Two men allegedly broke into an empty store on Shrewsbury’s main shopping street and set up a shop which traded illegally over Christmas and new year.

The Credit Crunch Clearance store opened up in the former Card Warehouse selling cheap goods to help people low on cash buy Christmas presents.

But police received information the men running the business had broken into the outlet.

The owner was unaware they were trading. A raid on the premises was carried out by police officers last week and two men were arrested on suspicion of burglary.

Maria Hawkaluk, spokeswoman for West Mercia Police, said an investigation was now under way.

She said: “Two men were arrested after police were called to the former Card Warehouse store in Pride Hill on Wednesday.

“It had been reported that the empty shop had been broken into and that somebody was illegitimately trading out of the premises without the owner’s permission.

“The two men were arrested on suspicion of burglary and the premises has been secured.

“Investigations are ongoing in conjunction with trading standards into the matter.”

Laura Owen, spokeswoman for the Trading Standards department at Shropshire County Council, confirmed the authority was currently looking into the stock that was being sold in the store.

She said: “We have been invited by the police to investigate the authenticity of brand names within this shop.”

Chris Hulse, of the nearby Greggs bakery, said the Credit Crunch Clearance store had been open since early December.

He said: “All the people there were apparently getting paid cash in hand and a couple of our customers have mentioned the police have been involved.

“They opened up a few weeks before Christmas.”

The store was selling jewellery, watches, perfume, scarfs and other items. 

No official sign was ever put up at the outlet, with only a red banner carrying the Credit Crunch Clearance name.

Staff also stood in Pride Hill with a banner advertising that the store was open for trade.

By Rhea Parsons