UK Government Considers Reducing VAT on E-cigarettes

Oct.20.2022
UK Government Considers Reducing VAT on E-cigarettes
The UK plans to reduce the value-added tax for e-cigarettes to 5% due to evidence showing their effectiveness in helping people quit smoking.

The Local Government Association, representing councils in England and Wales, has stated that current laws only permit a 5% tax rate on "products designed to help people quit smoking". The UK government has indicated that, given existing scientific evidence showing that e-cigarettes can indeed assist with smoking cessation, it intends to lower the VAT on e-cigarette products to 5%.


David Fothergill, Chairman of the LGA Community Wellbeing Board, stated that there is growing evidence to support the use of e-cigarettes and other specialized forms of smoking cessation in helping people quit smoking. This reduces the risk of harmful diseases and deaths, as well as alleviating other pressures on healthcare services.


At the same time, in October of last year, the regulatory body for pharmaceutical and healthcare products announced that any approved electronic cigarette products would only be prescribed by doctors. "Whether it is the COVID-19 vaccine we have developed or the innovative public health measures we have implemented to reduce the risk of serious illnesses for people, this country remains a global leader in the healthcare field," said Health Secretary Sajid Javid.


Opening the door to NHS-approved e-cigarettes could potentially address the significant disparities in smoking rates nationwide and help people quit smoking in any location or circumstance, Javid said. He recently faced criticism for suggesting a ban on smoking outside of pubs and restaurants.


A recent survey has revealed that over a third of the public support the provision of e-cigarettes on the NHS. The survey by GoSmokeFree.co.uk questioned 1,200 respondents in order to gauge their opinions on this development. Considering the smoking cessation potential of these products, 35% of people approve of them being available on prescription. With regards to the risks associated with conventional tobacco cigarettes, a further 38% of people stated that they believe smoking should be banned altogether, whilst 45% feel that local anti-smoking laws are not strict enough.


Statement:


This article is compiled from third-party information and is provided only for industry exchange and learning purposes.


This article does not represent the views of 2FIRSTS and we are unable to confirm the authenticity and accuracy of the content. The translation of this article is solely for industry exchange and research purposes.


Due to limitations in translation ability, the accuracy of the translated article may differ slightly from the original version. Please refer to the original article for precise wording.


2FIRSTS maintains complete alignment with the Chinese government regarding any domestic, Hong Kong, Macau, Taiwan, or foreign-related statements and positions.


The copyright of compiled information belongs to the original media and author. If there is any infringement, please contact us to request removal.


This document has been generated through artificial intelligence translation and is provided solely for the purposes of industry discourse and learning. Please note that the intellectual property rights of the content belong to the original media source or author. Owing to certain limitations in the translation process, there may be discrepancies between the translated text and the original content. We recommend referring to the original source for complete accuracy. In case of any inaccuracies, we invite you to reach out to us with corrections. If you believe any content has infringed upon your rights, please contact us immediately for its removal.

Rosstandart: packaging and design requirements for vapes to be tightened in early 2026
Rosstandart: packaging and design requirements for vapes to be tightened in early 2026
Rosstandart head Anton Shalaev told TASS that Russia will tighten requirements for the packaging and design of vapes and other electronic nicotine delivery systems in early 2026.
Jan.12 by 2FIRSTS.ai
South Korea online purchasing fuels spread among younger groups; online drug cases share climbs
South Korea online purchasing fuels spread among younger groups; online drug cases share climbs
Police said detections of new drugs disguised as e-cigarettes reached 1,206 cases through September last year, up from 941 in 2022, and the number of detected drug types increased from 26 to 33 over the same period.
Feb.11 by 2FIRSTS.ai
India Tobacco Board urges Finance Minister Nirmala Sitharaman to revisit cigarette duty hike
India Tobacco Board urges Finance Minister Nirmala Sitharaman to revisit cigarette duty hike
The Tobacco Board, under the administrative control of India’s Department of Commerce, has written to Finance Minister Nirmala Sitharaman (Nirmala Sitharaman) flagging the adverse impact of an “unprecedented” increase in cigarette excise duties on the industry and on millions of farmers and workers, and urging a revision of duty rates.
Feb.11 by 2FIRSTS.ai
BAT CEO Says 2026 Return to Growth Hinges on U.S. Enforcement, Highlights Oral Leadership
BAT CEO Says 2026 Return to Growth Hinges on U.S. Enforcement, Highlights Oral Leadership
British American Tobacco said 2026 will mark a return to its mid-term growth algorithm, but CEO Tadeu Marroco stressed that deliverywill depend heavily on enforcement against illicit vapour products in the United States. Speaking at the FY2025 results call, he positioned Modern Oral as the company’s primary structural growth engine, reframed accelerating cigarette declines through “poly-usage,” and reinforced capital discipline with an expanded share buyback plan.
Feb.12
China to Cancel VAT Export Rebates on E-Cigarette Products from April 1, 2026
China to Cancel VAT Export Rebates on E-Cigarette Products from April 1, 2026
China’s Ministry of Finance and State Taxation Administration have announced adjustments to export tax rebate policies, placing nicotine-containing non-combustible inhalation products within the scope of items subject to rebate cancellation. The measures will take effect from April 1, 2026.
Regulations
Jan.10
Imperial Brands Forms Global AI Partnership with Capgemini, Reinforcing Artificial Intelligence as Core Infrastructure in the Nicotine Industry
Imperial Brands Forms Global AI Partnership with Capgemini, Reinforcing Artificial Intelligence as Core Infrastructure in the Nicotine Industry
Industry Insight
Feb.19