An immigration raid on Merton businesses saw five men who had overstayed their visas arrested.

Companies in Wimbledon and Mitcham could now face fines of up to £20,000 per illegal worker – with one business facing a £60,000 bill.

After a tip-off, immigration officers visited FitSpace Gym and Food Court, both in Upper Green East, Mitcham, and Elite Dry Cleaners, Gap Road, Wimbledon, on Wednesday, August 26.

Staff were questioned to establish whether they had the right to live and work in the UK and five men were arrested.

All those arrested were found to have overstayed their visas, a Home Office spokesman said.

At Elite Dry Cleaners, officers arrested three Pakistani men. Two were aged 30 and the other was a 29-year-old.

At FitSpace, officers arrested a 37-year-old Columbian man and a 34-year-old Pakistani man was arrested at Food Court.

A spokesman said the three men arrested at Elite Dry Cleaners were transferred to immigration detention pending removal from the UK, the man arrested at FitSpace is leaving voluntarily while the man arrested at Food Court must report to the Home Office regularly while his case is progressed.

The businesses were served notices warning that financial penalties of up to £20,000 per illegal worker arrested will be imposed unless the employer can demonstrate that appropriate right to work document checks were carried out, such as seeing a passport or Home Office document.

If proof is not provided, this is a potential total of up to £60,000 for Elite Dry Cleaners and £20,000 each for the other two businesses.

The operation comes after a new package of measures to crack down further on illegal working was unveiled by the Government.

The Immigration Bill, due to be introduced this autumn, will include new powers to deter people from trying to find work illegally and measures to deal more effectively with businesses who flout the rules.

A new criminal offence of working illegally will mean illegal migrants face a prison sentence of up to six months and could have their wages seized as proceeds of crime.

Late night takeaways, pubs and off-licences will also be required to comply with immigration laws or face being stripped of their licences.

Immigration minister James Brokenshire said: "Anyone who thinks the UK is a soft touch should be in no doubt – if you are here illegally, we will take action to stop you from working, renting a flat, opening a bank account or driving a car.

"As a one nation government we will continue to crack down on abuse and build an immigration system that works in the best interests of the British people and those who play by the rules.

"Through our new Immigration Bill, illegal workers will face the prospect of a prison term and rogue employers could have their businesses closed, have their licences removed, or face prosecution if they continue to flout the law."

Information to help employers carry out checks to prevent illegal working can be found at https://www.gov.uk/government/collections/employers-illegal-working-penalties. It includes a new quick answer right-to-work tool to help employers check if someone has the right to work in the UK.

People with information about suspected immigration abuse can contact https://www.gov.uk/report-immigration-crime or call Crimestoppers on 0800 555 111.