities, making investigations complex. Tackling this will help protect honest businesses.
Josh Nicholson, head of housing and communities at the Centre for Social Justice, said: "For too long, organised criminal gangs have hijacked shopfronts on our high streets and got away with it. These gangs sell illegal tobacco, traffic drugs, and facilitate immigration crime from the heart of our communities, undermining the foundations of safe community life. Enforcement agencies tell us that they need stronger and faster powers to shut down these criminal shops for good. We welcome the Home Secretary's commitment to strengthening closure orders which will give law enforcement the tools they need to crack down on the organised criminals who operate across Britain's high streets."
New legislation is expected to be put forward by the end of the year following a consultation.
