A scam targeting small businesses has been exposed.

A letter from a firm called the Health and Safety Registration Enforcement Division tells businesses they must register to comply with health and safety regulations.

Businesses which are compliant should send £199, it claims, while non-compliant businesses should write a cheque for £299.

Andrew Mowlah, head of research at the Forum of Private Business, said: "We advise extreme caution when dealing with any unsolicited contact from companies purporting to offer services for a fee.

"Business owners should, of course, be aware health and safety compliance cannot be achieved simply by filling in a form and paying a fixed fee."

Justin McCracken of the Health and Safety Executive (HSE) said: "The Health and Safety Registration Enforcement Division is not connected to HSE and is not an official body. Businesses should ignore any approach from this firm and any similar offers."

Anyone receiving correspondence from the company or any similar requests should call the HSE on 08701 545500.