Question to the Home Office:

To ask the Secretary of State for the Home Department, what steps she is taking to tackle money laundering in (a) shops and (b) other services using high street premises.

The Government recognises that cash intensive businesses such as barber shops and nails bars can be exploited by criminals who seek to legitimise their criminal cash, enabling them to profit from their illegal activities. Addressing cash-based money laundering is one of the strategic priorities of the National Economic Crime Centre, which sits within the National Crime Agency, who are currently working with partners to drive an increased operational response to this threat, including money laundering through cash intensive businesses.

In parallel, the National Police Chiefs Council economic crime co-ordinators are engaged in the development of Clear Hold Build strategies to help police forces tackle serious and organised crime. Clear Hold Build aims to reclaim and rebuild neighbourhoods affected by organised crime and increase public confidence in the police and partner agencies. This includes tackling financial crime on the high street.

While businesses such as barber shops are not regulated by the Financial Conduct Authority they interact with regulated businesses, such as banks, who under the Money Laundering Regulations are required to undertake customer due diligence and under the Proceeds of Crime Act 2002 submit reports to the National Crime Agency if they suspect money laundering.