NewsNew Zealand reverses course: smoking ban canceled for tax cuts

New Zealand reverses course: smoking ban canceled for tax cuts

Wellington
Wellington
Images source: © Getty Images | 2020 Lynn Grieveson - Newsroom
ed. MUP

9:01 PM EST, November 27, 2023

The newly elected government of New Zealand has announced plans to scrap the proposed smoking ban, a decision driven by the intent to offset tax cuts. The legislation seeking to make the sale of cigarettes to any person born after 2009 illegal, was introduced under the leadership of previous Prime Minister Jacinda Ardern and was set to take effect next year.

In 2022, a unique regulation took effect in New Zealand that steadily increased the age limit for smoking, with the main goal of prohibiting cigarette sales to individuals born after January 2009. The law sought to prevent thousands of smoking-related deaths and save the healthcare system billions.

The new government, however, intends to scrap this groundbreaking ban aimed at ensuring future generations are smoke-free. Proceeds from the sale of cigarettes will fund the proposed tax cuts. This reversal is predicted by public health officials to cost thousands of lives and carry disastrous consequences for New Zealand citizens.

The original regulations were slated to commence in July 2024. Yet, as part of the coalition agreement with the New Zealand First National party, the new government has agreed to repeal these measures. This includes the removal of requirements for denicotinization, the lifting of restrictions on retail outlets' numbers, and abolishing the ban on production.

The new Minister of Finance, Nicola Willis, announced on Saturday that the respective measures would be abolished before March 2024. Proceeds from cigarette sales will be used to fund tax cuts.

The pre-election fiscal update from the Treasury suggested that a reduction in the number of outlets selling tobacco products and the scope of restrictions significantly affects crown revenues, Willis informed Newshub Nation.

New Prime Minister Christopher Luxon defended the rollback, arguing it would help avoid the emergence of an illicit market for tobacco products and prevent stores from becoming crime targets.

"Concentrating the distribution of cigarettes in one store in one small town is going to be a massive magnet for crime," Luxon said in an interview with Radio New Zealand.

Health experts warn that this decision to abandon plans to ban the sale of tobacco products to future generations could cost thousands of lives.

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