A potentially lucrative deal to put 'e-cigarette' adverts on Newcastle's taxis has been shunned by the council on health grounds.
ChronicleLive understands dozens of taxis would have been covered in adverts in a deal which would have given the council - which has to save millions of pounds - a cash injection.
Vaping campaigners have criticised the move, while the council says the decision was made with children's health in mind.
"The Licensing Authority rejected requests to advertise e-cigarette products on licensed vehicles on public health grounds," said a Newcastle City Council spokesperson.
“While we support the harm reduction of moving from smoking to vaping, the primary reason for denying this request was to discourage the adoption of vaping by non-smokers and, in particular, children and young people."
Smoking is linked to over 5,000 early deaths a year in the North East, with the habit costing the region over £600m.
But there are fewer cigarette smokers than ever, with the rise of vaping and e-cigarettes partially attributed.
Anti-smoking organisation, Action on Smoking and Health, said it supported vaping as a quitting aid.
"It is much less harmful than smoking," said a spokesperson.
By 2020, Newcastle City Council's budget will have been cut by £327m over the last decade.
It is understood the council spurned the proposals at an early stage following a tentative enquiry from the prospective advertiser.
However, there was recently an advert on a phone box at the Life Science Centre for £1 bottles of 'premium e-liquid'.
A council spokesperson added: "We are also currently working with our bus shelter contractor to implement new arrangements for advertising at bus shelters in line with our own advertising policy which excludes the promoting or advertising of tobacco products.”
Ben Timberley, board member of the UK Vaping Industry Association and Marketing manager at Zeus Juice, accused the council of sending "mixed messages".
He said: "It’s incredibly disappointing to see Newcastle City Council gold-plating rules in this way, especially when vaping is one of the best ways to address the higher than average smoking rates in Newcastle and the surrounding areas.
"By taking unilateral action like this to ban adverts that are perfectly legal they are ironically sending mixed messages to smokers and may put them off making the switch to vaping, which is at least 95% less harmful than smoking and three times more likely to help you quit smoking.”
