Earl Russell (LD)
My Lords, I will respond to this group of amendments concerning the proposed retail licence scheme for tobacco and nicotine products. We welcome the inclusion of a retail licensing scheme in this Bill. This is a significant and constructive addition to earlier versions. The proposal represents a major step forward in strengthening the regulation of tobacco and nicotine sales in the UK. It brings the sale of tobacco into line with established practice for alcohol. Tobacco, of course, remains the single most harmful product that is still readily available. It is the single biggest cause of preventable illness and early death in the United Kingdom. It therefore follows that the sale of these products should be subject to comparable regulatory oversight. Extending the oversight to vapes and other nicotine products will further assist trading standards in addressing non-compliant, unregistered and under-age sales. This combination of proportionate regulation and clear enforcement powers will help to protect both the public and responsible retailers from unscrupulous and illegal competition.
The principle underpinning this reform is simple: the right to sell products that carry health risks must come with clear responsibilities. We want a system that supports compliance, deters abuse and places public health at its heart. Amendment 21A, tabled by the noble Lord, Lord Kamall, and the noble Earl, Lord Howe, would ensure a minimum of a one-year gap between regulations being passed and coming into effect, allowing for a transition period. We entirely understand the wish to allow retailers, local authorities and other enforcement bodies adequate time to prepare for the new framework. Implementation must be orderly and practical. However, setting a fixed one-year time delay in primary legislation risks creating unnecessarily rigid constraints. Some elements of the scheme may be ready to begin earlier, while others might benefit from a longer period. The Government’s approach—to determine the precise timing through secondary legislation, informed by evidence gathered from those affected through consultation and negotiation—will ensure that that transition happens as smoothly and credibly as possible.
Turning to Amendments 23, 30, 43, 45, 114 and 115, I have listened carefully to the points made by the noble Earl, Lord Lindsay, regarding how existing specialist tobacconists should be treated within the new regime, including on transitional protection and possible exemptions. We acknowledge that the Government have already made some considerable steps in these areas, and we fully recognise the intention here: to try to give certainty to small specialist retailers who have operated responsibly and reasonably within the law for many years. However, these amendments would, in effect, enshrine grandfather rights in primary legislation, automatically conferring licences or permanent exemptions from any future limits on the number or distribution of these outlets throughout the United Kingdom and the devolved Administrations. That would effectively pre-empt the consultation process and remove discretion before any evidence has been gathered or assessed in any way.
It is important that all aspects of eligibility, transitional arrangements and the scope of any future caps or location-based controls are properly considered through consultation, considering not only the interests of existing traders but the wider objectives of public health, community protection and fair enforcement. Given that this applies to existing retailers, not new ones, it does seem that these points should be made within the consultation. We hope that the Minister intends to do that and is open and considerate to these small and normally very compliant retailers—a point that has been made several times. We imagine that the retail licensing scheme will differentiate between the different types of retailers; but given that all details have yet to be confirmed, these amendments feel premature to us.
Amendments 24 and 25 relate to national registers and a unified digital portal. Again, to us, it feels like these things will be necessary for any licensing scheme, and we therefore assume that these amendments are not necessary, but it would be helpful if the Minister could confirm that. On Amendments 31 and 44 and alcohol licences, we believe that this is already possible, but it would be useful if the Minister could confirm that.
I would like to pick up on one point that was made in the debate. It would be helpful if the Minister could say a word about how breaches made under one licence would be communicated and passed on to the people who are regulating the other licences, and how she feels these two licensing schemes would interact with each other, specifically where breaches have taken place.
The Parliamentary Under-Secretary of State, Department of Health and Social Care (Baroness Merron) (Lab)
My Lords, I am most grateful to noble Lords for their contributions to this debate, as well as the engagement they have been good enough to give their time to before Report.
Let me start with the amendments from the noble Earl, Lord Lindsay. The UK Government, Welsh Government and Northern Ireland Executive are carefully considering the design of the licensing scheme. A recent joint call for evidence asked detailed questions about implementation. This included specifically inviting feedback on whether applications for existing businesses should be treated differently from those for new businesses, and whether factors such as the location and density of retailers should have a role in granting licensing. I know, particularly from the debate today, that the question about existing businesses is a matter of concern to noble Lords.
We are aware that, under reforms to alcohol licensing through the Licensing Act, existing compliant businesses were indeed brought on to the new system, as noble Lords have referred to before, using grandfathering arrangements. I can assure noble Lords that we are considering this carefully alongside the feedback from our call for evidence, and we will invite further feedback when we consult on our proposals. However, the main point I would like to emphasise—a number of noble Lords have asked about this, and rightly so—is that, as I have said before, the Government do not wish to create a scheme which arbitrarily puts law-abiding retailers out of business. That is absolutely not the intent of this policy.
The noble Lord, Lord Johnson, the noble Earl, Lord Russell, and my noble friend Lord Mendelsohn, along with other noble Lords, raised questions about specialist tobacconists, which we have discussed, and rightly so, on a number of occasions. With regard to various regulations that we have spoken about, and on specialist tobacconists broadly, as the noble lord, Lord Johnson, acknowledged, I gave the assurances on day 1 of Report last week, and I hope they have been heard.
We want a scheme that is proportionate and fair, as I believe noble Lords do, particularly to the many existing businesses that operate responsibly—I emphasise that, because they deserve credit—but we also want to deter those who break the law, which was called for by the noble Lord, Lord Strathcarron. Again, feedback on our proposals will help us strike the right balance. While I cannot accept the noble Earl’s amendment, I hope I have provided some reassurance that we are considering the details of this scheme in a way that is sympathetic to his aims.
I am grateful to the noble Lord, Lord Udny-Lister, for tabling Amendments 24 and 25 and to the noble Lord, Lord Kamall, for tabling Amendment 21A. I am sympathetic to what noble Lords are seeking to achieve with these amendments. We agree with the need to introduce more rigour around who can sell these products and to minimise additional burdens on retailers and local authorities as far as possible. We also share the desire of the noble Lord, Lord Kamall, to ensure that retailers have enough time to prepare for the new licensing scheme. However, I believe these amendments are not needed as they are about how the scheme is implemented effectively. This is something we need to consider properly—the noble Earl, Lord Russell, referred to this—through consultation.
I can confirm to the noble Earl, Lord Howe, as I have before, that we are in regular contact with retail associations on implementation of the Bill, including the design of the future licensing scheme. This work will continue.
I know how strongly the noble Lord, Lord Lansley, feels about the point that he is raising. We have engaged with the UK’s main independent vaping bodies—the UK Vaping Industry Association and the Independent British Vape Trade Association—and that engagement will continue. We will continue to hear their considerations and those of their members, but ultimately our policy decisions on future regulations will be guided, as noble Lords are aware, by evidence to protect and improve public health. I appreciate the view of the noble Lord, Lord Lansley, which is different from the one that I am suggesting, but I hope he can be reassured about our engagement directly with those bodies because we feel that is the right thing to do.
I want again to reference our call for evidence, which asked about what support retailers and local authorities may require. It encouraged feedback on what works for existing licensing schemes. It also asked a specific question about how long is required to implement the scheme. These are all things rightly of concern to noble Lords in this group. The noble Earl, Lord Howe, raised a point about timings, how the timetable will go and including a lead-in time. We are considering these issues carefully and will reflect on the feedback that we have received before consulting on our proposals. The noble Earl, Lord Howe, understandably asked for an update on the feedback in the call for evidence. That is important because the feedback will, as the noble Earl knows, inform our proposals for consultation. I am not able today to provide the update that the noble Earl rightly seeks, not least because we are still considering the returns from the call for evidence, which closed at the end of last year. But I can say that in our view there is no need to introduce legislative requirements, as in these amendments, before consultation has taken place. The noble Earl, Lord Russell, made a point about the amendments being somewhat premature, but I know they have the best of intentions. The Government are fully committed to ensuring that there is fair and reasonable time for businesses to adapt to any new regulatory regime.
Turning to Amendments 31 and 44 from the noble Lord, Lord Udny-Lister, I am again sympathetic to what he is seeking to achieve. Where a business is found to have not complied with tobacco and vape legislation, it makes sense to bring into question whether that business is acting responsibly in relation to other products. However, any action that licensing authorities take against businesses should, as we would all expect, be justifiable and proportionate. A decision to suspend or revoke a business’s licence might have a significant impact on its livelihood and should not be taken lightly. Noble Lords have rightly made that point in this Chamber.
We are talking here about different products; it might not always be the case that non-compliance with one licensing scheme means that a business is non-compliant with another. It is important that licensing authorities take decisions with evidence of the business’s capability to sell specific products in line with the objectives of the respective licensing schemes. However, I agree that breaching a tobacco and vape licence may indeed be a useful signal for licensing authorities to more closely investigate a business’s compliance with their alcohol licence or vice versa; this is something that the noble Earl, Lord Russell, also asked about. Licensing authorities can and should use their judgment and knowledge of a business’s track record to inform the level of scrutiny that they apply. This includes, where there are concerns that a business is not complying with one scheme, carrying out additional checks to ensure compliance with other licences that it may hold and taking appropriate action where needed.
I hope that noble Lords have been reassured not only today but in the engagement that we have had prior to today, and that the noble Earl will feel able to withdraw the amendment.
Baroness Merron
Member’s explanatory statement
This removes combined authorities etc from the list of local authorities that can be licensing authorities (since where a county or district council is a licensing authority its functions can be given to a combined authority under other legislation).
Baroness Merron (Lab)
My Lords, the amendments in this group were tabled in my name for Committee but were not moved at the time. Government Amendments 67, 69 and 74 are also needed as part of these changes. However, as these amendments are also required for changes that the Government are introducing to the use of proceeds from fixed penalty notices, they will be debated as part of the next group.
At the moment, the Bill places responsibility on trading standards to enforce the future licensing scheme. However, the licensing authority for the scheme will be set out in regulations. The licensing authority may sit in a different tier of local government from trading standards and therefore, as the Bill is currently drafted, would not be able to enforce the scheme. Feedback from stakeholders has suggested that enforcement of the licensing scheme would be stronger and more seamless if those responsible for administering the scheme could also enforce it. These amendments will therefore ensure that whoever is designated as the licensing authority for the scheme will have the powers to do so. In any scenario, trading standards officers will still be able to enforce the scheme alongside the licensing authority. These amendments will help the licensing scheme achieve its aims of supporting legitimate businesses while tackling those who disregard the law, and, in doing so, will support public health.
I turn to government Amendments 144 and 145. Amendment 145 was tabled in my name in Committee but was not moved. It has now been necessary to also table Amendment 144, which is connected. These amendments seek to resolve an issue which has arisen during the passage of the Bill. The Product Regulation and Metrology Act 2025 repeals certain enforcement procedures and provisions in the Consumer Protection Act 1987. As currently drafted, Clause 103 empowers the Secretary of State to make regulations which rely on these provisions. Therefore, without amendment, there is a risk that we may not be able to confer the necessary powers on enforcement authorities.
Amendment 145 allows for the provision of equivalent powers to fully enforce regulations made under Part 5 without referring to the Consumer Protection Act. In doing so, it ensures that regulations made under Part 5 are fully enforceable. Amendment 144 allows for flexibility in the penalties that can be imposed by regulations under Part 5. This flexibility will enable regulations creating new offences to replace certain offences from the Consumer Protection Act and to provide for the lesser penalties associated with them. The amendment retains the maximum term of imprisonment that the Bill currently provides for as a safeguard.
Government Amendment 49 corrects a minor drafting error in the Bill; it does not reflect a change in policy. Finally, government Amendments 208 to 215 are consequential, as a result of changes made by the Legislation (Procedure, Publication and Repeals) (Wales) Act 2025. I hope that noble Lords will support these amendments.
Earl Russell (LD)
My Lords, I will respond to this group of minor and technical government amendments, which relate primarily to enforcement and regulation-making powers. I thank the Minister for her clear explanation of these technical and complex but necessary clarifications within the Bill. Briefly, our Benches appreciate the explanation given but we fully support what the Government are doing in these amendments and have no particular concerns with them. In the interest of time, I will avoid going into the detail, but we have no objection to any of these amendments.
Baroness Merron (Lab)
I will also be brief. I am grateful for the support of the noble Earl, Lord Russell. As I stated in my opening speech, these amendments serve to strengthen the overall enforcement of the Bill, as well as the processes for future regulation—something that I know is of concern to both Front Benches, as well as all noble Lords. For this reason, I beg to move the amendment.
Baroness Merron
Member’s explanatory statement
This amendment and my other amendments to clause 18 and Schedule 2 allow a licensing authority that is a district council but not a local weights and measures authority to impose financial penalties for breach of licensing conditions.
Baroness Merron
“(2) In this Schedule “relevant district council” has the meaning given by section 18(6).” Member’s explanatory statement
See the explanatory statement for my amendment to clause 18, page 10, line 29.
Baroness Merron
Member’s explanatory statement
This makes a change to ensure drafting consistency.
Baroness Merron
Member’s explanatory statement
My amendments to this clause, clauses 33 and 35 to 39, 44 and 47 and my new clauses inserted after clause 39 collectively ensure that the licensing provisions may be enforced in England concurrently by local weights and measures authorities and by district councils that are licensing authorities.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 32, page 17, line 27.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 32, page 17, line 27.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 32, page 17, line 27.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 32, page 17, line 27.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 32, page 17, line 27.
Baroness Merron
Member’s explanatory statement
This amendment, together with my amendment to clause 38, page 20, line 25, requires fixed penalties imposed in respect of licensing offences in England to be used as set out in clause 38(3) rather than being paid into the Consolidated Fund. The provision for Wales is moved to a new clause after clause 39.
Baroness Merron (Lab)
My Lords, in an earlier group I spoke about the importance of fixed penalty notices in the Bill, as they provide trading standards officers with an additional enforcement tool to bring retailers into compliance without taking up court resource. I have carefully considered the points raised by noble Lords in Committee about the proceeds of fixed penalty notices issued for licensing offences, including those made by the noble Baroness, Lady Walmsley.
I am therefore pleased to have tabled these government amendments because they will allow local authorities in England and Wales to retain all the proceeds from the £2,500 licensing fixed penalty notices for enforcement purposes, rather than having to return proceeds to the Consolidated Fund. That will enable local authorities to reinvest proceeds into strengthening the enforcement of tobacco and vape legislation—something that noble Lords have asked for.
In addition, we are investing up to £10 million of new funding in trading standards annually until 2028-29 to tackle the illicit and underage sale of tobacco and vapes, and to help to enforce the law. This funding is being used to boost the trading standards workforce by hiring 120 apprentices across England, and we will continue to provide funding to support the apprentices over the next three years as they complete their training.
Trading standards plays an essential role in ensuring compliance with tobacco and vape legislation. The enforcement provisions in the Bill, further strengthened by this amendment, will give them the tools they need to carry out that role. Proper enforcement of the law will protect the public from potential health harms and help to realise public health outcomes from policies in the Bill and other tobacco and vape legislation. For these reasons, I hope that noble Lords will feel able to support the government amendments in this group. I beg to move.
Baroness Walmsley (LD)
My Lords, I will speak to Amendments 66 and 68 in my name. These provide that the money collected by trading standards in small fines imposed by fixed penalty notices for offences other than those related to the licensing regulations should go towards smoking cessation services provided by the relevant local authority. The Liberal Democrats have been calling for this since the Bill was first introduced to Parliament.
Lord Kamall (Con)
My Lords, I was very happy to give way to my noble friend to allow him to heap more praise on to the Minister. Sometimes Government Ministers cannot always be assured of receiving praise from other Benches.
My noble friend Lord Howe and I welcome these government amendments and are grateful to the Minister and Department of Health and Social Care officials for reflecting constructively on our debate in Committee on fixed penalties.
On Amendments 66 and 68 in the name of the noble Baroness, Lady Walmsley, while I do not disagree with the sentiment, which is admirable—since in theory hypothecation of taxes, public fines and penalties would lead to more transparency on how taxpayers’ money is spent—there is also a strong argument in favour of more fiscal devolution to local authorities, and whether we should use legislation to tell local authorities what they should be doing with the funds they are responsible for. Nevertheless, I would be interested to hear the Minister’s reaction to those amendments, and I thank her and the Government once again for their amendments.
Baroness Merron (Lab)
My Lords, I am most grateful for the contributions to this debate. I can assure the noble Lord, Lord Kamall, that there are no limits to the amount of praise that can be received by Ministers on this Front Bench, and noble Lords should feel free, at any time, to heap praise. We will always be grateful.
I am grateful for the welcome from the noble Lord, Lord Lansley, the noble Baroness, Lady Walmsley—we are very pleased to see her back in her place in good health—and the noble Lord, Lord Kamall. On the noble Baroness’s Amendments 66 and 68, I have heard the call for, as she described, a broad approach. We recognise the importance of local smoking cessation services, which is the very reason we are investing an additional £260 million pounds over the next three years within the public health grant. This will mean that at least £150 million is ring-fenced for stop smoking services every year. The funding is protected, as the noble Baroness seeks, and cannot be used for other public health initiatives. It provides assurance and stability for these essential services.
In addition, we have extended the national smoke-free pregnancy incentive scheme for a further three years from 2026-27 to 2028-29, with funding worth up to £15 million—£5 million per annum. We are also committed to integrating opt-out smoking cessation services into routine care within all hospitals, as set out in the 10-year health plan.
I hope that this reassures the noble Baroness, Lady Walmsley, about how committed we are to providing support for smokers to quit without the need to fund services using proceeds from fixed penalty notices. Instead, as your Lordships’ House has heard, we believe that proceeds can be better used by local authorities on the enforcement of the Bill and other tobacco and vape legislation. It is important that local authorities are able to retain the proceeds to cover their costs in issuing fixed penalty notices and reinvest any remaining funds in enforcement. Strong enforcement of the measures in the Bill and other tobacco and vape legislation will help ensure that we deliver our ambition to achieve a smoke-free UK and to protect future generations from the risk of nicotine addiction. In other words, on the very important points that the noble Baroness is pursuing through her amendments, that ultimately is the best way of reducing smoking.
Government amendments 64, 65, 67, 69 and 74 will support this by allowing local authorities to retain all the proceeds from the £2,500 licensing offence fixed penalty notices as well as the £200 fixed penalty notices in the Bill, which goes further than noble Lords were originally requesting. With that, I hope that noble Lords will support these important amendments.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 38, page 20, line 17.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 32, page 17, line 27.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 32, page 17, line 27.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 32, page 17, line 27.
Baroness Merron
“Fixed penalty notices: Wales(1) A local weights and measures authority in Wales that has reason to believe that a person has committed an offence under, or under regulations made under, any of the following may give the person a fixed penalty notice in respect of the offence—section 1 (sale of tobacco etc to people born on or after 1 January 2009);section 2 (purchase of tobacco etc on behalf of others);section 6 (age of sale notice at point of sale: Wales);section 10 (sale of vaping or nicotine products to under 18s);section 11 (purchase of vaping or nicotine products on behalf of under 18s);section 14 (displays of products or prices in Wales);section 15 (free distribution and discount of products);section 20 (offences in connection with retail licences: Wales).(2) A fixed penalty notice is a notice offering a person the opportunity to discharge any liability to conviction for the offence to which the notice relates by payment of an amount specified in the notice within the relevant period. (3) The amount specified in a fixed penalty notice in respect of an offence under section 20 must be an amount equal to level 4 on the standard scale of fines for summary offences.(4) The amount specified in a fixed penalty notice in respect of any other offence must be £200.(5) For the purposes of this section “the relevant period” is the period of 28 days beginning with the day on which the fixed penalty notice is given.(6) A fixed penalty notice must explain—(a) that the local weights and measures authority has reason to believe that the person has committed the offence, and why,(b) the effect of subsection (7), and(c) when and how payment may be made.(7) Where a fixed penalty notice has been given to a person (and has not been withdrawn)—(a) no proceedings may be instituted for the offence before the end of the relevant period, and(b) the person may not be convicted of the offence if the person pays—(i) the full amount of the fixed penalty in the notice before the end of the relevant period, or(ii) 50% of that amount before the end of the period of 14 days beginning with the day on which the relevant period starts.(8) Where proceedings are instituted for the offence after the end of the relevant period, that period is to be disregarded for the purposes of calculating the period mentioned in section 127(1) of the Magistrates’ Court Act 1980.(9) A fixed penalty notice given under this section may be withdrawn by the local weights and measures authority that gave it at any time before a payment is made in pursuance of the notice.”Member’s explanatory statement
See the explanatory statement for my amendment to clause 32, page 17, line 27.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 32, page 17, line 27.
Baroness Merron
(a) a filter that does not form part of a tobacco product or herbal smoking product;Member’s explanatory statement
This amendment allows the Secretary of State to make regulations applying to filters any provision of Part 1 that applies to tobacco products.
Baroness Merron
““filter” means a filter that is intended to be used when smoking a tobacco product or herbal smoking product (including a filter that forms part of, or that is intended to be inserted into, an item such as a cigarette holder or pipe);” Member’s explanatory statement
This defines “filter” for the purposes of my amendments to clause 45.
Baroness Merron
““relevant enforcement authority in England” has the meaning given by section 32(1A);”Member’s explanatory statement
See the explanatory statement for my amendment to clause 32, page 17, line 27.
Baroness Merron (Lab)
My Lords, I am most grateful to noble Lords for their contributions to this debate, which have covered a number of important areas. I will start with Amendment 202, tabled by the noble Lord, Lord Young of Cookham, and Amendment 206, tabled by the noble Lord, Lord Lansley—it was also spoken to by a number of other noble Lords, including the noble Lord, Lord Rennard. As noble Lords are aware, there is already a duty on government to review most secondary legislation and to conduct post-legislative scrutiny of primary legislation, and we take these obligations very seriously. For Amendment 202 specifically, the point must be reiterated that this Government are committed to achieving a smoke-free UK, and we recognise that this work will absolutely not be over when this Bill receives Royal Assent.
However, I have listened carefully to the concerns raised by noble Lords, and it is for that reason that I have tabled Amendment 205, which introduces a requirement for the Secretary of State to review the operation of the Act within four to seven years of Royal Assent and to lay a report before Parliament concluding the findings of that review. I can assure the noble Lords, Lord Rennard and Lord Young, that this includes looking at the impact on communities where smoking rates are currently the highest. I hope that this is a clear demonstration of the Government’s commitment to monitoring progress against our smoke-free ambition.
The noble Lord, Lord Young, and others have said that this Bill is not about assisting people to quit. In the last group, noble Lords will recall, I addressed our determination, and laid out the resource that we have committed, to help people to quit smoking now, and that absolutely is a key aspect.
Amendment 205, which I tabled, will ensure that this Government and—I emphasise this—any future Administrations are held to account for conducting an evidence-based review of the Act. Our intent is to make the report within five years, in line with our existing obligations. However, the amendment is set out as it is—it provides the necessary flexibility on timing—because we want to ensure that evidence is in place before conclusions are drawn. We do not want this to be a tick-box exercise.
I can confirm to the noble Lord, Lord Lansley, and the noble Baroness, Lady Walmsley, that independent evidence will indeed be central. Most notably, it will include the living evidence map commissioned by the National Institute for Health and Care Research, which will collate UK-based and international evidence on vapes and nicotine products for the next five years. This will include things such as any published research evaluating the impact of the Bill, and regular summaries will be publicly available to outline emerging trends and evidence gaps. I am pleased to say that this tool was published on 18 February.
As the Bill’s impact assessment outlines, we would not, in all honesty—I know noble Lords understand this—expect to see the full, transformative impact of the Act for some time. It is for that reason that the impact assessment used a 30-year appraisal period for the smoke-free generation policy. Our modelling found that the Bill will save tens of thousands of lives over the next 50 years. None the less, we expect that this review will capture any early indicators and operational progress.
I say to the noble Baroness, Lady Fox, that there is no limit on consultation just to the devolved Governments because, as I set out on previous groups, we are keen and committed and have already set out how we will consult many. We will continue to commission a substantial package of high-quality independent research on what is world-leading legislation.
On Amendment 207 by the noble Baroness, Lady Fox, I appreciate her intention to ensure that the impact of the Act receives appropriate parliamentary scrutiny, as I hope she has heard me say throughout every stage of the Bill. As she is aware, the Government already published a thorough impact assessment of the measures in the Bill on its introduction. Where possible, this has covered estimated impacts on businesses across the tobacco and vapes supply chain, including impacts for manufacturers, importers, wholesalers, distributors and retailers.
For measures delivered through secondary legislation, in particular product standards, flavours and packaging, further detailed impact assessments will be undertaken. I have also spoken about government Amendment 205, which will include consideration of economic impacts where evidence allows. I must also emphasise that we will not prioritise the profits of businesses over protecting children from the risks of tobacco products, vaping and nicotine.
I say to the noble Lord, Lord Mawson, that there is no evidence to suggest that changing the age of sale of tobacco would have any relation to drug use. Indeed, we can look at our experience that, when the age of sale went from 16 to 18, drug use decreased.
I turn to Amendments 91, 120, 201 and 216, tabled by the noble Baroness, Lady Hoey, and supported by the noble Lord, Lord Dodds. I hope that these comments, in particular my opening remarks, will be helpful to the noble Earl, Lord Howe, because I will start with an update to your Lordships’ House on the notification of the Bill under the EU’s Technical Regulation Information System, known as TRIS. The UK Government have notified certain provisions in the Bill related to Northern Ireland on TRIS. This is an absolutely standard process; it is not an approval process. The Commission and member states may indeed comment, but they do not play a role in approving the UK’s legislation in respect of Northern Ireland.
It is the case, as noble Lords have said, that certain EU member states issued opinions setting out their concerns about the compatibility of the smoke-free generation policy with EU law. It is not unusual for member states to submit opinions on TRIS notifications. To give just one example, several member states also wrote to France recently when it proposed a ban on nicotine pouches, despite several other member states already having introduced such a ban.
The Government have provided a comprehensive response on the opinions they have received. The response sets out the strong public health justification for the policy and explains why the smoke free generation complies with EU law as it applies under the Windsor Framework. The Commission has also now responded, noting our response, and this concludes the TRIS process.
On the points raised by noble Lords including the noble Baroness, Lady Hoey, the noble Lord, Lord Dodds, and, in a different way, the noble Baroness, Lady Walmsley, about legal opinions, your Lordships are probably far more aware of this, but it is worth restating: legal opinions, to state what is obvious, can and do differ. I emphasise that it is not unusual for the tobacco industry to argue that government measures are incompatible with the law. My noble friend Lord Forbes spoke to this very point. Experience tells us that this has happened many times: to give but two examples, on the introduction of standardised packaging in 2016 and on the regulations made under the Tobacco Advertising and Promotion Act 2002.
Amendments 91, 120 and 216 are not required: the Government have already published their response to the Commission, setting out why measures drafted in the Bill which apply to Northern Ireland are compatible with obligations under the Windsor Framework and EU law. I referred earlier to the Government’s published response on TRIS, following detailed opinions from EU member states. I strongly urge all interested Peers to read this if they have not had the chance to do so already, because it sets out in detail why the Government believe that the smoke-free generation policy and other measures in the Bill are compatible with EU law. It covers the Bill’s compatibility with Articles 34 and 36 of the Treaty on the Functioning of the European Union and the EU tobacco products directive, and the public health justification for measures in the Bill.
Finally, I note that we cannot accept Amendment 201 as it could put us in breach of international law by undermining compliance with our obligations under the Windsor Framework. To this point, I am grateful to my noble friend Lady Ritchie for her observations. With that, I therefore ask the noble Baroness, Lady Hoey, to withdraw her amendment.
Baroness Hoey (Non-Afl)
My Lords, I thank the Minister. We had this discussion a few times in Committee. I tabled these amendments to make sure that all noble Lords are fully aware that no matter how much time we spend on the Bill, and whatever happens, it could end up in the EU ruling that it cannot apply to Northern Ireland. That is just a fact. There may be different legal opinions; I certainly have not relied on just the legal opinions of the tobacco industry. I am just disappointed as, once again, the noble and learned Lord the Attorney-General seems to be very quiet on this and does not want to engage or produce anything that shows us the legal opinion.
However, as has been said many times before, there is obviously agreement between the two Front Benches. Although I welcome the very sensible probing of this by the noble Earl, Lord Howe, there is clearly a consensus that the Bill is going to go through whatever because other Bills are probably more important. I therefore just warn noble Lords that we have been right before when we warned about legal opinion and what was happening in the Windsor Framework, and I think we will be right again. Having said that, I will withdraw my amendment.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 15.
Baroness Merron
“Alignment of definition of “filter” etc(1) Section 35 of the Tobacco and Primary Medical Services (Scotland) Act 2010 (asp 3) (interpretation of Part 1) is amended as follows.(2) In subsection (1), at the appropriate place insert—““filter” means a filter that is intended to be used when smoking a tobacco product or herbal smoking product (including a filter that forms part of, or that is intended to be inserted into, an item such as a cigarette holder or pipe);”.(3) In subsection (2), for “cigarette filters” substitute “filters that do not form part of a tobacco product or herbal smoking product”.(4) In subsection (3), after “order” insert “amend this section so as to”.”Member’s explanatory statement
This adds a definition of “filter” to section 35(1) of the 2010 Act, amends the definition of “smoking related product” so as to attract that new definition and adjusts the power to modify the latter definition to allow amendments that are not confined to the text of section 35(2).
Baroness Merron
“(b) if not falling within paragraph (a), a filter that does not form part of a tobacco product or herbal smoking product.(4) The Scottish Ministers may by regulations amend this Part for the purpose of extending to filters any provision made by sections 9A to 9C in relation to a relevant oral tobacco product.”Member’s explanatory statement
This amendment allows Part 1 of the 2010 Act to be amended so as to extend to filters provisions relating to tobacco products. It also allows the Scottish Ministers to ban the manufacture, sale or possession with intent to supply of filters.
Baroness Merron
Member’s explanatory statement
This amendment provides for regulations about age verification to be subject to approval by a resolution of the Northern Ireland Assembly.
Baroness Merron
Member’s explanatory statement
This amendment provides for regulations about age verification to be subject to approval by a resolution of the Northern Ireland Assembly.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 15.
Baroness Merron
““filter” means a filter that is intended to be used when smoking a tobacco product or herbal smoking product (including a filter that forms part of, or that is intended to be inserted into, an item such as a cigarette holder or pipe);”Member’s explanatory statement
This defines “filter” for the purposes of my amendments to clause 85(1).
Baroness Merron
(a) a filter that does not form part of a tobacco product or herbal smoking product;Member’s explanatory statement
This amendment allows the Department to make regulations applying to filters any provision of Part 2 of the Health and Personal Social Services (Northern Ireland) Order 1978 that applies to tobacco products.
Baroness Merron
““filter” means a filter that is intended to be used when smoking a tobacco product or herbal smoking product (including a filter that forms part of, or that is intended to be inserted into, an item such as a cigarette holder or pipe);”Member’s explanatory statement
This defines “filter” for the purposes of my amendments to clause 85(2).
Baroness Merron
“Extension of section 88 to filters(1) The Secretary of State may by regulations amend section 88 for the purpose of extending it to a relevant offence that involves possession of a filter with intent to supply it to another in the course of business.(2) In subsection (1)—“filter” means a filter that is intended to be used when smoking a tobacco product or herbal smoking product (including a filter that forms part of, or that is intended to be inserted into, an item such as a cigarette holder or pipe);“herbal smoking product” means a product consisting wholly or partly of vegetable matter and intended to be smoked but not containing tobacco;“relevant offence” means an offence created by virtue of regulations under—(a) section 45(1A),(b) section 34A(3A) of the Tobacco and Primary Medical Services Act 2010 (asp 3), or(c) Article 6B(1A) of the Health and Personal Social Services (Northern Ireland) Order 1978 (S.I. 1978/1907 (N.I. 26));“tobacco product” means a product consisting wholly or partly of tobacco and intended to be smoked, sniffed, sucked, chewed or consumed in any other way.(3) Regulations under this section are subject to the affirmative resolution procedure.”Member’s explanatory statement
This clause confers power to extend clause 88 to filters.
Baroness Merron
“(da) filters;” Member’s explanatory statement
This extends the power under the clause to filters.
Earl Howe (Con)
My Lords, I am sorry to disappoint the noble Baroness, Lady Walmsley, but, unless it is designed as a probing amendment, I fear I am not drawn to Amendment 123. In essence, it would tie the Government’s hands on the rules around the packaging and display of vapes. If the amendment were accepted, it would make any prior consultation and legal advice completely pointless. Measures of this depth and scope, mandating plain packaging for all vaping products and prohibiting point-of-sale display in all circumstances, would represent a major intervention in what is currently, and will certainly remain, a lawful market, and not only a lawful market but one that serves a significant therapeutic purpose in a public health context. The extent to which the powers in the Bill relating to the packaging and display of vapes need to be exercised must surely depend on decisions by Ministers following full and proper consultation with the businesses, manufacturers and retailers that would be directly affected.
Some regulation in these areas is almost certainly going to be necessary, particularly if we are to protect young people. However, regulation must be proportionate and evidence based. Vapes are not the same as tobacco, as the noble Baroness, Lady Fox, pointed out. For example, there needs to be scope for product differentiation by consumers. If consumers are denied choice, that will kill off any incentive on the part of manufacturers to pursue beneficial innovation. That consideration is important if we believe that vapes are likely to occupy an important place as a smoking cessation tool for adult smokers over the medium to long term.
On Amendments 125 and 134 from my noble friend Lord Moylan, notwithstanding the remarks of the noble Lord, Lord Darzi, I hope to hear the Minister make some positive comments. As my noble friend has argued, both today and in Committee, it is not just the flavour of a vape that gives it an appeal but the flavour that it purports to have, and we know that the flavour descriptor can affect the purchasing decisions of those inclined to use vapes as a recreational toy.
In relation to Amendment 136A, there are clearly a number of considerations that must be weighed carefully. On the one hand, higher-capacity devices may be important for some adult users who rely on vaping as a smoking cessation tool. For those individuals, practicality and product functionality can make a real difference in supporting a transition away from combustible tobacco. On the other hand, there remains a legitimate concern, which my noble friend rightly voiced, about whether larger-capacity devices could increase appeal to younger people or facilitate greater nicotine consumption, with implications for addiction.
I suggest that those are finely balanced issues. I look forward to hearing the Minister’s response on the evidence base underpinning the proposal and how the Government intend to strike the right balance.
Baroness Merron (Lab)
My Lords, I am grateful for the contributions in this debate. Amendment 123 was tabled by the noble Baroness, Lady Northover, and spoken to by the noble Baroness, Lady Walmsley. Clause 89, which I will refer to later as well, already gives the Secretary of State powers to regulate packaging, while Clause 13 already provides powers on display that can set requirements as to where products can be sold.
The noble Baroness, Lady Walmsley, asked about evidence. There is evidence that removing branding and standardising packaging reduces a product’s appeal to young people, as the noble Baroness alluded to, while having little impact on adults. However, I can say that we will consult on proposals before making regulations. The noble Earl, Lord Howe, has referred to this issue a number of times and I agree, because we are conscious of the need to ensure a balance between dissuading young people from taking this up while not dissuading adult smokers from quitting.
On the point about research, through the National Institute for Health and Care Research, we continue to fund high-quality research, including research on the packaging of vapes and nicotine products, and I am glad to say that that is due to conclude later this year. While I understand the intention of the noble Baroness, Lady Walmsley, to reduce the appeal and visibility of these products, and I acknowledge her concerns, her amendment does seek to set the requirements in the Bill. As the noble Earl, Lord Howe, referred to, we have a statutory duty and we would be wise to consult on these issues, because we need to ensure, as the noble Earl said, that any restrictions are proportionate and evidence based. However, I reassure the noble Baroness that these are areas on which we will be acting.
On Amendment 136A, tabled by the noble Lord, Lord Udny-Lister, under the Tobacco and Related Products Regulations 2016, vaping products, as has been referred to in this debate, are already limited to 2 millilitres for tanks and 10 millilitres for refill containers. Over recent years, some manufacturers have developed devices where multiple refill containers can be attached to a single device as a means to circumvent the legislative requirements and restrictions.
I want to assure the noble Lord that Clause 90 provides the powers to amend or place additional requirements and limits on vape tank sizes and the size of refill containers. It is vital that we undertake the necessary consultation, because we wish to make sure that our regulations are based on the best possible evidence related to tank capacity limits and that we do not have unintended consequences for adult smokers who use vapes as a quit aid, something I know is of concern, and rightly so, to noble Lords. It is therefore more appropriate for such detailed technical measures to be introduced through secondary legislation. Our recent call for evidence sought views specifically on tank sizes to better understand current market practices and we are, as I mentioned in an earlier group, currently analysing responses and will consider our proposals for consultation post Royal Assent.
Finally, I turn to Amendments 125 and 134, tabled by the noble Lord, Lord Moylan. I begin by assuring noble Lords—and the noble Lord, Lord Moylan, suggested I would do this—that Clauses 89 and 90 already provide powers for the Government to regulate information on vape devices and packaging, including flavour descriptors. I draw the attention of noble Lords particularly to Clause 89(3), which is a non-exhaustive list of the kind of provision that regulations could make, including in paragraph (b),
“the information provided on packaging or otherwise supplied with a product”.
I have listened carefully to the concerns expressed by noble Lords about potential unintended consequences of implementing flavour restrictions too rapidly or stringently, and I understand the points that noble Lords have made about the role that flavoured vapes can play in helping adult smokers quit, something the noble Baroness, Lady Fox, mentioned. Certainly, the noble Lord, Lord Moylan, did a very fine job of inviting us into the world that he has experienced in this regard. In that spirit, I can confirm the Government’s commitment to consult on regulating flavour descriptors as a first step before considering broader restrictions on flavoured ingredients. This commitment reflects our intention to adopt a proportionate approach, again as the noble Earl, Lord Howe, asked me to do, supporting adult smokers in their efforts to quit while also working to reduce the appeal of vaping products to children.
However, and on the points raised by the noble Lord, Lord Darzi, I have to be clear that it is essential that we retain the ability to go further in line with the evidence, which the noble Baroness referred to. Flavourings are added to vaping products and that can increase their appeal. Hundreds of flavoured ingredients are used in vapes and, although some are considered safe when ingested, we do not, as the noble Lord, Lord Darzi, said, know the long-term health effects when they are inhaled, particularly in respect of children. Some initial data drawn from the limited research available is concerning and indicates that certain chemicals may be harmful if inhaled. For this important reason, we must have the flexibility to restrict flavoured ingredients in the future to protect public health. We have sought further data on flavours as part of the call for evidence conducted at the end of last year and we are reviewing those responses. In addition, we are exploring commissioning further research on the health impacts of vape ingredients when inhaled.
I hope that all this reassures noble Lords that the powers in the Bill already provide a comprehensive framework to act on these issues and that our approach will remain balanced and evidence-based to strike a necessary balance between reducing youth appeal and ensuring that adult smokers continue to have access to products that may help them quit. I hope the noble Baroness, Lady Walmsley, will feel able to withdraw the amendment.
Lord Kamall (Con)
My Lords, before I respond to the specific amendments, I will touch on two things that the noble Earl, Lord Russell, said. First, I was previously in the European Parliament and worked on a number of technology regulations, and we can never be absolutely certain that we have legislated for the future or completely future-proofed anything. The only way to do that is to ban everything, frankly. We therefore often find regulation having to keep up with technology when it is far behind it, but we can put certain provisions in place. We can predict certain things but we cannot predict all innovation completely. Secondly, I hope the noble Earl will not mind me gently reminding him that not all vape companies are connected to big tobacco. A number of vape companies have nothing to do with big tobacco, and it is important that we understand that distinction.
My noble friend Lord Howe and I welcome the amendments from my noble friend Lord Lansley. Before the Minister speaks to them, we also very much welcome the two government amendments in this group, which we think respond very helpfully to the issues raised in Committee by my noble friend Lord Lansley. We believe that adding these provisions is a good way of future-proofing the Bill, as much as any Bill can be future-proofed, without necessarily compromising any decisions that Ministers may wish to make in the short term—but also without committing the Government or a future Government to any specific technology solution or to one company’s specific solution. With that in mind, I look forward to what the Minister has to say.
Baroness Merron (Lab)
My Lords, government Amendments 130 and 132 provide a power that would allow the Government to regulate the technological features of vaping products and tobacco-related devices, and the software associated with those features, to address emerging risks and to protect children. While the Bill already provides powers to regulate various device features, such as colour, size and shape, I listened carefully to the points raised in Committee about vape technology and the need to future-proof the Bill in order to respond quickly to new risks. I appreciate the support of both Front Benches on this point, particularly the comments of the noble Lord, Lord Kamall, about how far one can ever go when future-proofing. I can assure him that we are not planning to ban everything, but I thank him for the interesting suggestion.
The noble Earl, Lord Russell, spoke to concerning examples of the emergence of technology being used to make vapes more enticing to young people. As he said, some can now come with gaming functionality and others can be linked to what are called puff leaderboards and reward systems, so the more you inhale, the more credits you build up. Emerging evidence suggests—and it is worrying—that these interactive and gamified vaping features may heighten their appeal to children. This raises serious public health concerns around their potential to escalate dependence on nicotine. Our amendments therefore ensure that such emergent technology features can be appropriately regulated to reduce the appeal to children.
I turn to Amendments 124 and 131 tabled by the noble Lord, Lord Lansley. Let me first reassure him, as well as the noble Earl, Lord Russell, with regard to Amendment 124, that the powers in the Bill already enable us to regulate markings, which could include digital markings such as QR codes, to be used as part of a system to authenticate products. On Amendment 131, with reference to the device itself, I am very grateful for the noble Lord’s suggestions and his contributions on how best to future-proof the Bill, including on age-verification technology.
While it is not the Government’s policy to verify age at the point of use, and we have no intention to do so at this time, we recognise that need, as I have said, to be able to regulate technology to protect public health and respond to evidence, as the noble Lord, Lord Lansley, acknowledged. It is for this reason that we are introducing the new regulation-making power on technology to which I have just spoken. I therefore ask the noble Lord to withdraw his amendment.
Lord Lansley (Con)
The Minister referred to QR codes on packaging, which are obviously covered by the terminology of the Bill as it stands. But the example I used was smart tags, which effectively incorporate an electronic feature into the packaging of a product for monitoring. I would like to be assured that smart tags, too, are covered by the existing powers in the Bill.
Baroness Merron (Lab)
I would be happy to write to confirm that point, but we feel that the Bill covers what we need to cover now. Our amendments talk about future-proofing, which is the key thing, but I would be pleased to write further.
Lord Lansley (Con)
I am most grateful to the Minister and for the support from the noble Earl, Lord Russell, and my noble friend Lord Kamall. With those assurances, I beg leave to withdraw Amendment 124.
Baroness Merron
“(iva) filters;”Member’s explanatory statement
This extends the power under the clause to filters.
Baroness Merron
“(g) any technological features of a tobacco related device or vaping product.” Member’s explanatory statement
This allows regulations under clause 90 to make provision about the technological features of a tobacco related device (such as a heated tobacco device) or a vaping product.
Baroness Merron
“(2A) Regulations under subsection (1)(g) may include provision about software for use in connection with technological features to which the regulations relate.”Member’s explanatory statement
This allows regulations under new subsection (1)(g) about the technological features of a tobacco related device or vaping product to include provision about related software.
Baroness Merron
“(da) filters,”Member’s explanatory statement
This extends the power under the clause to filters.
Baroness Merron
“(da) filters;”Member’s explanatory statement
This extends the power under the clause to filters.
Baroness Merron
“(da) filters,” Member’s explanatory statement
This extends the power under the clause to filters.
Baroness Merron
“(da) filters;”Member’s explanatory statement
This extends the power under the clause to filters.
Baroness Merron
“(iva) filters;”Member’s explanatory statement
This extends the power under the clause to filters.
Baroness Merron
“(da) filters;”Member’s explanatory statement
This extends the power under the clause to filters.
Baroness Merron
“(da) filters;”Member’s explanatory statement
This extends the power under the clause to filters.
Baroness Merron
“(da) filters,”Member’s explanatory statement
This extends the power under the clause to filters.
Baroness Merron
“(iva) filters,” Member’s explanatory statement
This extends the power under the clause to filters.
Baroness Merron
“(5) Regulations under this Part creating an offence—(a) may provide for it to be punishable with a term of imprisonment or a fine (or both);(b) may not provide for the maximum term of imprisonment to exceed 2 years.”Member’s explanatory statement
Clause 102 currently requires offences created by regulations under Part 5 to be either way offences with a maximum penalty of 2 years imprisonment. The amendment allows more flexibility so that summary only offences with lesser maximum penalties can be created.
Baroness Merron
“Enforcement(1) Regulations under this Part may include provision about enforcement.(2) The provision that may be made about enforcement includes—(a) provision conferring functions on the relevant enforcement authorities;(b) provision for the appropriate national authority to—(i) direct, in relation to cases of a particular description or a particular case, that any function conferred on a relevant enforcement authority by virtue of the regulations is to be carried out by the appropriate national authority and not by the relevant enforcement authority;(ii) take over the conduct of any proceedings from a relevant enforcement authority in respect of an offence under this Part.(3) The provision that may be made about enforcement includes—(a) provision conferring on a relevant enforcement authority the power to prohibit a person, for a period of up to 6 months, from supplying a product, if the authority has reasonable grounds to suspect that there has been a breach of regulations under this Part in relation to that product;(b) provision for the forfeiture of products—(i) in England and Wales or Northern Ireland, by court order;(ii) in Scotland, by order of a sheriff;(c) provision similar or corresponding to section 88 (HMRC seizure powers). (4) Provision made by virtue of subsection (3)(a) may include—(a) provision for compensation to be payable by a relevant enforcement authority in specified circumstances;(b) provision about the resolution of disputes about compensation.(5) Regulations under this section may include provision conferring jurisdiction on a court or tribunal, including—(a) provision conferring jurisdiction to order a person to reimburse a relevant enforcement authority’s expenditure in specified circumstances;(b) provision about appeals.(6) In this section—“appropriate national authority” means—(a) in relation to England, the Secretary of State,(b) in relation to Wales, the Welsh Ministers,(c) in relation to Scotland, the Scottish Ministers, and(d) in relation to Northern Ireland, the Department of Health;“relevant enforcement authority” means—(a) in relation to England, a local weights and measures authority,(b) in relation to Wales, a local weights and measures authority,(c) in relation to Scotland, a local weights and measures authority, and(d) in relation to Northern Ireland, a district council;“supplying” includes—(a) agreeing to supply;(b) offering or exposing for supply.”Member’s explanatory statement
This is intended to replace clause 103. Clause 103(2) allows regulations to apply enforcement provisions in the Consumer Protection Act 1987. The Product Regulation and Metrology Act 2025 repeals those provisions. The new clause recasts, and narrows, the powers in a way that avoids referring to the 1987 Act.
Baroness Merron
““filter” means a filter that is intended to be used when smoking a tobacco product or herbal smoking product (including a filter that forms part of, or that is intended to be inserted into, an item such as a cigarette holder or pipe);”Member’s explanatory statement
This defines “filter” for the purposes of my amendments to Part 5 of the Bill.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 15.
Lord Udny-Lister (Con)
My Lords, while I am on my feet moving Amendment 149, I will also talk about the other amendments in my name. We must prevent an indiscriminate or blanket prohibition without proper scrutiny and consultation. I fear that, without these safeguards and measures, and with the approach being taken, years of success in smoking cessation will be reversed rapidly.
Further still, in the drafting of this Bill it is apparent that advertising is being looked at as merely a commercial persuasion. I would argue that this is wrong. We are forgetting that advertising is a channel of product differentiation and risk communication. We must therefore provide manufacturers with the opportunities to communicate factual and regulated information regarding relative risks and cessation pathways. Otherwise, we will be creating a system in which misinformation will flood the gap.
We must not allow a blanket prohibition on advertising vapes, nicotine pouches and heated tobacco products without consultation. To do so would be an affront to our business community and contrary to the way that things should be done. As already raised in Committee, half of all smokers now wrongly believe that vaping is as harmful as smoking. If communication is prohibited through an advertising ban, how do we correct misinformation such as this? How do we promote public health outcomes?
The impact assessment acknowledges potential unintended consequences for smoking cessation. These unintended consequences must be rooted out and the only way to achieve that at this stage is through wider and effective consultation. The amendments I have put forward all seek to prevent harm reduction being undermined, and on that basis I hope to gain support.
Lord Sharpe of Epsom (Con)
My Lords, Amendment 168 is in my name. I will also speak briefly to my Amendment 196, which is in the next group, but the subject matter is broadly similar. I am very grateful to my noble friends Lord Brady of Altrincham and Lord Naseby and the noble Baroness, Lady Fox, for signing these amendments.
These amendments, taken together, would serve the purpose of providing safeguards and guarantees for the hospitality sector within the Tobacco and Vapes Bill. I should be clear that they would not tie the hands of government in any way. They would not create carve-outs or specific loopholes, with the exception of a very narrow exemption in Amendment 168. They merely propose a requirement to consult specifically with the hospitality, retail and entertainment industries before making regulations in these areas.
I ask noble Lords, when thinking about these amendments, to consider the broader burdens currently faced by the hospitality industry. It is well known that the sector has been exposed to a number of challenges as a result of government policy in recent months and some aspects of this Bill have the potential to substantially add to these challenges. It is worth looking at the broader context, because the hospitality sector contributes £93 billion to the UK economy each year. It is the third-largest employer, with 3.5 million people employed in the sector. Since the 2024 Budget, over 89,000 jobs have been lost, which accounts for roughly 53% of all job losses in the economy. That is before the impact of the Employment Rights Act, which 49% of business leaders have said will make them less likely to hire new staff.
On business rates reforms, pubs have been granted a limited stay of execution, but, in the wider hospitality sector, the estimate is that it will cost the industry an additional £150 million, or the equivalent of about 12,500 jobs. The beer tax in the 2025 Budget has forced up the price of a pint by effectively eliminating the profit margin on beer through the alcohol hike of 3.55% from last month. That is all before the increases to national insurance, which have driven up operating costs across the board, as well as sky-high energy prices. This is an industry that is under considerable existential pressure.
It is important to reiterate these facts in light of the briefings from many of the public health charities that have been campaigning on this Bill. They claim that these amendments are not necessary. But every single UK hospitality industry association, including UK Hospitality, the British Beer and Pub Association and the Night Time Industries Association, has warned about the damages this Bill could do to the sector. These amendments are therefore needed because the industry has said that it has absolutely no more capacity to absorb additional costs.
While the Government have said that it is not their intention to legislate for smoke-free and vape-free places for the hospitality industry as it is not the right time, that statement carries the clear implication that they might choose to do so in the future. To be clear, these amendments would not stop the Government legislating in this area. They would merely require that they guarantee consultation, with an impact assessment, before doing so. Why the guarantee? It is because too often we see sectors with concerns around this area being dismissed for having vested interests—we have heard many arguments this evening around the same subject—and the Government heeding only the submissions of organisations that tell them what they want to hear. In view of this, we suggest that these amendments and safeguards are extremely important.
Lord Kamall (Con)
My Lords, I start by thanking my noble friends Lord Udny-Lister and Lord Sharpe for their amendments in this group. I begin with the amendments proposed by my noble friend Lord Udny-Lister. Many noble Lords have raised concerns about the unintended consequences of this Bill. Just yesterday, HMRC published data showing that legal tobacco sales in the United Kingdom fell by 52% between 2021 and 2025. That statistic will be welcomed by those who want to eradicate smoking, but there is still some way to go in encouraging smoking cessation. My noble friend’s amendments simply ask a question akin to that debated in group 5—namely, how far we should go with regulation of vaping and nicotine products, especially when we are trying to promote them as alternatives to smoking tobacco?
Of course, some regulation is certain to be necessary with products such as vapes, but we have to be careful that we confine them to responsible use. We should also be careful not to use a sledgehammer when a nuanced approach might be a more effective way forward in a particular circumstances and settings. If we overdo the restrictions, we risk driving smokers away from quit aids and alternatives such as vapes towards easily available alternatives—unfortunately, such as illicit tobacco, which we know is still too accessible to some smokers. Many noble Lords have spoken to their own experience in local authorities about trying to tackle illicit tobacco. In the right settings, advertising and displays of vaping products can play a role in encouraging adult smokers to switch from cigarettes to less harmful alternatives, and we know that many are already doing so. It is important for the Government to find the right balance.
I turn to the amendment from my noble friend Lord Sharpe of Epsom. There is really little that I can add to the case that he has made so persuasively. The hospitality sector has faced sustained pressure in recent years, including rising energy costs and an increase in the cost of taking on new employees, staff shortages in some areas and increasing regulatory burdens. It is therefore reasonable that when we introduce further restrictions, we carefully consider their cumulative impact on licensed venues.
My noble friend’s amendment is tightly drawn. It would apply only within the curtilage of premises licensed under the Licensing Act 2003; only where advertisements are not visible from outside; only in age-restricted venues with appropriate safeguards; and it explicitly excludes tobacco products. It also provides for regulations to be subject to the affirmative procedure, and requires consultation and a full impact assessment, something very much in line with better regulation, in which many noble Lords believe. That framework suggests a helpful attempt to strike a balance, maintaining strong protections for children and the wider public while recognising that adult-only controlled environments may justify a different approach. It seems reasonable to at least explore whether limited, carefully regulated flexibility of this kind could be accommodated without undermining public health objectives. I hope that the Minister will look favourably on such flexibility.
Baroness Merron (Lab)
My Lords, I am most grateful for the contributions to this debate. I begin with the amendments in the name of the noble Lord, Lord Udny- Lister, Amendments 149, 151, 155, 157, 159, 161, 163 and 169.
Survey data shows that there has been a significant growth in awareness of vaping promotion among young people, with 55% of all children aged 11 to 17 aware of promotion in shops. This figure relates to 2025, and that is up from 37% in 2022. We are therefore delivering on our manifesto commitment to stop vapes from being advertised to children, while still enabling them to be promoted by public health authorities as a means for adult smokers to quit smoking, something that noble Lords have emphasised correctly, once again, in this group.
Tobacco advertising, including for heated tobacco products, is already prohibited under the Tobacco Advertising and Promotion Act 2002, and will remain so under the Bill. On Amendment 168 in the name of the noble Lord, Lord Sharpe, I can clarify that the advertising provisions do not restrict the use of, or sale of, products, and therefore should not overly impact on the hospitality sector. I will come back to reference to the hospitality sector, following the comments of the noble Baroness, Lady Fox, when we get to the final group, which is coming up next.
Evidence for tobacco has found that partial bans, as referred to in this amendment, are not as effective as comprehensive bans in reducing tobacco consumption. I therefore feel that it is extremely reasonable to draw similar conclusions for vape advertising. Under current legislation, there are already strict restrictions for vape advertising. We believe that the promotion of vaping to quit smoking is best led by the appropriate public health authorities, because they can provide tailored advice to the individual with the necessary behavioural support.
In response to the comments of the noble Baroness, Lady Fox, the Bill already includes defences for the limited circumstances in which advertising would be appropriate. As I outlined on the first day of Report, following my prior assurances on public health campaigns, we are introducing a specific defence which will strengthen this capability by allowing businesses, such as pharmacies and GPs—something that noble Lords rightly drew my attention to—to advertise non-branded vapes, if it is part of a campaign agreed with the public authority for public health purposes. We are not considering further exemptions due to the risk of loopholes, the potential for poorly enforced entry rules, and the fact that evidence has shown that comprehensive bans on tobacco advertising have reduced consumption, but partial bans, as I mentioned before, have had no significant effect.
On Amendment 152, in the name of the noble Lord, Lord Udny-Lister, the language of “has reason to suspect” is standard practice and already included in the existing Tobacco Advertising and Promotion Act 2002. This wording is specifically designed to avoid loopholes and to ensure that those involved in the design of advertisements cannot evade responsibility by claiming ignorance where there are clear grounds for suspicion. I say again, this is standard legal practice.
Finally, on Amendment 153, in the name of the noble Lord, Lord Udny-Lister, it is important that we recognise and respect the established criminal law system within each nation of the UK. As noble Lords will know, Scotland has a separate criminal justice system, and 12 months is the maximum penalty on summary conviction for this type of offence and is fixed in line with its criminal justice system. For the reasons that I have set out, I hope that the noble Lord, Lord Udny-Lister, will withdraw his amendment.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 15.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 15.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 15.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 15.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 15.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 15.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 15.
Baroness Merron
“Exceptions for internet service providers (conduits, caching and hosting)(1) An internet service provider does not commit an offence under section 113, 116, 117 or 118 by—(a) providing access to a communication network, or(b) transmitting, in a communication network, information provided by a user, if the provider does not—(i) initiate the transmission,(ii) select the recipient of the transmission, or(iii) select or modify the information contained in the transmission.(2) The references in subsection (1) to providing access to, or transmitting information in, a communication network include storing the information transmitted so far as the storage—(a) is automatic, intermediate and transient,(b) is solely for the purpose of carrying out the transmission in the network, and(c) is for no longer than is reasonably necessary for the transmission.(3) An internet service provider does not commit an offence under section 113, 116, 117 or 118 by storing information provided by a user for transmission in a communication network if—(a) the storage of the information— (i) is automatic, intermediate and temporary, and(ii) is solely for the purpose of making more efficient the onward transmission of the information to other users at their request, and(b) the internet service provider—(i) does not modify the information,(ii) complies with any conditions attached to having access to the information, and(iii) upon knowing of a matter within subsection (4), promptly removes the information or disables access to it.(4) The matters within this subsection are—(a) that the information at the initial source of the transmission has been removed from the network;(b) that access to the information has been disabled;(c) that a court or administrative authority has ordered the removal from the network of, or the disablement of access to, the information.(5) An internet service provider does not commit an offence under section 113, 116, 117 or 118(1) by storing information provided by a user who is not acting under the authority or control of the provider if—(a) when the information was provided, the provider did not know that it was or contained a relevant advertisement, and(b) upon knowing that the information is or contains a relevant advertisement, the provider promptly removes the information or disables access to it.(6) In this section—“internet service provider” means a provider of—(a) a service that is made available by means of the internet, or(b) a service that provides access to the internet;“relevant advertisement” means an advertisement whose purpose is, or effect will be, to promote—(a) a tobacco product,(b) a herbal smoking product,(c) cigarette papers,(d) a vaping product, or(e) a nicotine product;“user” , in relation to an internet service provider, means a user of a service provided by the internet service provider.(7) In the definition of “internet service provider” in subsection (6), a reference to the internet includes a combination of the internet and an electronic communications service (as defined by section 32(2) of the Communications Act 2003).”Member’s explanatory statement
This creates exceptions to the advertising offences in relation to mere conduit services, caching services, and hosting services.
Baroness Merron
“Advertising defence: public health campaigns(1) Where a person is charged with an offence under any of sections 113 to 118 in relation to an advertisement whose purpose is to promote vaping products or nicotine products in general, or a category of such products, it is a defence for the person to show that they knew or reasonably believed that they were acting in accordance with arrangements made by a public authority. (2) A public authority may only make such arrangements for the purposes of promoting or protecting public health.(3) Where in accordance with subsection (1) it is a defence for a person charged with an offence to show a particular matter, the person is taken to show that matter if—(a) sufficient evidence of the matter is adduced to raise an issue with respect to it, and(b) the contrary is not proved beyond reasonable doubt.(4) A reference in this section to a “category” of vaping products or nicotine products does not include a brand.”Member’s explanatory statement
This creates a defence to the advertising offences created by the Bill for public health campaigns. The defence is available only where a person knows or reasonably believes that they are acting in accordance with arrangements made by a public authority.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 15.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 15.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 15.
Baroness Merron
Member’s explanatory statement
See the explanatory statement for my amendment to clause 15.
Baroness Merron
Member’s explanatory statement
This is consequential on my amendment to Schedule 16, page 162, line 20
Baroness Merron
“(za) a filter that does not form part of a tobacco product or herbal smoking product;”Member’s explanatory statement
This extends the power under the clause to filters.
Baroness Merron
““filter” has the meaning given by section 111;”Member’s explanatory statement
This defines “filter” for the purposes of my amendment to clause 132.
Lord Udny-Lister (Con)
My Lords, it is really hard to follow the noble Baroness, Lady Fox, when she gives a speech like that. Amendments 193, 194, 197 and 198 hope to address the powers to designate vape-free and heated tobacco-free places. The argument, really, is that it is all a bit over the top. There is limited evidence of harm from passive vaping compared with that of inhaling second-hand smoke. It is my fear that, as currently drafted, the Bill could inadvertently force ex-smokers to have relapses if they are using alternatives alongside smokers. That is what is going to happen. They are all going to be pushed into the same area, and that, I suggest, is the worst of all outcomes.
I further push the point that age-gated venues should be able to retain the discretion that they already have. Our hospitality and pub sectors need these safeguards.
Of course I agree with everybody that we must protect children but, in doing so, we must not inadvertently drive adults back to cigarettes and destroy our pubs in the process. That, I am afraid, is exactly what we run the risk of doing.
Lord Sharpe of Epsom (Con)
My Lords, I shall be super-brief, because I spoke broadly on my Amendment 196 in the previous group when I made the case—it is not hyperbole—that the hospitality sector faces an existential issue. I agree with all my noble friend Lord Udny-Lister’s words on this.
My Amendment 196 is extremely straightforward: it insists on a consultation if any regulations are made under Clauses 135 to 138 in relation to designating a place smoke-free or vape-free. Please consider the interests of the hospitality sector, which, as I highlighted in the previous group, is responsible for so much activity and employment in our economy.
I just finish by saying that I am shocked beyond compare that the noble Baroness, Lady Fox—she and I have been in this House for the same time—has only just noticed that the Liberals are illiberal.
Baroness Walmsley (LD)
My Lords, despite the comments of the previous two speakers, I will speak to Amendment 199, the purpose of which is simple: to make every future and renewed pavement licence issued by local authorities smoke-free.
Your Lordships will recall that pavement licences first appeared during the pandemic, when indoor hospitality was restricted. They gave cafés, pubs and restaurants a lifeline. It seemed obvious that these spaces should follow the same rules as indoors: no smoking. The LGA supported this, saying that
“it sets a level playing field for hospitality venues across the country and has a public health benefit of protecting people from unwanted second-hand smoke”.
It welcomed this national policy because it stopped the stupid situation of allowing people to smoke in a pub pavement area on one side of the road but not on the other if a local authority boundary ran down the middle of the road and they had different policies. Since then, pavement licences have become a permanent fixture. However, after some lobbying from some parts of the hospitality industry, the requirement for smoke-free was removed without proper consultation of health authorities.
In 2021, this House supported an amendment from the noble Lord, Lord Faulkner of Worcester, noting the missed opportunity to make all licences smoke-free. Amendment 199 seeks to honour that vote and ensure that this health-protecting measure is applied consistently.
There is currently a requirement for some seating to be smoke-free, but the distinction means very little when you talk about a very small bit of pavement. More than 10 councils have made smoke-free a condition of obtaining a pavement licence, including Liverpool, Manchester, Newcastle, Northumberland County Council and Durham—not outstandingly liberal authorities, as far as I can tell. Feedback shows that customers and businesses welcome the change. In Liverpool, a survey of premises found that 74% of those asked expressed support for the scheme, including many smokers. Councils also aim to reduce cigarette litter with this initiative, which would make outdoor seating areas cleaner, more welcoming environments.
Second-hand smoke is harmful at any level. It worsens asthma and other respiratory conditions, and contributes to heart disease, stroke and lung cancer. Smoke-free spaces are also popular with the public. Polling from ASH shows that 59% of people support banning smoking in outdoor areas of pubs, cafés and restaurants; indeed, 40% said that they would be more likely to visit these venues if smoking were banned outside. That is more than double the number of people who say that they would go less often, debunking the idea that smoke-free means customer-free. Making outdoor areas smoke-free is not only sensible but what the public want.
I regret that this issue is not covered by the recent consultation on smoke-free places. It is a shame that the Government felt that they were not able to include hospitality in that consultation at all and that they fell into this false narrative that smoke-free is somehow an economic threat to hospitality.
Less than 12% of the population smoke, so the financial viability of the hospitality industry is clearly not dependent on the continued consumption of tobacco, including outdoors. Indoor smoke-free legislation was a far more drastic intervention, and we heard many of these arguments from those opposed then. However, a survey in 2012 of nearly 5,000 pub customers reported that more than one in five visited the pub more often than before smoke-free legislation. I do hope that the Minister will, in future, consider looking at the pilots for smoke-free pavement licences to assess the economic relationship between the hospitality sector and smoking. As prevalence continues to fall, we must be at a tipping point soon, where these spaces will naturally become smoke-free.
This brings me to Amendment 196, tabled by the noble Lord, Lord Sharpe of Epsom. I think we may disagree on the potential impact any restrictions will have on hospitality, but in any case, the Government would consult on any use of smoke-free powers as they are doing currently.
Moving on, I welcome Amendment 194A from the noble Lord, Lord Kamall, and the noble Earl, Lord Howe. There is no doubt that the public are keen to see more places where smoking and vaping are prohibited. However, this policy must be pursued not merely to cater to the things that people dislike, but also to ensure that it is addressing matters that are harmful to the public. Clearly, reducing children’s exposure to second-hand smoke passes that test. While the evidence of exposure to second-hand vapour remains unclear, I think we can agree that reducing any possible risks around children must be prioritised, following careful consultation.
In that respect, I do not support Amendments 194 and 195 from the noble Lord, Lord Udny-Lister, which would remove these powers altogether. However, there is a challenge in all of this. Given the high level of public misunderstanding about the difference in harms between vaping and smoking, as the noble Baroness, Lady Fox of Buckley, has said—and she is quite right —how do we ensure that in creating vape-free places we do not exacerbate those misconceptions? I talked to a young man the other day who asked me, “What are you doing in the House of Lords?” I explained about this Bill, and he said, “Oh, all my friends vape”. He said, “I think it is just as harmful as smoking, isn’t it?” QED. Of course it is not.
I welcome the commitment in the published consultation to treat vaping differently from smoking where it is providing support to smokers to quit. I am on the same side as the noble Baroness, Lady Fox, on that score. Will the Minister say more about how this policy will be communicated to improve public understanding that vaping is less harmful than smoking? How will any exemptions to indoor vaping regulations be used to best effect to encourage more smokers to see vaping as quitting aids?
It is disappointing to see only council-run playgrounds included in the ban on smoking in playgrounds. Why should children playing in settings not run by councils not be similarly protected? There are also other places, such as transport hubs, where the public and workers are regularly exposed to other people’s smoke, so are the Government planning to commit to look at these too?
Amendment 192A from the noble Earl, Lord Howe, is very interesting, but we do not think actors should have to smoke at work. I think it was pointed out in Committee that there are alternative products that can depict smoking for artistic purposes; in particular, I believe that the National Theatre has such a device. If it is good enough for that theatre, it is good enough for me. Moreover, Wales does not have this exemption in place, and it has not harmed Welsh theatres.
We do not think that Amendment 193 is appropriate either: most venues are vape- free anyway, and the law is just really catching up.
On Amendments 197 and 198, I do not think that heated tobacco should have special exemptions at all. Only 1% of the population use it and it is not recommended by NICE for cessation. However, I do have a couple of questions for the Minister about heated tobacco devices, because I have had a letter expressing some concern that the law is not terribly clear. The advertising offence in the Bill applies to any advert,
“whose purpose or effect is to promote … a tobacco product”.
So can the Minister confirm that heated tobacco devices—not just sticks—will be caught under this definition, as advertisement of the device might constitute promotion of the tobacco product?
I see that in Clause 132 the Government explicitly take the power to extend provisions in Part 6 to tobacco- related devices. I understand that this is to future-proof the advertising restrictions against any innovation in this space, as we know the tobacco industry is likely to use any loopholes. I ask the Minister: why are heated tobacco devices explicitly included in Clause 132? Is it because of the difficulties they have had recently with two big supermarkets advertising heated tobacco products? Is it just the devices they are advertising, or are they simply breaking the law about advertising the tobacco sticks themselves? A little clarification would be most welcome if the Minister could provide it, please.
Baroness Merron (Lab)
My Lords, I am grateful to noble Lords for their contributions on this last group of amendments. It may be helpful if I remind your Lordships’ House that, on 13 February, the Government published their consultation on free-from places. We are consulting on making outdoor public places, including children’s playgrounds, hospitals and schools, smoke-free and heated tobacco-free. Additionally, we are consulting on making outside playgrounds and schools vape-free.
With regard to indoor spaces that are currently smoke-free, we are consulting on also making these heated tobacco-free and vape-free. I want to emphasise—and I hear different opinions on this within your Lordships’ House—that the consultation does not consider extending these proposals to outdoor hospitality. I hope that this addresses the concerns raised under Amendments 194 and 197, tabled by the noble Lord, Lord Udny-Lister, as well as Amendment 196 from the noble Lord, Lord Sharpe.
With regard to Amendment 193 from the noble Lord, Lord Udny-Lister, the vast majority of people—around 90% of those over 16—do not currently vape. Just because someone is present in an over-18 setting does not mean that they are content to be exposed to second-hand harms. This would be of particular concern to those who are medically vulnerable, whose conditions may not always be visible.
Additionally, under the proposals put forward in the consultation, those who wish to vape would still be able to do so in outdoor hospitality settings. I should say that we have been pleased to meet various stakeholders, including UKHospitality and the British Beer and Pub Association, and we have welcomed their input.
Furthermore, a number of establishments, as I am sure we are all aware, have already introduced their own policies restricting vaping indoors. These proposals provide consistency and clarity for the public and businesses, and that is crucial if we are thinking about legislation.
I turn to the evidence. Amendments 195 and 198 in the name of the noble Lord, Lord Udny-Lister, question the need for the vape-free places and heated tobacco-free places clauses. I also refer to Amendment 194A in the name of the noble Lord, Lord Kamall.
We have already published a draft impact assessment alongside the consultation on free-from places. To the points made by the noble Earl, Lord Howe, this sets out the evidence base for the proposed policies. I encourage noble Lords to review the document, which is thorough, if they have not had the chance to do so already. I can say that we will reassess the evidence after the consultation is closed, and we will consider any additional evidence identified before deciding on final policy positions and publishing a final stage impact assessment alongside regulations.
Baroness Merron
Member’s explanatory statement
This amendment ensures that the person responsible for displaying signs about heated tobacco-free premises in Scotland is the same as the person responsible for displaying no-smoking signs and no vaping signs.
Baroness Merron
“Review of Act(1) The Secretary of State must—(a) carry out a review of the operation of this Act during the relevant period, and(b) prepare and lay before Parliament a report setting out the conclusions of that review.(2) In carrying out the review the Secretary of State must, in particular—(a) consider any evidence as to the economic or health impacts of the Act, and(b) consult—(i) the Welsh Ministers,(ii) the Scottish Ministers, and(iii) the Department of Health in Northern Ireland.(3) In this section “the relevant period” means such period as the Secretary of State considers appropriate being a period of not less than 4 years, nor more than 7 years, beginning with the day on which this Act is passed.”Member’s explanatory statement
This requires the Secretary of State to review the operation of the Bill and lay a report before Parliament setting out the conclusions of that review.
Baroness Merron
Member’s explanatory statement
This and my other amendments to clause 165 reflect changes made by the Legislation (Procedure, Publication and Repeals) (Wales) Act 2025, which introduces the concept of a Welsh statutory instrument and makes related provision about procedure. There are no significant substantive changes to the procedure for regulations.
Baroness Merron
Member’s explanatory statement
This provides for clause 63 (alignment of definition of “tobacco product” in Scottish legislation) to come into force on the day on which the Bill is passed. The Bill currently provides for it to come into force 2 months later.
Baroness Merron
“(za) section 131 comes into force on the day on which this Act is passed;” Member’s explanatory statement
This provides for clause 131 (alignment of definition of “tobacco product” in old legislation) to come into force on the day on which the Bill is passed. The Bill currently provides for it to come into force 2 months later.