The Times reports that an undercover study by Japan International Tobacco has revealed one in eight retailers in London is selling illegal tobacco products. As anti-smoking laws are further strengthened, more people are likely to turn to illegal tobacco products, according to the study. Read More
An obvious correlation exists between the highest levels of illegal and non-domestic consumption (e.g. France, UK, Ireland, Poland and Finland) and the highest taxation rates applied to fine-cut toconsbacco, in comparison with cigarettes. The figures clearly show that any alignment of tobacco taxation, regardless of the products’ specificities, will prevent fine-cut tobacco from fulfilling its buffer function, leading to increased illegal trade of cigarettes and driving down government revenues.
Read more about the relationship between tax and illegal trade