High levels of illegal migration since 2022 have been linked to a rise in working for cash, and the Home Office has said for the first time that small-boat migrants are working in the black economy.
The National Centre for Social Research attributes the expansion in the black economy to the rise of freelance work, also known as the “gig economy”, and the impact of the pandemic on employment.
Dog breeders, pet sellers and waste-management firms will be forced to register for tax before they can obtain or renew their licences, under a government crackdown on the black economy.
New figures on Thursday are expected to show the economy at risk of falling into a recession after GDP fell back in the fourth quarter of last year as business and consumer confidence slumped.
Tax chiefs say the black economy is booming while the regular economy stagnates, The Times reported.
