Up to £464 million has reportedly moved through more than 3,000 UK shell companies, according to a new analysis. These companies, branded as beauty and convenience stores, are said to be operating in money-laundering and terrorist financing sectors.
The research by anti-money laundering software provider SmartSearch found that these companies, listed as hairdressers, barber shops, salons, mini-marts, and corner shops, showed “remarkably similar lifespans” of about six months. They were also “heavily concentrated in a small number of areas.”
The analysis of Companies House records from 2016 to 2026 focused on beauty and convenience stores. It identified 3,097 dissolved companies with an average lifespan of 170 to 194 days, clustered in the same postcodes, registered addresses, and months for incorporation and dissolution.
Phil Cotter, chief executive of SmartSearch, stated that this is not a story about small businesses failing, but rather about patterns suggesting a repeatable model of exploitation on UK high streets. He added that while Companies House has made progress, the underlying activity appears to be running ahead of the pace of reform.