Push for higher tax on smokes
Source: Agencies |
March 7, 2010, Sunday
|
Print Edition
Print Edition
RAISING tobacco taxes by 5 percent above inflation in Britain would help 190,000 smokers to kick the habit and save the health system over 20 million pounds (US$30 million) a year, campaigners said yesterday.
A report by an independent economist for the anti-smoking group ASH said tax hikes would also cut smoking-related absence from work, saving 10 million pounds a year, and boost annual government tax revenues by more than 500 million pounds.
"An above-inflation rise in the price of tobacco is good for the health of the individual as well as for the health of the country," said Howard Reed, the economist who wrote the report.
The findings prompted ASH and 49 other health groups, including the British Heart Foundation and Cancer Research UK, to urge Prime Minister Gordon Brown to raise tobacco prices by 5 percent above inflation in the upcoming budget, and by at least the rate of inflation in the following three years.
Brown is expected to outline his government's tax and spending plans later this month in a budget that will be the last for his government before an election expected in May.
Tobacco is already subject to high levels of tax in many countries, including Britain, where tax accounts for more than 75 percent of the retail cost of a typical packet of cigarettes. A pack of 20 cigarettes costs around 6.20 pounds.
Smoking kills more than five million people a year, and the World Health Organization wants governments to introduce stricter anti-smoking policies.
A report by an independent economist for the anti-smoking group ASH said tax hikes would also cut smoking-related absence from work, saving 10 million pounds a year, and boost annual government tax revenues by more than 500 million pounds.
"An above-inflation rise in the price of tobacco is good for the health of the individual as well as for the health of the country," said Howard Reed, the economist who wrote the report.
The findings prompted ASH and 49 other health groups, including the British Heart Foundation and Cancer Research UK, to urge Prime Minister Gordon Brown to raise tobacco prices by 5 percent above inflation in the upcoming budget, and by at least the rate of inflation in the following three years.
Brown is expected to outline his government's tax and spending plans later this month in a budget that will be the last for his government before an election expected in May.
Tobacco is already subject to high levels of tax in many countries, including Britain, where tax accounts for more than 75 percent of the retail cost of a typical packet of cigarettes. A pack of 20 cigarettes costs around 6.20 pounds.
Smoking kills more than five million people a year, and the World Health Organization wants governments to introduce stricter anti-smoking policies.
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