The sanctions, designed to disrupt the flow of money, are thought to be the world's first to specifically target people smugglers. Sir Keir Starmer said the move would hamper "illicit finance rings allowing smugglers to traffic vulnerable people across Europe".

Britain will create a new sanctions regime to target the ringleaders of illegal migration networks who facilitate and profit from smuggling tens of thousands of people into the country each year, the government said on Wednesday.

Keir Starmer plans to set up a sanctions regime targeting people smugglers as the UK prime minister seeks to deliver on an electoral pledge to “smash the gangs” helping asylum seekers enter the country via irregular routes.