Vale of Clwyd Senedd Member Gareth Davies MS has welcomed a major national crackdown on suspected high street money laundering, following targeted raids on barbershops, car washes, vape shops, and American sweet stores across the UK.
Operation Machinize, led by the National Crime Agency (NCA), saw coordinated raids on 265 premises across England and Wales. Police made 35 arrests, froze bank accounts holding more than £1 million, and placed 97 suspected modern slavery victims under protection. The NCA estimates £12 billion of criminal cash is laundered in the UK each year.
The action follows growing public concern and aligns with warnings first raised by Mr Davies over a year ago in the Senedd on 7 February 2024. In that speech, he highlighted the unusual concentration of cash-only barbershops and vape shops in his constituency and their suspected links to money laundering and organised crime.
Mr Davies faced strong opposition at the time from Labour Senedd members and Welsh Government Ministers, who dismissed his concerns out of hand.
Recent reports from residents in Porth, South Wales, where a 14th barbershop application was submitted in a town of just 6,000 people, have further amplified suspicions about the scale and nature of this activity on Welsh high streets.
While welcoming the NCA’s crackdown, Gareth Davies expressed frustration over the political response his initial warnings received and challenged Welsh Labour to clarify whether they now acknowledge the seriousness of money laundering, particularly given that the operation was supported by the UK Labour Government. He has also urged the Welsh Government to offer guidance and equip local authorities to grapple with the problem.
Responding to the police crackdown, Vale of Clwyd Senedd member Gareth Davies, said:
“When I first raised my constituents’ concerns about the rise of cash only businesses on our high streets, I was met with pearl clutching by Labour members who dismissed my concerns out of hand.
“I welcome the recent police crackdown a year on from when I first sounded the alarm, and I hope that Operation Machinize will yield results.
“I’d like the Welsh Government to clarify whether they now agree with me that this is a real problem given the National Crime Agency are now dealing with the issue under a UK Labour Government.
“My constituents would also be grateful to hear how the Welsh Government will equip local authorities to tackle the issue head on.”