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Do rising prices really stop people from smoking? Proposal: 25 euros a package

2024-06-05 10:01:53Lifestyle SHKRUAR NGA REDAKSIA VOX

Do rising prices really stop people from smoking? Proposal: 25 euros a package

A Committee of Social Affairs, part of the Senate of France, has published a report on how taxes can guide the French population towards a healthier lifestyle. Published last week, one of the main focuses of the publication is smoking – a habit linked to more than 73,000 avoidable deaths in France each year. To cope with this trend, the Committee suggested that the price of cigarettes should rise by 5% each year until 2040. If inflation is at 1.75%, this equates to an annual increase of 3.25%. Estimates suggest that the recommended tax increase could bring in around 14 billion euros a year for the French state.

If passed, the Senate proposal would mean a pack of cigarettes that now costs €12 would cost €25 in 2025 – a total more in line with costs seen in countries such as Australia and New Zealand. However, the price of cigarettes is already relatively high in France compared to its European neighbours. Citing the cheapest brand available, it cost around €8.95 to buy a pack of 20 cigarettes in France in 2020, according to the latest data from the WHO.

When adjusted for EU purchasing parity, this price was exceeded only in Ireland. If we include the UK, British and Northern Irish customers pay even more – with the cheapest 12-pack costing around £9.30. For premium cigarette brands, the ranking remained largely the same. UK customers saw the highest prices, followed by Ireland and then France. This new price increase could be the latest in a series of measures the French government has introduced to combat smoking.

In 2018, former health minister Agnès Buzyn announced a plan to gradually increase the price of a pack of cigarettes to 10 euros. Prior to this, France had imposed restrictions on smoking in public places and banned cigarette advertising – notably thanks to the Veil Law of 1976 and the Evin Law of 1991. According to the WHO, the increase in the price of cigarettes is “the measure of single most effective and cost-effective way to reduce tobacco use”. However, the percentage of people who smoke in France has stabilized in recent years.

OECD figures suggest that the proportion of daily smokers fell from 30% in 2000 to 25.5% in 2020. This 4.5% decline was lower than the change observed in other countries. The United Kingdom recorded a decrease of 12.5%, while Germany and Spain recorded decreases of 9.1% and 12.3% respectively. Some groups are also concerned about the effect of price increases on the contraband cigarette trade. Last year, nearly 503 tonnes of illegal tobacco were seized by French border police since December 1, according to government figures.


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