AT 961

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NEWS

4 ASIAN TRADER 4 APRIL 2025

The old-fashioned big trolley

shop is popular again as Brits

return to the ofce, resuming

their pre-Covid lifestyles.

“People are back in the ofce

much more, so people are short

of time again … and that’s one of

the reasons why we’re seeing

this resurgence [in] the big

weekly trolley shop,” Simon

Roberts, Sainsbury CEO, told The

Times.

“If you can go to one store and

be certain you can get Monday

night’s tea for the family for

under £5 and something [nicer]

for the weekend … more and

more customers are making a

decision to do that.”

Under Roberts, who is closing

in on five years in the top job,

Sainsbury’s has refocused on

food and, he argues, is now

reaping the benefits. Since he

took over, Sainsbury’s has

increased its market share from

14.9% to 15.7%.

“Five years ago, we couldn’t

fill up our supermarkets, our

costs were high, volumes were

going backward and we were

losing market share.”

Big trolley shop resurges as

Brits return to ofce

Up in smoke

ith the Tobacco and Vapes Bill fast approaching,

the Institute for Economic Afairs (IEA) has

released some breathtaking numbers outlining

illicit tobacco sales in the UK.

They are figures that throw into stark relief the backward-

ness and bankruptcy of successive governments’ eforts to

curb smoking and raise revenue through taxes on tobacco.

They reveal just how dangerously close the legal market for

tobacco – and vapes – is to collapse, with the illicit sector fast

outpacing legitimate sales, and tax revenues vanishing even

as the number of smokers has barely fallen.

The IEA’s Dr Christopher Snowdon revealed that legal

tobacco sales have plummeted since 2021 despite the number

of smokers dropping by less than 1%. At the same time, the

exchequer’s tax take from tobacco has inevitably fallen, too.

To be exact, the number of duty-paid cigarettes sold fell

from 23.6 billion in 2021 to 13.2 billion in 2024, a decline of

44.4%, says Snowden: “In the same period, sales of duty-paid

hand-rolling tobacco (HRT) have dropped from 8.6 million

kilograms to 4.5 million kilograms, a decline of 47.6%.

Overall, the number of cigarettes bought on the legal market

fell by 45.5% between 2021 and 2024.”

This is catastrophic in more ways than one. Not only is the

illegal market, dominated by criminal gangs, fast taking over

an entire industry, but a massive amount of funding is being

lost because no duty is being paid. Most of all, however, the

livelihoods of producers and retailers are being placed at risk,

not to mention the safety of smokers, subjecting themselves

to goodness-knows what poisons and impurities that lurk in

their illicit purchases – from rat droppings to asbestos, afrms

PML’s new head of prevention of illicit sales, Catherine Goger.

The method UK governments have used to deal with

smoking and health has for decades been lazily and compla-

cently to impose punitive tax rises on tobacco products. They

know full well that as an addictive substance its demand is

inelastic, and smokers (disproportionately poorer people)

will simply have to ofer up more of their incomes to satisfy

their habit rather than quit. But there comes a time at which –

as Snowden points out – the welcome tax revenues will begin

to decline. It is plotted on a graph called the Lafer Curve,

where, when the level of tax becomes too high, people stop

paying it ...

If demand remains the same, it means that smuggled or

counterfeit produce is replacing legitimate goods people now

refuse to buy, which has been for quite some time now the

position with cigarettes. We reported in our last issue that

hand-rolling tobacco is now more expensive than silver. That

sends normally law-abiding people to the shady side of the

market.

This sort of greedy, narrow-minded legislation merely

cultivates criminality and destroys economic prosperity.

Encouraging the use of vapes was the perfect way to wean

smokers of tobacco, if the government was truly interested

in health rather than tax revenue. But now they have decided

to tax vapes punitively as well. Draw your own conclusions.

Smoking rates in parts of

England have increased for the

first time in nearly two decades

according to new research.

Industry experts suspect

misinformation around vapes

and impending regulation on

flavours are pushing vape users

back to smoking cigarettes.

While smoking rates have

decreased since 2006, the rate

of decline has flatlined from

2020, and in some areas of the

UK smoking rates are increas-

ing again.

Researchers Haypp, looked

into vapers’ perception of

harm across a range of nicotine

products, highlighting a

serious lack of awareness when

it comes to which products are

more harmful than others,

potentially contributing to

this rise in cigarette use.

The survey showed

consumers did not see a

significant diference in harm

levels between cigarettes,

vapes, and nicotine pouches.

In fact, respondents

believed that the three

products were similarly

harmful, rating all three as

being between 4.5 to 6 out of

10, on a scale from not harmful

to very harmful.

This is a shocking statistic

given that there is a substantial

body of evidence, including

NHS research, that proves that

cigarettes are much more

harmful than vapes and

nicotine pouches.

20% of current vape users

would return to smoking

cigarettes if vapes were no

longer available to them, 37%

would return to smoking

cigarettes if vape flavours were

banned, and 10% if the dispos-

able vape ban in June comes

into force

Markus Lindblad, Nicotine

Expert and Head of External

Afairs at Haypp, said, “Indus-

try experts have been con-

cerned about [these trends] for

some time now.”

Ex-smokers return to tobacco amid misinformation

Vapers start to quit

Vapers start to quit

vaping for cigarettes

vaping for cigarettes

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