Britain’s National Crime Agency (NCA) is to be asked to crackdown on American “Candy Stores” that pop-up on High Streets.
The shops sell overpriced sweets and souvenirs to visitors to the UK.
There are 29 stores alone in London’s Oxford Street – the country’s biggest shopping district.
In the last 15 months illegal and fake goods have been seized from the shops.
Westminster Council estimates it is owed more than £9 million in unpaid business rates.
Adam Hug, Westminster Council leader, will ask the government for more support to stem the rapidly growing problems.
Mr Hug wants HMRC and the NCA to investigate the overseas ownership structures of companies running the stores.
He will tell Westminster’s scrutiny commission:
“The rash of candy shops emerged during lockdown and in most cases the traders took advantage of those who simply wanted to fill empty shops to avoid paying business rates.”
Mr Hug will also call for more support for the tax authorities and the NCA to investigate the ownership structures of the companies running the stores.
The council is writing to the freeholders of shops to ask them to consider what they can do to improve Oxford Street.
The Council has consistently lobbied central Government to give more support to both the HMRC and the NCA.
It believes Companies House lacks any effective oversight and companies can be set up with no checks on who is behind them.