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** 8 April 2025
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** UK
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** British American Tobacco faces long-term risks despite high dividend yield (#1)
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** New local initiatives in West Berkshire (#2)
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** Debate in Bradford over continued funding for smoking cessation programmes (#3)
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** Illegal tobacco and vapes seized in Burnley operation (#4)
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** International
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** Spain increases cigarette prices (#5)
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** UK
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** British American Tobacco faces long-term risks despite high dividend yield

British American Tobacco (BAT) offers a dividend yield of 7.1%, much higher than the broader market average. However, the company faces a long-term challenge with declining cigarette sales, particularly in its key U.S. market. Despite price hikes offsetting the drop in volumes, the persistent reduction in cigarette demand is a significant issue for the tobacco manufacturer.

In 2024, BAT saw a 5% decline in cigarette volume, and the U.S. division, in particular, is struggling, with volume dropping by 10.1%. BAT's international presence mitigates some of this impact, but if this downturn spreads to other countries, it could jeopardise the company’s high dividend. Investors have been advised to be cautious and to watch evolving trends, especially in the U.S. market, where smoking cessation and regulatory successes are driving down the profit in tobacco.

Source: The Motley Fool, 6 April 2025
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** New local initiatives in West Berkshire

In West Berkshire, authorities are running local initiatives to address youth vaping and prepare for upcoming regulations on vapes, including the ban on disposable vapes. Local bodies such as the Public Protection Partnership (PPP), which oversees trading standards, have noted a recent rise in illegal vape seizures and raised concerns about non-compliant products entering the market. A survey conducted by the PPP found that nearly a quarter of local secondary school students vape daily. To tackle this, local health services are launching targeted campaigns, holding awareness sessions in schools, and offering support through smoking cessation services. Collaborative efforts from schools, housing organisations, and GP surgeries are also part of a wider initiative to reduce vaping and smoking among the region's youth.

Source: Newbury Today, 7 April 2025

See also: West Berkshire – Summary of Public Health Team Activity Regarding Vaping and Smoking ([link removed]. Appendix A - Tobacco and Vaping.pdf) | ASH - Use of vapes (e-cigarettes) among young people in Great Britain ([link removed])
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** Debate in Bradford over continued funding for smoking cessation programmes

A recent council meeting in Bradford has sparked debate over whether the current level of public funding for smoking cessation remains justified, given declining smoking rates. Although smoking continues to be the leading cause of preventable illness and death in the area—with 17.1% of residents over 15 still smoking—some councillors questioned whether further investment offers diminishing returns. Critics argue that legislative measures and tobacco pricing have been more effective than local interventions, and that public money might be better directed toward other pressing health inequalities. Others maintain that smoking remains a major health challenge in Bradford, particularly in deprived areas, and insist that efforts to reduce it are still necessary.

Source: The Telegraph & Argus, 8 April 2025

See also: ASH - 10 high impact actions for local authorities and their partners ([link removed])
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** Illegal tobacco and vapes seized in Burnley operation

A recent operation in Burnley led to the seizure of illegal tobacco and vaping products worth £25,000. Lancashire Trading Standards, in collaboration with local police, confiscated 997 packs of cigarettes, 173 pouches of tobacco, and 523 vapes. The authorities warned that such illicit products can be hazardous to health, potentially containing harmful substances.

Source: BBC News, 7 April 2025
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** International
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** Spain increases cigarette prices

As of April 5, 2025, several popular cigarette brands in Spain saw a price increase, including Marlboro, Chesterfield, and Austin, with prices now ranging from €4.60 to over €9 per pack, depending on the brand and format. This hike in prices by the Spanish government follows similar increases on other tobacco products in recent weeks, pushing Spain’s prices closer to the European average, though they remain lower than in many other countries. The price changes also extend to cigars and pipe tobacco, with some brands now costing up to €35 for a 250g pouch. This rise is in line with broader EU health policies, although Spain still offers relatively affordable products compared to other European nations.

Source: EuroWeekly, 7 April 2025
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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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