Londoners should report their “dodgy barbers” to the police if they are suspicious that it is a criminal activity, says Security Minister Dan Jarvis.
He told how a crackdown was being launched on “dodgy barbers, vape shops and nail bars” where criminality was taking place “in plain sight”.
The Home Office minister stressed: “We're calling time on that type of activity.”
London has seen a proliferation of barber shops some of which are suspected to be linked to crime gangs.
Asked whether people should use barbers charging low rates for haircuts and which might appear dodgy, Mr Jarvis told Times Radio: “Where people see activity that they believe is criminal, they absolutely should report it.
“There's a really important role for the public.
“They are our eyes and ears, and they can provide information, intelligence that is hugely valuable to the police and to local enforcement.
“So, where people see activity that they think is suspicious, that absolutely should be reported.
“In the end, people will have to make a judgment about where they want to get their hair cut.”
Mr Jarvis announced a new specialist law enforcement unit to target criminal gangs operating from so-called dodgy shops on high streets in England.
The £20 million-backed National Crime Agency cell is tasked with co-ordinating a national response, and a unit overseen by Mr Jarvis will be responsible for coming up with new strategies.
The Home Office said 75 new police officers will be recruited across the country who will be dedicated to tackling high street gangs.
As many as half of convenience stores and vape retailers in some areas are estimated to have links with organised crime, according to Trading Standards.
Similarly, up to a third of American candy stores, including some in London, and one in four fast-food takeaways in specific areas are suspected of being a front for criminal activity.
The Met Police last year visited 30 venues, including barber shops, fast food outlets, car workshops and nail bars, targeting a range of cash-based businesses believed to be linked to crime gangs.
More than £240,000 worth of counterfeit goods were taken off the streets of London as well as illegal knives and vapes, and £22,000 in cash.
The latest crackdown comes as a BBC investigation revealed people smugglers are directing migrants to pay for illegal Channel crossings using a network of UK-registered businesses including high street shops.
As the scale of the problem was being revealed, the Government was criticised for a lack of resources to target it, with just 75 extra police officers across the country.
The budgets of Local Authority Trading Standards’ services have also been cut by up to 50% over the last decade, and staffing stripped.
Trading Standards has warned that this, coupled with reduced resources for other key enforcement agencies including police, had coincided with the rapid spread of dodgy shops across the UK.
Trading standards will be backed with £6 million of additional funding under the Home Office plans, with new officer training rolled out to identify suspicious businesses.
£1.5 million will also go to Immigration Enforcement, and £1.35 million to HMRC.
The Chartered Trading Standards Institute (CTSI) welcomed the introduction of the new unit, but urged the Government to do more to keep its officers safe.
Chief executive John Herriman stressed: “The proliferation of so-called dodgy shops puts consumers at significant risk and undermines the legitimate businesses who drive economic growth across the UK.”
Shadow home secretary Chris Philp, MP for Croydon South, said: “Crime and anti-social behaviour are at unacceptably high levels, every day, too many people witness things that anger and alarm them.
“The Conservatives have a plan to take back our streets that would put 10,000 extra police officers on the streets, backed by £800 million, in order to triple stop and search, roll out live facial recognition to the worst crime hotspots, restoring the damage Labour have done in just under two years.”