Transport minister Richard Holden said those “persistently breaking the law” should be jailed and “if we need to build more prison places for them, then so be it”.
Justice chiefs are under growing pressure to increase capacity to end the crisis behind bars.
And ministers are expected in November to set out plans to lock up more prolific shoplifters, burglars and thugs convicted of common assault – putting even greater pressure on full prisons.
Richard Holden, a transport minister, told LBC: “I think there has been an issue where sometimes the police haven’t concentrated enough on some of these offences.
“But they really do have a huge impact on our high streets and shops right across the country.
“If people are particularly prolific on that, then yes, they do need jail time. But I think sometimes that on top of that,you need to tackle some of those underlying causes, such as drug addiction… which will often lead them to a life of crime. So I’m all in favour of locking people up, if they persistently break the law.”
Asked if there were enough prison places, Mr Holden said: “If people are persistently breaking the law, then they should go to jail, and if we need to build more prison places for them, then so be it.”
Tougher sentences are being planned for offences including shoplifting, burglary, theft and common assault.
Repeat shoplifters could be jailed after committing between 10 and 20 offences, sources suggested.
It will effectively work like the “two strikes” policy for those caught carrying knives. This means anyone caught with a blade for a third time is automatically jailed as they have escaped more severe punishments in the past.
But ministers are facing growing fears over the capacity of Britain’s prison estate. The current prison population stands at 86,602 – just 971 below “operational capacity”.
But Labour last night warned the number of criminals could hit 89,100, opening up the possibility of more violent offenders avoiding jail.