People that could be hit by sanctions under Labour’s plan include those involved in supplying and financing small boats, fake passports, and “middlemen” putting cash through the Hawala system, a legal money transfer system, which is also used in payments linked to Channel crossings.
The first wave of sanctions comes into force on Wednesday, and will publicly name anyone sanctioned, so it will be illegal for UK businesses and banks to deal with them.
The measure is expected to include more than 20 designations, and could include corrupt public officials and police officers in steps to tackle the multi-billion-dollar industry.
Foreign Secretary David Lammy said: “For too long, criminal gangs have been lining their corrupt pockets and preying on the hopes of vulnerable people with impunity as they drive irregular migration to the UK. We will not accept this status quo.
“That’s why the UK has created the world’s first sanctions regime targeted at gangs involved in people smuggling and driving irregular migration, as well as their enablers.
“From tomorrow, those involved will face having their assets frozen, being shut off from the UK financial system and banned from travelling to the UK.”
But Chris Philp said: “The truth is you don’t stop the Channel crossings by freezing a few bank accounts in Baghdad or slapping a travel ban on a dinghy dealer in Damascus. Swathes of young men are arriving daily, in boats bought online, guided by traffickers who laugh at our laws and cash in on our weakness.
“2025 has been the worst year on record for illegal boat crossings, with over 23,000 already this year and more than 46,000 since Labour came to power. The gangs aren’t scared – because Labour won’t detain, deport or even pretend to enforce the border.
“The Conservatives will stop this crisis. Our Deportation Bill would disapply the Human Rights Act in immigration cases, deport every foreign criminal, close the legal loopholes, and if the ECHR stands in the way, we’ll leave it. Until then, Labour can freeze all the assets they like, the smugglers will still be sailing straight through the chaos they created.”