Modelling agencies fleecing Asian women across the country are likely to face strong penalties with new government legislation.

The government is planning to announce that modelling agencies would be banned from charging up-front fees.

The plans were aimed at “unscrupulous agents”, a minister said, who asked women for fees in advance of any modelling work.

In most cases the work never comes through and women pay extortionate fees for being on the register.

Business minister Pat McFadden said: “Unfortunately there are some rogue agencies that prey on models and entertainers who have stars in their eyes.”

He added: “Last year we introduced a cooling-off period for upfront fees, but we are still receiving some reports that people are being exploited. So now we are going even further by banning them outright.”

The new law would also cover acting extras and may even extend to modelling or acting competitions.

Agencies breaking the law could face prosecution and a ban on operating for 10 years, as well as unlimited court fines.

“This will tackle the unscrupulous agents that represent the less appealing face of the modelling and entertainment industry,” he added.

Government proposals were praised by industry bodies. However it is likely to put many companies out of business.

Martin Kenny of the trade union Equity told the BBC he supported efforts to offer “greater protection against the acts of unscrupulous agents”.

Spencer MacDonald from the broadcasting union Bectu said: “This could now spell the end of the worst abusive practices that have plagued agency workers in the entertainment sector.”

The regulations could come into force as early as next year.

Industry bodies said they wanted women who were asked to pay upfront fees to report them.

The new rules would be enforced by the Employment Agency Standards Inspectorate.