The UK government is set to allocate £1 million in funding to establish a specialized team aimed at addressing illegal operations within the country. Chancellor Rachel Reeves will announce this initiative during the upcoming Budget, targeting businesses such as car washes, nail bars, and takeaways that violate employment and tax regulations. This move is part of a broader strategy to support law-abiding businesses and rejuvenate the high streets across Britain.
The newly formed team of investigators will collaborate with agencies including HM Revenue and Customs (HMRC) and Immigration Enforcement. Their goal is to ensure prompt investigations and effective actions against businesses that disregard legal requirements. The current regulatory landscape in the UK has been criticized for its complexity, as different agencies oversee various aspects of illegal trading. Local governments manage trading standards, while HMRC focuses on tax compliance and the Insolvency Service monitors bankruptcies and director disqualifications.
As Chancellor Reeves prepares to unveil this plan, Sir Keir Starmer, Leader of the Labour Party, highlighted the increased efforts against illegal working over the past year. Speaking to reporters en route to the G20 summit, he stated, “We’ve put £1 million with a specialist team to do even more on illegal working. We’ve done a lot more in the last 12 months than has been done ever before, clamping down. It is really important.”
Starmer also pointed out that the number of enforcement raids has surged significantly, with over 8,000 arrests made in the last year and a 63% increase in business inspections. In October alone, authorities raided 1,737 premises, resulting in 693 arrests and the seizure of more than £10.7 million in suspected criminal proceeds.
The Prime Minister has emphasized that the upcoming Budget will reflect Labour values, expressing optimism about the future of the country. He remarked, “If we get this right, our country has a great future.”
In addition to tackling illegal operations, the government is addressing the root causes of illegal migration, aiming to reduce the incentives that attract undocumented workers to the UK. The Home Secretary recently introduced a range of measures to streamline enforcement against illegal working.
Furthermore, Keir Starmer previously announced the “Pride in Place” strategy, which includes a commitment of £5 billion to revitalize struggling communities. This initiative focuses on restoring vacant shops and derelict pubs while empowering local residents to control the establishment of new vaping and gambling outlets in their areas.
As the government moves forward with these initiatives, the dual objectives of enhancing compliance among businesses and revitalizing local economies are at the forefront of their strategy, promising a more regulated and vibrant marketplace.
