Tobacco and Vapes Bill

Debate between Lord Johnson of Lainston and Baroness Fox of Buckley
Lord Johnson of Lainston Portrait Lord Johnson of Lainston (Con)
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I shall speak to my Amendments 135A and 136A, as noble Lords would imagine. I will be brief. I hope these will meet a sympathetic ear from the Minister, who has oozed reasonableness from every pore during this debate. The specific amendment relates to Northern Ireland but—I am afraid my timings were off in terms of tabling the amendments—I hope it would actually cover all specialist tobacco stores, which naturally, because of their nature, are often concentrated in one single street.

It is absolutely right and sensible that there should be a density measure for tobacco-supplying shops in the UK regarding where they are located and so on, but we have some historic shops down St James’s Street that, if the council had to follow the letter of the law, might have to close—or some stipulation might result in that. That would be totally contrary to the Minister’s ambitions, particularly when she has rightly stated that the whole principle around the Bill is not to affect the status quo for people who are already smoking cigars, or whatever it may be.

Specifically in Northern Ireland, there is a famous tobacconist called Miss Morans, which has already been mentioned. I read a delightful and heartwarming story that her portrait was given by the Northern Ireland Executive to the peoples of America and hangs in the White House, or certainly did until quite recently. That must be a good sign that they are encouraging our trade. But this is a very serious point.

I would like there to be not exceptionalism but some guidance that makes clear that these existing speciality shops, which are naturally in a cluster, should have some elasticity around how the density regulations are interpreted.

Baroness Fox of Buckley Portrait Baroness Fox of Buckley (Non-Afl)
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My Lords, I support Amendment 114A in the name of the noble Lord, Lord Jackson of Peterborough, and shall speak to my Amendment 114C on the socioeconomic impact of the generational ban on the retail sector.

I consider the noble Lord’s amendment to be an important one, calling for consultation and a review of the impact of a generational sales ban for tobacco products on retailers, manufacturers and consumers. The noble Lord has concentrated on heated tobacco, but there is a broader question here about what kind of evidence is being used and what kind of consultation there has been on the practicality, enforceability and efficacy of this policy, which is the core of the Bill.

We need that evidence, because my dread about the Bill is that at the moment it is evidence free, or it makes too many evidence-free assumptions. My fear is that the Government—and in fact the previous Government, so I am not sectarian in my criticism—have failed to ask whether a tobacco control policy that adopts an aggressive prohibitionist approach towards consumers is the most effective means of achieving its stated aims. That is not me using the phrase “aggressive prohibitionist approach”, by the way; I am quoting a document produced by trading standards of Wales that went on to advise the Welsh Government to

“examine closely the reasons why this health measure was unsuccessful in New Zealand and repealed in February 2024”.

In fact, the New Zealand Government revoked their planned generational smoking ban, first because, once they had scrutinised their own plans and done their own cost-benefit analysis, they were concerned about the impact of similar legislation to this on the cost of living crisis—and secondly, they were worried that it would trigger the emergence of a booming black market.

The lack of evidence for the efficacy of the policy in this Bill is admitted in its own impact assessment, which recognises the “uncertainty” over the impact of the policy and that there are no international case studies to follow. If there are no international case studies to follow, that means there is a danger that we will make mistakes. In fact, international experiments should give us pause, because a similar ban was rejected by the Attorney-General in Malaysia, which ruled it unconstitutional on the basis that it would have denied Malaysians equal treatment before the law and would lead to age discrimination.

All of the evidence that we have on what the Welsh trading standards memo labelled an “aggressive prohibitionist approach” is alarming. South Africa, which temporarily banned tobacco products during Covid-19, found that criminals filled the void and supplied the demands of 93% of South African smokers, who switched to purchasing illegal tobacco through criminal channels. I mention this because I know that it has become a bit of a mantra for the Minister and supporters of this Bill to dismiss concerns about the black market as a big tobacco talking point. In the briefings that we have been sent, I have noticed that the glib dismissal of genuine concerns about a black market is actually a talking point being put forward by ASH and anti-smoking lobbyists. I appreciate that everyone is planning the future, but give me a break. After all, it was only last year that HMRC and Border Force’s new strategy on illegal tobacco admitted that,

“no matter how much we strengthen our current strategy, supply will always find a way to enter the market where a demand for it exists”.

That brings me on to what is happening with retail and my amendment. There is obviously a clear link between the regulation of tobacco and the serious organised crime groups that are exploiting difficulties in accessing tobacco for certain groups. A recent BBC investigation that has already been referred to—I commend it as good journalism, by the way; I wish that there were more of it—exposed an already well-established network of pop-up high street shops, including barber shops but also retail shops. They are often run in plain sight by human trafficking gangs, using illegal asylum seekers to man them; they are all trading in illegal unregulated cigarettes and vapes; and they are openly targeting the young. We need to be sure that this Bill does not supercharge the growth of an alternative black market retail arena, because that is already a huge social problem in many of our towns around the country.

One thing that was made obvious by the BBC documentary was that this was happening in front of police and local council officials. People just go in and buy from these shops. We do not want to make that any worse. The trend could be—this is what we have to worry about—that law-abiding and compliant retailers will have to compete with increasing numbers of openly flagrant black market purveyors of tobacco products of one sort or another.

My concern here is that, at the moment, we are absolutely clear that we want the UK to empower the private sector to drive economic growth and recovery. I know that this Government care passionately about the retail sector, especially small shopkeepers and retailers—in part of another Bill, they are passing a special law to protect them from assault—but the reason why I have asked for an impact assessment and a cost-benefit analysis for the retail sector is because I fear that there will be unintended consequences with the introduction of this generational smoking ban.

I want to emphasise why I have used the word “prohibition” so much and to contrast it slightly with the way in which the emphasis in most of our discussions has been on prohibiting the young from accessing cigarettes, in particular, and even vapes. The problem with the generational smoking ban is that the people who are banned or prohibited from purchasing it grow up and, for the rest of their lives, when they are adults, they are victims of a prohibition that will affect them. The people who will have to enforce that prohibition are often shopkeepers, at the heart of their communities, who will be asked to police adults and say to them, “No, you can’t buy this legal product because it would be illegal for me to sell it to you”.

Not enough attention has been given to the amount of money that these shopkeepers will lose, which is projected to be in excess of £26 million for retailers. This is at a time when retail profitability is already suffering significant headwinds for a wide range of different reasons. So I would like the Minister to consider a special consideration for the retail sector—particularly small independent shopkeepers, given what will happen if they become mired in difficulties because of the unintended consequences of this Bill. I ask her to consider what impact that will have not just on their socioeconomic livelihoods but on the communities that they serve so admirably.