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Manchester Evening News
Manchester Evening News
World
Kieran Isgin

Pack of cigarettes rises to £13.60 as Chancellor hikes tobacco tax

Chancellor of the Exchequer Rishi Sunak has confirmed that the price of a pack of cigarettes will be increasing today from 6pm.

The price hike comes as part of the spring Budget announced back in March.

Duty rates on tobacco products will increase by the rate of RPI inflation plus two per cent.

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Meanwhile, the rate on hand-rolling tobacco will increase by RPI inflation plus six per cent.

Simon Clark, director at smokers' group Forest, said: "The government must stop weaponising tax in the war on smoking.

"The majority of smokers come from poorer backgrounds.

"Many have suffered financially as a result of the pandemic and should not have to face yet another increase in the cost of tobacco at a time when they can least afford it."

Currently, RPI is sitting at 4.9 per cent which means cigarettes will go up by 6.9 per cent and rolling tobacco by 10.9 per cent.

This means a pack of cigarettes that currently cost £12.73 will go up by £13.60.

Smokers will be forced to spend more on a pack of cigarettes (Cameron Spencer/Getty Images)

The Mirror reported that the cheapest pack of fags will go up by 61p - from £8.80 to £9.41.

Meanwhile, a 30g bag of tobacco will increase by £1.70 - from £15.60 to £17.30.

While consumers don't directly pay the bill, the price increase tends to be seen when buying.

Tobacco duty serves to encourage people to quit smoking while raising cash for the government.

This is the first time in 2021 that the price of cigarettes and tobacco has been increased.

Meanwhile, in 2020, the cost of fags was increased twice.

The first rise came in the March Budget when tobacco duty was raised by an extra two per cent above the ongoing inflation rate.

Chancellor Rishi Sunak set out the Budget last March (UK Parliament/Jessica Taylor/PA Wire)

A spokesperson from the Tobacco Manufacturers Association said: "The UK Government's own figures show that tobacco smuggling has now cost over £48 billion in lost taxes since 2000.

"Today's duty increases will only incentivise criminals as the price gap between legitimate and illegal products grows even wider.

"It is vital that HMRC continues to combat the sale of illegal tobacco products."

The announcement from the Chancellor comes after menthol and flavoured cigarettes were banned last year.

Menthol cigarettes, skinny cigarettes and flavoured rolling tobacco were banned in May when the new laws came into force.

Campaign group ASH has called for a while for more to be done to reduce people being able to afford to smoke easily.

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