MPs Left in Dark over Costs of Tobacco Display Ban


11 Oct 2009
 

ACS has criticised Ministers for failing to provide MPs with the full details of its proposed ban on tobacco display before the crucial vote taking place in Parliament on 12th October.

ACS Chief Executive James Lowman said: “The Minister committed to Parliament that it would have chance to understand the regulations that underpin the display ban before MPs are asked to vote. In failing to do this MP’s have been denied the chance to obtain a clear picture of what the regulatory burden on retailers will be, this lack of transparency is yet another reason why MPs should vote against the measure.”

MPs are asked to vote on clause 20 and 21 of the Health Bill. The clause makes it possible for the Secretary of State for Health to impose a display ban on retailers; it does not provide details of the regulations that will be imposed on retailers to ensure compliance.

Mr Lowman continued: “MPs will be unable to form a judgement on the cost of new equipment, store refits or the impact on staff, serving times and security. ACS has made a detailed case to the Department of Health that these costs are likely to be substantial.

“The Tobacco Display Ban is a policy gimmick that will impose costs and disruption on retailers. The evidence that this will actually stop young people smoking just isn’t there.”

 

 


Contacts:

Shane Brennan Public Affairs Director
01252 515001/ 07921 372978


Nina Collins Communications Coordinator
01252 515001

 

 


Notes to Editors:

1. ACS (Association of Convenience Stores) is the voice of local shops, representing over 33,500 convenience stores. ACS helps local shops thrive through lobbying, support and networking opportunities.
2. The Health Bill clause 20-21 will be subject to a vote in Report Stage on the 12th October 2009.

3. Extract from Gillian Merron letter to MPs on 21 July 2009: “In addition the public consultation on the draft regulations for both removing tobacco displays and restricting the sale of tobacco from vending machines will be published during the summer recess with accompanying impact assessments. This will provide further information on the Government’s intention on the regulation and help to inform the debate on the Bill at Report and Third Reading.”

4. Estimated Retailer Costs - Extract from ACS briefing circulated to MPS possible costs as follows:

A display ban will prove extremely costly to businesses.

• In the Government’s RIA published 16/01/09 that accompanies this Bill, it states that the average cost per store for compliance with the display ban will be £1000
• ACS has undertaken extensive research looking at other markets and amongst retailers trading in the UK that have looked at compliance burdens and we estimate that the cost per store will be a minimum of £1850 per store and is very likely to be closer to £5000.
• The RIA published alongside the Scottish Government’s similar proposals estimates the cost to be between £1400 for small stores, £10,000 for mid range and £15,000 for large stores.

5. Flaws in Evidence for a Display Ban - Extract from ACS briefing circulated to MPS possible costs as follows:

The stated intention of a display ban is to reduce youth smoking. There is no conclusive evidence to suggest this:

• In Iceland though smoking rates has declined, this has been after a programme of tobacco control which extends far beyond prohibiting displays. Indeed academics have identified the in-depth work done at community level as the most crucial aspect in declining smoking rates

• In Canada there is no link between the implementation of a ban and reduction in youth smoking. The States with the longest running bans, Saskatchewan and Manitoba, have both seen increases in youth smoking and Ontario with the best reductions achieved these before bringing in a ban.

• The New Zealand Prime Minister John Key has recently rejected the introduction of a Display Ban because his Government did not find conclusive evidence that this is the most effective strategy for combating youth smoking. The Government recognised there are more effective ways to tackle youth smoking.