Christmas shoppers visiting the stores are shocked by the array of nipple tassels, edible G-strings and breast-shaped stress relievers jostling for space with children's toys.
The retail chain, owned by billionaire Sir Philip Green, insists the raunchy Christmas gifts are 'harmless fun', but it has been accused of sinking to crudity in an attempt to boost sales.
The alarm was raised by mother-of-three Alicia Moss who said: 'I am not a prude but I don't expect this sort of thing in a family store like Bhs.
'It is all at eye level for a child and it is not something I want my children viewing.
'I was so angry that I left without making some purchases.
'I complained to the manager, but he said the products were all approved by the head office.'
Mrs Moss, 45, from Ascot, Berkshire, said: 'Selling this sort of tat normalises crudity. We just don't need it.
'I have a teenage daughter and I don't expect youngsters out shopping with their parents to be confronted with this
'I lived in Holland for 20 years, which has a reputation for being open on the subject of sex, but I never saw anything as crude as that there.'
Among the products on low shelves and easily accessible to children were sweets meant to titillate, 'boobi' mugs and a bell to ring for your partner when you want sex, Daily Mail reported..
Other customers were also disturbed by the products.
Joe Ellis, 36, from Colmbrook in Surrey, who has two young children aged three and four, said: 'They can be seen as funny but I find them offensive.
'They are on shelves right next to the kids' presents and either of my two children could just pick them up and ask me what they are.
'I do think it's wrong, I think they should be moved to a different part of the store.'
Calling the products a 'bit of fun', a Bhs spokesman said: 'You could go to any shop in the country and find something that is not for you.
'If we have upset anybody then we are sorry.'