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retailers against smuggling
Retailers Against Smuggling aims to raise awareness about the issue of tobacco smuggling and the adverse effect it has on small businesses.
The results of our 2007 survey underline the serious problem of tobacco smuggling and the detrimental effect it is having on our nation’s independent shopkeepers. The main findings include:
> 1 in 5 independent retailers are considering closing their business as a result of the effects of tobacco smuggling on their sales
> 33% have considered reducing staff
> 67% of retailers know that illegal tobacco products are for sale in their area
>70% state the way to solve the smuggling situation is to reduce or freeze taxes
The UK Government’s high tobacco tax regime has resulted in the ready availability of smuggled tobacco products and the increasing prevalence of counterfeit cigarettes. The impact of smuggling threatens to ruin the livelihoods of independent retailers and destroy Britain’s network of corner shops, a key part of our national way of life. This is particularly important for children, the elderly and those without their own transport who depend on the service provided by their local shop.
Sellers of smuggled and counterfeit tobacco do not care to whom they sell their goods. Children have easier access to tobacco on the black market than from legitimate retailers who demand proof of age. Until the black market in tobacco is eradicated, there will continue to be an unregulated source of tobacco products which are accessible by children.
Smuggled and counterfeit cigarettes are brought into the UK and sold by criminal gangs who exploit the UK's high tobacco taxation to make an easy profit. The money made from sales of illegal tobacco often funds serious organised crime, such as people trafficking and terrorism.
Counterfeit tobacco is becoming increasingly prevalent, with criminals taking care to ensure their product looks exactly like the genuine brands, even fooling customers into believing they have bought non-UK duty paid tobacco by printing health warnings in different languages. In reality, counterfeit products are made in unregulated factories in China where no guarantees can be made on the quality of production or even the ingredients used.
The Government must act now by bringing UK tobacco tax into line with the rest of Europe. This would reduce the incentive to smuggle, restore law and order in communities, safeguard the livelihoods of legitimate retailers and reduce youth access to illegal tobacco products. Retailers Against Smuggling would also like to see increased enforcement against this type of criminality, and tougher sentences for those caught selling non-UK duty paid and counterfeit tobacco.





