Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what assessment he has made of the inter-operability of the EU Commission's proposals for a pan-European track and trace scheme for the tobacco market and the existing tobacco retail registration scheme in Northern Ireland.
The government has been working on the draft implementing legislation for Articles 15 and 16 of the EU Tobacco Products Directive with the Commission and other Member States. We are aware of concerns raised by businesses affected and have been working to try to ensure that the system adopted is effective, efficient and proportionate in tackling the trade in illicit tobacco products which puts public health at risk and avoids the payment of duty. A number of amendments have been made to the proposed regulations in line with meeting these objectives.
We will continue to assess the impact and merits of the legislation and to work with businesses affected towards a successful implementation, given the timescales already set out in the Directive itself.
The track and trace system to be introduced is separate from the existing retailer registration scheme in Northern Ireland. It will provide identification codes for retailers to be used when purchasing legitimate tobacco products. These codes can be obtained by suppliers on their behalf of retailers, if desired. The Directive also provides for the costs of the scheme, including the equipment needed to scan products through the supply chain, to be met by the tobacco industry.