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  • BAT Survey Highlights Potential Impact of UK Vape Rules on Retailers

    BAT Survey Highlights Potential Impact of UK Vape Rules on Retailers

    A survey commissioned by British American Tobacco suggests proposed UK rules on the packaging and display of vapes and nicotine pouches could affect small retailers by limiting product choice and visibility. The Censuswide survey of 2,000 former smokers found that 31% buy nicotine products from corner shops or local newsagents, while 79% said flavor choice is important when selecting products and 31% said seeing multiple options on display influenced their purchase.

    BAT said restrictions on flavors, standardized packaging, and product displays could make it harder for retailers to manage stock and could contribute to missed sales. The government consultation on the proposed rules closes Oct. 2.

  • Oxford Economics Report Links High Cigarette Taxes to Illicit Growth

    Oxford Economics Report Links High Cigarette Taxes to Illicit Growth

    A new Oxford Economics report commissioned by British American Tobacco found an average correlation of 80% between real duty-paid cigarette prices and illicit cigarette market share across nine countries from 2015 to 2025. The study found that taxes accounted for an average of 77% of the retail price of duty-paid cigarettes in 2025, while illicit cigarettes were priced between 1.5 and 3.5 times lower than legal products. Across the countries studied, illicit market share increased by an average of 25 percentage points, from 18% in 2015 to 43% in 2025.

    Australia and Chile recorded some of the largest increases. Australia’s illicit cigarette market share rose from 13% in 2015 to at least 55% in 2025, with Oxford Economics estimating A$7.1 billion ($5 billion) in lost tobacco tax revenue. In Chile, illicit market share increased from 12% to 53% over the same period, with estimated tax losses of CLP 1.4 trillion ($1.4 billion). The report, which also examined Bangladesh, Brazil, France, Malaysia, the Netherlands, Pakistan, and Ukraine, said illicit trade is influenced by factors beyond price and called for strategies combining tax policy with enforcement measures. BAT said the findings highlight the need for policymakers to consider illicit-market risks when setting tobacco excise rates.

  • Kenyan State Agencies, Manufacturers Clash Over New Tobacco Rules

    Kenyan State Agencies, Manufacturers Clash Over New Tobacco Rules

    Kenya Revenue Authority, Anti-Counterfeit Authority, and tobacco manufacturers have taken opposing positions on proposed amendments to the country’s Tobacco Control Act, with government agencies seeking tighter controls on tobacco and emerging nicotine products. In contrast, manufacturers warn some measures could increase compliance costs and encourage illicit trade. The Anti-Counterfeit Authority is seeking greater powers to authenticate and trace tobacco and nicotine products, citing industry estimates that illicit cigarettes accounted for about 37% of Kenya’s market in 2025 and resulted in an estimated 9 billion Kenyan shillings in annual excise revenue losses. The Kenya Revenue Authority supports expanding the definition of tobacco products to include synthetic nicotine, nicotine analogues, electronic nicotine delivery systems and related liquids, as well as stronger approval and licensing requirements.

    The Kenya Association of Manufacturers (KAM) and BAT Kenya have raised concerns about proposals including county-level licensing of tobacco and nicotine businesses, restrictions on single-use plastics, flavor bans, and additional registration requirements. KAM said duplicative licensing requirements could increase administrative costs, while BAT said some restrictions could push consumers toward unregulated products.

  • BAT Hosts Capital Markets Day

    BAT Hosts Capital Markets Day

    British American Tobacco hosted its Capital Markets Day for institutional investors and analysts today (Sept. 29) in Winston-Salem, North Carolina, outlining its Horizon 2030 strategy. Chief Executive Tadeu Marroco and members of BAT’s management team highlighted the company’s global multi-category nicotine portfolio and capabilities. BAT said it expects New Category revenue to grow at a mid-teens rate through 2030 and New Category contribution margin to reach at least 30% by 2030, driven by premiumization, improved product mix, increased scale, and more targeted resource allocation.

    BAT said it remains on track to deliver toward the lower end of its 3%-5% revenue growth and 4%-6% adjusted profit from operations growth targets for 2026, with adjusted diluted EPS growth toward the middle of its 5%-8% range, all at constant currency rates. The company also expects to reach its 2.0-2.5x target leverage range by year-end and said it expects a 2%-2.5% translational foreign-exchange headwind to 2026 adjusted diluted EPS growth based on current spot rates.

  • BAT Urges UK Retailers to Respond to Nicotine-Product Consultation

    BAT Urges UK Retailers to Respond to Nicotine-Product Consultation

    British American Tobacco continues to urge UK retailers to respond to the government’s consultation on proposed changes to the packaging, appearance, display, and marketing of tobacco and vape products before it closes Oct. 2. BAT UK and Ireland Commercial Director Tolga Kilic said retailers’ experience should inform the final regulations and urged them to highlight potential operational and financial impacts.

    Kilic cited the government’s impact assessment, which estimates vape retailers could face more than £420 million in cumulative lost profits through 2036 from proposed point-of-sale display restrictions. The consultation also covers product packaging, flavor descriptions, and other measures affecting the sale and presentation of nicotine products.

  • Innovation Requires Regulatory Viability: GTNF 2026

    Innovation Requires Regulatory Viability: GTNF 2026

    Innovation in tobacco and nicotine products is advancing rapidly, but companies must account for regulation, product standards and consumer needs alongside science and technology, speakers said at GTNF 2026 in Lisbon. In her keynote, Eve Wang, executive director at Smoore International, said the industry has moved from introducing new products into a growth phase, while noting the speed at which products can move from concept to commercialization in China. She compared the development process to a Chinese saying: “The journey is half complete when you are 90% of the way there. The last mile is always the hardest.”

    During the subsequent Innovation 360 panel, moderated by Wang, Clio Boura, head of science operations at British American Tobacco, said innovation needs to work closely with science and an enabling regulatory framework that establishes clear quality and safety requirements. She also pointed to portability, convenience, digital technology and sustainability as factors likely to shape products over the next five years. Greg Conley, senior regulatory counsel at ITG Brands, said, “Regulatory viability has to be part of viability from day 1,” arguing that product standards could give companies clearer targets for meeting regulatory requirements. He said the industry’s priority should be the ability to “innovate repeatedly, to keep moving things forward.”

    Yu Kang, head of research institute at Hangsen International, said rapid evolution is central to the e-cigarette industry but that innovation must include consumer protection and supply-chain oversight. He called for more efficient premarket review, collection of product standards across markets and closer cooperation among regulators and innovators, supported by scientific data demonstrating safety and compliance. Kang also emphasized the need to continually collect consumer feedback to develop products that meet quality expectations while supporting harm reduction.

  • BAT Releases 352-Page Omni Update at GTNF 2026

    BAT Releases 352-Page Omni Update at GTNF 2026

    British American Tobacco released a printed 352-page update to its Omni platform, a compendium of scientific research, evidence, and case studies supporting the company’s approach to tobacco harm reduction. Chief Corporate Officer Kingsley Wheaton announced the release at GTNF 2026 in Lisbon, describing Omni as a resource intended to advance discussion among scientists, public health authorities, regulators, policymakers, and investors.

    “Omni is our platform for gathering evidence based around tobacco harm reduction,” Wheaton said. “What we are launching today is a significant update to it, bringing in the latest case studies, the most current scientific research, and the real-world evidence from markets where smoke-free products are already reaching adult smokers at scale.”

    The updated Omni is organized across 10 chapters covering what BAT describes as the key questions facing the company, the science supporting its smokeless products, and the global tobacco harm reduction evidence base developed over the past decade.

    Wheaton said the platform is intended to be more than a conventional corporate publication. “It’s almost easier to say what Omni isn’t instead of what it is,” he said. “It isn’t a book, a report, or a website, although it can look like all three. It’s a manifesto and a mandate. A manifesto to change and a mandate for action, as we worked toward becoming a predominantly smoke-free business.”

    He said the objective is to encourage scrutiny and discussion rather than present a finished position. “The purpose of Omni is not to tell you what to think. It’s to ignite the conversation with stakeholders, a resource built to be scrutinized, challenged, and built upon. Not a closed document but rather an open one. Because if we’re asking regulators and scientists and public health authorities to engage with the evidence on harm reduction, the very least we owe them is to make that evidence physical, current, and rigorous.”

    BAT says Omni is intended to support its broader A Better Tomorrow strategy and its goal of building a “Smokeless World,” in which smokers who would otherwise continue smoking migrate to smokeless alternatives. The company says the resource is designed to allow readers to move between sections according to their interests while examining BAT’s progress, the scientific evidence surrounding smokeless products, and the wider tobacco harm reduction evidence base.

  • BAT Completes CFO Leadership Transition   

    BAT Completes CFO Leadership Transition   

    Dragos Constantinescu officially began his position as Chief Financial Officer and Executive Director of British American Tobacco today (Sept. 1), according to separate LinkedIn posts by BAT and CEO Tadeu Marroco. The appointment was first announced in April. Constantinescu returns to BAT after previously spending 16 years with the company across senior finance, strategy and general management roles before leaving in 2019, where he most recently served as CEO of Asahi Europe & International.  

    Constantinescu’s return completes BAT’s CFO leadership transition, with interim CFO Javed Iqbal moving to his permanent role as Director, Digital and Information. BAT said Constantinescu’s international experience across the nicotine and broader FMCG sectors, combined with his previous knowledge of the company, will support its ongoing “A Better Tomorrow” transformation, strategic priorities and focus on sustainable growth and shareholder returns.  

  • Reuters: Nicotine Pouches Emerge as Big Tobacco’s Key Growth Bet

    Reuters: Nicotine Pouches Emerge as Big Tobacco’s Key Growth Bet

    Reuters reports that nicotine pouches are attracting increasing investor attention as cigarette sales decline, with rapid volume growth, strong margins and relatively light regulation in many markets making brands such as PMI’s Zyn and BAT’s Velo a major focus for tobacco companies. BAT expects the global pouch market to grow from £4 billion in 2025 to £11 billion by 2030, while pouch volumes in its Asia, Middle East and Africa markets increased 27.5% to about 700 million in the first half of 2026.

    Reuters said the category also offers higher profitability than several competing alternatives. PMI reported that its U.S. oral nicotine business generated eight times the gross profit per 1,000 units of its international cigarette business in 2024, compared with 2.4 times for IQOS heated tobacco. Analysts said pouch performance is increasingly influencing tobacco-company valuations, while the products’ lack of smoke or vapor allows them to be used in locations where other nicotine products may be restricted.

    The story noted that wider adoption remains uncertain, particularly in markets without an established oral nicotine culture. Analysts cited consumer familiarity with inhaled products as a key barrier, while regulators are increasingly scrutinizing youth uptake, marketing and high nicotine strengths. France has banned pouches, while Finland, the EU and Britain are tightening rules. Despite expectations for continued growth, PMI and BAT say no single alternative will replace cigarettes, with diverse portfolios needed to accommodate different consumer preferences.

  • BAT Expands Technology Partnership with ITC Infotech

    BAT Expands Technology Partnership with ITC Infotech

    British American Tobacco (BAT) signed a multi-year strategic technology agreement with ITC Infotech to accelerate the transformation of its technology operations, with a focus on AI-assisted innovation, skills development, and efficiency improvements.

    Under the expanded partnership, ITC Infotech will provide technology services to BAT in Poland, Romania, and India, while continuing to scale capabilities at BAT’s Future Capabilities Centre in India. The company will also support BAT’s technology centers in Malaysia and Mexico.