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New tax measures in Budget to impact vaping, smoking, and high-sugar drinks
In a move to support public health objectives, the Chancellor’s Budget has introduced tax increases for vaping products and tobacco, alongside a new review of sugar taxes on drinks. The vaping tax, set to begin in October 2026, will apply at a flat rate of £2.20 per 10ml of e-liquid, replacing previous proposals for a tiered tax based on nicotine content. Smoking taxes will see immediate above-inflation increases of 2% on tobacco and 10% for hand-rolled tobacco. This will be followed by an additional £2.20 increase per 100 cigarettes in October 2026 to “maintain the financial incentive to switch from tobacco to vaping". Additionally, a 1.7% reduction on draught beer duties aims to make pub drinking more accessible, while non-draught alcohol, including wines and spirits, will be subject to higher rates. Katherine Severi of the Institute of Alcohol Studies said the move was welcome, as there are “public health and economic reasons” to have people drinking in pubs rather than at home.
To encourage healthier options, the budget also confirmed that there would be an increase in the sugar tax, also known as the Soft Drinks Industry Levy. The Government also has their eye on milk-based drinks which are currently exempt from the levy, announcing there would be a review of this exemption.
Source: BBC, 30 October 2024
See also: ASH - Tax increases on tobacco and vape liquids welcomed by health charity | Alcohol Health Alliance - AHA commends decision to increase most alcohol duty
Editorial note: Media stories covering other harmful consumer products, such alcohol and unhealthy food and drink, are being included in ASH Daily News because policy change in these areas is indicative of the Government’s position on prevention and their attitudes to harm-causing industries. As tobacco smoking, alcohol, gambling and consumption of unhealthy food and drink all have powerful commercial determinants, there is a strong case to be made that these determinants should be tackled in a conjoined way.
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NHS to see funding rise, but uncertainty looms over future service levels
The Chancellor has announced a significant funding increase for NHS England, with the budget set to grow by 5% in real terms this year and over 3% in 2025-26. However, specific details remain unsettled, particularly around the costs of new pay awards and the recent increase in National Insurance contributions for employers, both of which could strain NHS resources over the next few years. A Treasury official noted that compensatory funding is planned for the public sector, but exact allocations are pending.
Budget provisions also cover commitments made by Labour, including £100 million for GP improvements and further funding to reduce waiting times, though no timeline is confirmed. Despite the uplift, some experts remain cautious. Siva Anandaciva from The King’s Fund commented that while the Budget marks a step towards stabilising NHS services, the funding may not be sufficient to deliver substantial improvements to patient care. Further details are expected in the next comprehensive spending review.
Source: Health Service Journal, 30 October 2024
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Experts warn of urgent need for global regulation to address public health crisis from gambling
A new report from the Lancet public health commission reveals that gambling’s rapid digital expansion, fuelled by sophisticated marketing and accessible mobile technology, has intensified its impact on global health, affecting millions more than once believed. The commission estimates that around 450 million people experience harm related to gambling, with approximately 80 million suffering from gambling disorder—a condition marked by compulsive betting that disrupts personal, social, and health outcomes.
Co-chair of the commission, Prof Heather Wardle from the University of Glasgow, highlights the profound shift in gambling dynamics, noting that large tech companies now leverage high-level marketing and design tactics to increase engagement and make gambling harder to stop. Gambling has evolved into a pervasive digital commodity, often targeting young and vulnerable audiences, including children, through widespread advertising and design features that mimic video game mechanics.
The report also emphasises that the harm from gambling isn’t evenly spread across populations, with young people and certain socio-economic groups at higher risk. Dr Kristiana Siste calls for urgent protections for young people, as early exposure to gambling can lead to severe, long-term issues. Meanwhile, Prof Malcolm Sparrow underscores the necessity of treating gambling as a public health crisis, recommending tighter regulation on a par with controls on tobacco and alcohol to address the escalating harm caused by this expanding global industry.
Source: The Guardian, 24 October 2024
See also: The Lancet Public Health – Commission on gambling
Editorial note: Media stories covering other harmful consumer products, such alcohol and unhealthy food and drink, are being included in ASH Daily News because policy change in these areas is indicative of the Government’s position on prevention and their attitudes to harm-causing industries. The previous Government announced that a statutory levy would be placed on gambling operators which would help fund and administer research, prevention and treatment to reduce gambling related harms. ASH has called for a similar levy to be placed on the tobacco industry. See here for further information.
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Written questions
Asked by Lee Anderson, Reform, Ashfield
To ask the Secretary of State for Health and Social Care, whether he plans to increase funding for NHS smoking cessation programmes for pregnant women.
Answered by Andrew Gwynne, Labour, Gorton and Denton, Minister for Prevention and Public Health
The Government is funding a broad package of measures to tackle the harm caused by smoking, including launching the National Smoke-free Pregnancy Incentives Scheme. The scheme can recruit pregnant smokers until 31 March 2025, who will be eligible to receive incentives until three months post-partum for becoming and remaining smoke-free, subject to confirmation via a carbon monoxide breath test. All decisions on funding beyond March 2025 remain subject to the Spending Review process.
Source: Hansard, 30 October 2024
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ASH Daily News is a digest of published news on smoking-related topics. ASH is not responsible for the content of external websites. ASH does not necessarily endorse the material contained in this bulletin.
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