Health campaigners supported a surprise announcement by the Treasury to launch a consultation on a potential levy on the tobacco industry.
George Osborne did not mention the consultation during his speech to MPs but, in documents released alongside the autumn statement, the Treasury said: “Smoking imposes costs on society, and the government believes it is therefore fair to ask the tobacco industry to make a greater contribution. The government will shortly launch a consultation on introducing a levy on tobacco manufacturers and importers.”
No further details were released.
Ed Miliband had outlined an idea during the Labour party conference in the autumn for a tax on tobacco companies that he said would be used for the NHS.
Deborah Arnott, chief executive of the health charity Ash, said: “For months, Ash has been calling on all the main political parties to include a pledge for a levy on the tobacco industry in their party manifestos.
“It’s almost like Christmas come early to have the government launch a consultation on how to make the tobacco industry pay for the damage it does.”
She urged the government to press ahead with standardised packaging for cigarettes as well. The charity estimated that a levy of 1p per cigarette could raise £354m.
