Witnesses said three masked men reversed a stolen Subaru Liberty into the front glass windows of the store on the corner of George and King streets just before 3am on Friday.

Two of the thieves got out of the car and used metal bars to further smash their way inside before stealing items including designer handbags each worth thousands of dollars.

The thieves then escaped in a second car, possibly a silver Subaru, and were last seen speeding south on George Street.

Police from The Rocks local area command have set up a crime scene at the store, which will be examined by specialist forensic police.

The vehicle used to conduct the ram raid remains outside the shop. Police said it had been reported as stolen.

Police are canvassing the area and are reviewing CCTV footage of the robbery. They said it was unclear at this stage exactly what was stolen.

Anyone with information about the robbery has been urged to call Crime Stoppers on 1800 333 000.