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Seven pubs were lost for every new vape shop over the past 10 years, according to a new analysis. Since 2016, nearly 1,800 pubs and bars have vanished, while the number of vape and tobacco shops increased by 245 to almost 2,200, the Centre for Social Justice think tank has revealed. Many of these shops are used for money laundering, facilitating illegal work and selling illicit products, ministers worry.

Josh Nicholson, the head of housing and communities at the Centre for Social Justice, said: "Britain's high streets are changing and not for the better. The explosion of 'dodgy shops', shoplifting and anti-social behaviour across town and city centres points to a breakdown in community life that must urgently be addressed."

Chancellor Rachel Reeves capped business rates increases for pubs following a backlash to her decision in the budget to change the tax levied on commercial properties in England from April. But the hospitality sector has still faced a rough decade, with 6,900 bars and pubs in Britain lost since 2010 and 85% of council areas recording a decline in the number of pubs and bars. Meanwhile, 25,000 more barbers, nail salons and other beauty outlets have appeared, the Times reported.

In October the National Crime Agencydestroyed more than £2.7million of criminal tobacco, vapes and drugs being sold on the high street. The illicit tobacco trade alone is estimatedto cost taxpayers £1.8 billion.

Connor Naismith, the Labour MP for Crewe & Nantwich, said: "Dodgy vape shops, mini-marts and fake barbers are a front for exploitation and organised crime, pushing people out of our high streets and making a mockery of the law.

"Stronger powers for trading standards to shut down these criminal enterprises are urgently needed and are vital for any successful policy aimed at renewing our high streets and town centres."

The Government plans to tackle the issue through the Tobacco and Vapes Bill, which is in its final parliamentary stages. The bill will lay the ground for a licensing scheme for the retail sale of the products, and regulations on where and how they can be displayed in shops. It will also enable product and information requirements to be imposed in connection with tobacco, vapes and other products.