UK accused of pursuing failing tobacco tax policy

UK cigarette companies accused the government of pursuing a ‘failing tobacco tax policy’ after it used last week’s budget to continue imposing above-inflation duty increases, according to a story in The Times.

At the same time, the Tobacco Manufacturers’ Association (TMA) claimed the government’s policies towards tobacco were boosting the market for illicit products.

“The illegal market cost the treasury £2.1 billion in 2013-14 and whilst we recognise the government’s commitment to a renewed anti-illicit tobacco strategy, further tax rises will simply undermine these efforts,” Giles Roca, the TMA’s director-general, was quoted as saying.