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Prices and taxes

Research shows that high tobacco prices reduce tobacco use. In fact, price increases are the measure that has been measured to have the clearest effect on reducing consumption. Young people in particular are price-sensitive and smoke and snuff less if tobacco costs more. Article 6 of the International Tobacco Control Convention states that all countries that have ratified the convention should introduce taxes and set prices to reduce tobacco use.

This is what Sweden should do

Although Sweden ratified the Tobacco Control Convention in 2005, it does not live up to its guidelines in a number of areas. This is what Tobaksfakta believes Sweden should do:

  1. Raise the tobacco tax even more! The recent tax increases on tobacco are excellent measures, but the price of cigarettes, for example, is still far too low in Sweden. Compared to other EU countries, Sweden has medium-high taxes, and countries like Norway, the UK and Ireland are far ahead of us. The increases must be at least five percent above inflation each year. Read more about it here.
  1. Facilitate tax controls on various actors. For example, there must be systems that make it more difficult for manufacturers and importers to build up stocks before planned tax increases.
  2. Make the supervisory system even more efficient, for example by improving cooperation between the authorities involved, such as between the Swedish Tax Agency and the Swedish Customs Agency.
  3. Tighten the penalties for those who violate the system.

This is what other countries do

Australia is raising tobacco taxes by 12,5 percent each year from 2017 to 2020. By 2020, a pack of cigarettes is expected to cost nearly SEK 300. The UK is also planning significant increases in tobacco taxes, with a nearly 50 percent increase in cigarette prices by 2020.

Australia, New Zealand, Norway and the UK currently have the highest cigarette prices. In the UK and Norway, a pack of cigarettes costs up to 130 SEK.

Bosnia and Herzegovina is at the top in terms of tax as a percentage of the price; 86 percent, followed by Israel with 85 percent. The WHO recommendation is at least 70 percent.

Read more examples of tobacco prevention work in other countries in International Outlook.

Tips for politicians, public health officials, teachers and others who work in tobacco-related fields!

Knowing the link between tax levels, price increases and tobacco consumption is crucial for people to understand why tobacco must become more and more expensive. Many people are unaware that making tobacco more expensive is the most effective measure to reduce tobacco use in society, especially among vulnerable groups where smoking is also most prevalent.

Politicians and legislators therefore need to get better at emphasizing the reason for tax increases when they are implemented!

Everyone who works with supervision and combating violations of tobacco tax legislation should also have a good knowledge of this.

Spreading knowledge about why tobacco should be expensive is also an important task for everyone who works with tobacco prevention and with young people.

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