According to foreign media reports, British Chancellor of the Exchequer Jeremy Hunt is expected to announce the imposition of a “vaping products tax” during the government’s budget announcement on March 6.
This tax will be similar to plans in 15 European countries, including Germany, which levies €1.60 (USD 1.73) tax per 10 milliliters of e-liquid, and Italy with a tax rate of €1.30. The EU also plans to impose e-cigarette taxes on 27 countries.
The UK will levy higher tax rates on products with higher nicotine content. According to The Times, tobacco taxes will also increase at once to ensure that e-cigarettes remain a cheaper alternative, with these measures expected to raise over £500 million (USD 633.73 million) annually by 2028-2029.
British Prime Minister Rishi Sunak plans to ban the next generation from smoking by gradually raising the legal smoking age in England, so tobacco won’t be sold to anyone born after January 1, 2009.
Industry representatives describe this tax plan as an attack on those attempting to quit smoking.
John Dunne, Director General of the UK Vaping Industry Association, said: “The evidence shows that e-cigarettes are the most effective way for smokers to quit, helping to significantly reduce the care costs provided by the NHS for smokers.” in a statement.
“Punishing adults who choose the safer, healthier option of e-cigarettes to make it harder for them to quit smoking is nonsensical. In the UK, smoking kills 250 people every day, and according to Smoking and Health Action’s data, the UK loses £17 billion annually,” Dunne added.
“A report by the Economic and Business Research Center in 2022 found that smokers switching to e-cigarettes saved the NHS £322 million, a figure expected to more than double if 50% of UK smokers switch to e-cigarettes.
“Of course, we should do everything possible to help smokers kick this habit that kills so many. Increasing e-cigarette taxes will make it harder for the most vulnerable in society to access e-cigarettes, who have the highest smoking rates and need effective smoking cessation tools the most.”
“The government continues to bury its head in the sand while taking action that fuels the already dangerously out-of-control black market. Restricting the use of e-cigarettes not only means more smokers but also means more people smoking. It also means more illegal and unregulated e-cigarettes. We need the government to issue licenses to e-cigarette retailers and properly enforce laws prohibiting youth e-cigarette use before it’s too late.”
