21 March 2007
Today the Chancellor of the Exchequer Gordon Brown, reduced VAT on nicotine replacement products from 17.5% to 5% for one year from 1 July and raised the cost of a packet of cigarettes by 11p from 6pm today.
Maureen Moore, Chief Executive of ASH Scotland commented,
“ASH Scotland welcomes the Chancellor's decision to reduce the VAT on nicotine replacement products, although is disappointed that this is only for one year. Seven out of ten smokers say that they want to quit. The announced price cut will assist in making smoking cessation a more achievable goal for all smokers.Today's announcement that the cost of a packet of cigarettes will rise by 11p, which is only in line with inflation, does not go far enough to make cigarettes less affordable. Raising the price of cigarettes has been proven to reduce the number of children that become addicted to tobacco, as well as raising the number of smokers who choose to either cut back or quit. Research shows that a 10% increase in the price of cigarettes results in a 4% fall in tobacco consumption(1). This budget was an opportunity for Gordon Brown to take targeted action aimed at reducing smoking, ASH Scotland is disappointed he decided to pass up the opportunity to do more.”
ENDS
For further information please call ASH Scotland on 0131 225 4725 or 0777 614 2299
Notes to editor
(1) Jha, P. Jha, P. and Chaloupka, F. Curbing the epidemic: governments and the economics of tobacco control. [online] Washington, D.C.: The World Bank, 1999. Available from: http://www1.worldbank.org/tobacco/reports.htm [accessed 21 March 2007]