High Street Shops: Illicit Activity

Jim Dickson Excerpts

Wednesday 17th June 2026 Westminster Hall

[Alex Ballinger]

My hon. Friend makes a really important point. Local authority trading standards were underfunded and under-resourced by between 30% and 40%, according to some estimates, during the 14 years of Conservative government. Local authorities and the police need resources to tackle this crime.

I will give some good statistics. The National Crime Agency’s Operation Machinize has led to 3,000 premises being raided and close to 1,000 arrests. The £30 million that the Government are investing in tougher enforcement with the new high street organised crime unit is also welcome.

There are many issues that enable these shops to operate, so it is important that all agencies work together: the Home Office, trading standards, the NCA, HMRC, immigration enforcement and local police. Immigration enforcement is important because, as has been mentioned before, we see evidence that asylum seekers are being employed and exploited in these shops. They are sometimes being paid only £4 an hour, which is completely unacceptable.

The new unit gives me real hope that we can achieve co-ordination, and that organised crime groups will not fall through the gaps between agencies and will face the full force of the law. We have talked about resources. Seventy-five new police officers have been recruited, and there are extra resources for customs and trading standards to prioritise the work. The tougher enforcement standards, including the doubling of closure orders to 12 months, are vital for this work.

When tackling serious organised crime, the National Crime Agency employs the 4P approach: pursue, prevent, prepare and protect. The Government have taken positive steps to enable the authorities to pursue offenders, with more co-ordination, resources and tougher enforcement. There is scope to do more to prevent the opportunities for these dodgy businesses to open in the first place. There is a good example in the Netherlands, where the Bibob Act allows public authorities to conduct integrity checks on individuals and businesses before granting licences and permits.

[Jim Dickson (Dartford) (Lab)]

My hon. Friend is making an excellent speech on an important issue. As he will know, the Tobacco and Vapes Act 2026 recently came on to the statute book, which I hugely support as a member of the all-party parliamentary group on smoking and health. There is a licensing scheme under that Act, enabling local authorities to have more control over shops that sell products such as tobacco and vapes. There will be a clear method to facilitate the reduction of those shops on our high streets. Does my hon. Friend agree that it is important for the Department of Health and Social Care to get on with the consultation on that licensing scheme as soon as possible?

[Alex Ballinger]

I agree that it sounds like a very helpful proposal. On the subject of permits and businesses, there is much more the Government can do to restrict the permitting of high street bookmakers, which many Members have spoken about.

In the Netherlands, public authorities are allowed to conduct integrity checks on individuals and businesses before granting licences and permits, and local authorities have the power to refuse applications if they think there is a serious risk that a permit could be used for criminal activities. I can see the benefit of that, as the police or other intelligence agencies could advise whether individuals are linked to organised crime, or whether it is reasonable to assume that 12 mini-markets and vape shops in one small town centre are operating legitimately.