Debate seems to heating up over the idea of introducing mandatory tobacco retail licencing. While a leading health charity recently declared that most retailers in England (eight in 10) support the introduction of a licence, a prominent international tobacco maker has dismissed the need for further regulations.
Over some time, there have been calls for the introduction of mandatory tobacco retail licence, on the lines of alcohol licence. Such a step has been recommended as an effective tobacco control strategy though in England as well as in most European countries, retailers do not need a licence to sell tobacco products.
In 2019, the government announced the ambition for England to become ‘smoke-free’ by 2030 – achieved when adult smoking prevalence falls to 5 per cent or less. In June this year, “Khan Review: Making smoking obsolete” came out which claimed that “without further action, England will miss the smoke free 2030 target by at least 7 years.
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Among its 15 recommendations to the government, prominent ones were mandatory tobacco licence for shops, increasing the age of sale “from 18, by one year, every year until no one can buy a tobacco product in this country” and more promotion of vaping.
“Currently, anyone and any enterprise can sell tobacco. Retailers need a licence to sell alcohol, but not cigarettes. This can mean shops that sell to underage children, or stocking illicit tobacco, can go unnoticed,” Khan said at the time.
“A licensing scheme is not just a measure to protect young people. It protects the honest small businesses up and down the country that sell only tax-paid products to adults, but are undercut every day by an illicit trade run by criminal gangs who sell smuggled tobacco to anybody who wants it.”
In a written statement to parliament at the time, then health minister Sajid Javid said that government will consider the recommendations of the report while publishing the new Tobacco Control Plan.
Bring the license
Mandatory tobacco licensing once again came into spotlight when Action on Smoking and Health (ASH) called on the government to include retail licensing as part of new Tobacco Control Plan, citing strong sentiment among retailers to bring such regulations.
Released on Nov 1, ASH’s new report “Regulation is not a dirty word” stated that a whopping “81 per cent of local retailers in England support the introduction of a mandatory retail licence in order to sell tobacco".
The findings are based on the survey of 961 independent tobacco retailers – including newsagents, convenience stores, off-licences and petrol stations.
Other key findings include that 73 per cent support a requirement for tobacco manufacturers to pay a fee to the government for measures to help smokers quit and prevent young people from taking up smoking. While 54 per cent support raising the age of sale for cigarettes from 18 to 21 years. About 83 per cent support mandatory age verification for anyone under 25.
Furthermore, nearly three quarters (71 per cent) support larger fines for breaking the law, 81 per cent support more regular checks by trading standards staff, 84 per cent support quicker action when offences take place and 79 per cent support closure orders for repeated breaches of tobacco laws.
There is currently no licensing scheme in place for tobacco, and no mandatory age verification both of which are supported by over eight in ten local retailers of tobacco.
Citing the ASH report, Bob Blackman, chair of the All-Party Parliamentary Group on Smoking and Health, called on the government to publish the new Tobacco Control Plan without any further delay. He urged the government to listen to retailers who want tougher regulations, saying “that’s what they (retailers) think will be good for business, not de-regulation".
“The main argument used by tobacco manufacturers’ against tobacco laws with politicians like me is that they harm small shops. What this survey of nearly 1,000 shopkeepers published today shows is that shopkeepers don’t think that’s true,” Blackman said.
Gateshead-based retailer John McClurey seems to agree with report’s findings here. The retailer, who is now retired, told Asian Trader that the idea of licensing seems comfortable as there have always been some or the other regulations to adhere.
“I retired in July 2022 having been in retail for over 40 years and there have always been regulations to adhere with, not just tobacco but lottery, alcohol, vapes etc. This proposal isn’t introducing a new regulation, it is changing an existing one,” he said.
Retailer John McClurey
Most retailers now operate a Challenge 25 policy, the retailer said, adding that raising the age of tobacco purchase to 21 won’t impact on this as we will just be asking anyone wishing to purchase tobacco who looks under 25 to prove that they are over 21 instead of 18,” the retailer said, in reference to the ASH’s findings.
McClurey added that most customers under the age of 25 are fully aware of all of the various ages at which they can legally buy something.
On the question of licences to sell tobacco, McClurey expressed his approval by stating that it’s a good idea.
“There are a multitude of licences required in many aspects of life. I have a personal licence to sell alcohol which I take seriously and don’t want to risk losing it, same goes for my driving licence. The taxi drivers I used when travelling to launch this report all had taxi licences.
“I have never conducted any research on the topic but this report has and is therefore a good indication of the feelings within the retail trade,” McClurey told Asian Trader.
No Need
In Northern Ireland, since April 2016, retailers have been obliged to register with the tobacco register of Northern Ireland. It was built on a similar scheme already in place in Scotland.
Leading international tobacco maker JTI, however, has dismissed ASH’s report’s suggestions, saying that a regulation is already in place in the form of the existing framework under the tobacco ‘track & trace’ regime.
“ASH’s proposal fails to understand the framework provided by the retailer registration scheme under the tobacco ‘track & trace’ regime administered by HM Revenue & Customs (HMRC),” JTI spokesperson told Asian Trader.
Since May 2019, tobacco manufacturers have been required to provide unique identifier codes on cigarettes and hand-rolling tobacco products. Cigarettes and hand rolling tobacco must also be tracked through the supply chain.
Pointing out that retailers selling tobacco are already registered on the existing track and trace system, JTI dismissed the ASH’s suggestion of introducing mandatory retail tobacco licensing saying that there is no evidence that it will be beneficial.
“The suggestion that a licensing scheme, on top of existing legislation, would have any benefit is not evident,” said the JTI spokesperson.
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JTI spokesperson reiterated that ‘track and trace’ system requires manufacturers, distributors and retailers to register their business and facilities in order to sell cigarettes and hand rolling tobacco products.
“There are penalties for those that failure to adhere to the law – ‘on-the-spot’ fines of up to £10,000 and/or the suspension or revocation of registrations.
“It has been promised that these powers will be extended to Trading Standards – this is something JTI has been calling for and fully supports, given that Trading Standards undertake the majority of enforcement action on High Streets across the country,” said the spokesperson.
On the way?
Tobacco licensing is a topic that keeps popping its head from time to time. In 2016, a survey by a Tobacco Retailers’ Alliance (TRA) showed 87 per cent of small store owners feared for the future of their shop if they lost the ability to sell tobacco while nearly nine in 10 did not think retail tobacco licensing will reduce illicit trade. TRA at the time called for a pause in the flood of new regulation on local shops.
Reacting to ASH’s recent report, Department of Health and Social Care stated that it is currently considering the wide range of independent recommendations as set out in the Khan Review, which includes further regulation and will provide a further update in due course.
Retailers’ body Association of Convenience Stores (ACS) in its latest briefing to Blackman, who was leading a ruling motion on tobacco licensing the day this went to the press, has urged MPs to tackle the illicit market by making use of the “existing systems such as tobacco track and trace” and consider how more resources can be directed to Trading Standards.
Research conducted by ACS of enforcement officers in Trading Standards across the UK has shown that 61 per cent don’t believe they have the resources to tackle the illicit tobacco and vaping market.
“The government should commit to providing additional funding for illicit tobacco enforcement, as set out in the Khan Review and direct this funding to enforcement teams and local authorities to ensure that they have the staffing and resources that they need to tackle illicit traders,” said ACS chief executive James Lowman.
While Tobacco Control Plan 2017-2022 gave tobacco retail licensing a skip, it now remains a game of wait-and-watch to see if the same gets introduced in the upcoming plan or not.
Wiltshire Police have arrested five people and seized more than £55,000 worth of illicit vapes, tobacco and alcohol following a series of warrants in the Broadgreen area of Swindon.
In a joint operation HMRC and Trading Standards, officers executed four warrants in Manchester Road at three stores and a property on Tuesday as part of the force’s ongoing Clear Hold Build work within Broadgreen.
The raids led to the seizure of thousands of pounds worth of illegal vapes which breached the legal capacity limit and “were for sale directly next to the counters.” Officers also seized illicit tobacco and alcohol.
Some vapes were advertised as containing more than 15,000 puffs – well in excess of the 600 puff limit for disposable vapes.
Five men were arrested on suspicion of breaching section 92 of the Trade Marks Act 1994. They have been taken into custody for questioning.
“This was a highly successful morning involving excellent multi-agency work,” Sergeant Winter, of the Swindon Central South Neighbourhood Team, said.
“Community intelligence is vital to enable us to conduct operations like this. If you have any concerns around activity going on in your community then please report it to us.”
As industry leaders is cash handling, Volumatic has long supported the use of cash and the importance of maintaining access to cash for both consumers and businesses. The company recognises the importance of the new set of rules created by the Financial Conduct Authority (FCA) two months ago, to safeguard access to cash for businesses and consumers across the UK.
Since introduction, the new rules are intended to ensure that individuals and businesses who rely on cash can continue to access it and the outcome has already sparked the creation of 15 new banking hubs across the UK, including one in Scotland, with many more to follow.
These hubs provide shared spaces for consumers to access basic services, such as depositing and withdrawing cash, and are being embraced by businesses keen to support the use of cash, who have been struggling in recent years due to the flurry of bank closures across the UK.
With this in mind, Volumatic welcomes the increase in banking hubs and other facilities but recommends businesses go one step further to make things even easier.
“We have known for some time that more and more people are using cash again on a daily basis and so it’s great that access to cash is being protected by the FCA, something that we and others in the industry have been campaigning for, for a long time,” said Volumatic’s Sales & Marketing Director Mike Severs. “Both businesses and consumers need to have easy and local access to cash, and these new rules ensure cash usage continues to rise and will encourage more businesses to realise that cash is still an important and valid payment method.”
With time being of the essence for most businesses, making a journey to the nearest bank, banking hub or Post Office isn’t always possible on a daily basis, plus there is the obvious security risk to both the money and the individual taking it to consider.
Volumatic offers integration with the G4S CASH360 integration
Volumatic’s partnership with G4S, announced back in April 2024, means every business dealing in cash anywhere in the UK can have access to a fully managed solution. This will be especially relevant to those who currently have to walk or travel a distance to a bank or PO to deposit their cash.
Severs adds: “Although having more banking facilities is fantastic news, Volumatic can help businesses even more by bringing the bank to them through an investment in technology like the CCi that can offer integration with the G4S CASH360 solution. Together, we make daily cash processing faster, safer, and more secure and the combination of solutions will save businesses time and money for years to come, making it a truly worthwhile investment.“
Volumatic offers a range of cash handling solutions, with their most advanced device being the CounterCache intelligent (CCi). This all-in-one solution validates, counts and stores cash securely at POS, with UK banks currently processing over 2.5 million CCi pouches each year. When coupled with the upgraded CashView Enterprise cash management software and its suite of intelligent apps, the Volumatic CCi can offer a full end-to-end cash management solution – and now goes one step further.
It does this by providing web service integration with other third-party applications such as the CASH360 cash management system, provided by the foremost UK provider of cash security, G4S Cash Solutions (UK).
“Ultimately, only time will tell how successful the FCA’s new rules will prove. In the short amount of time the new legislation has been in place, the signs are already looking good, and coupled with the new technology we offer, it is a good thing for businesses and consumers alike in the ongoing fight for access to cash and more efficient cash processing,” concludes Severs.
Retail technology company Jisp has launched an NPD service as part of its new Direct to Retailer business unit.
The new NPD service will allow brands to launch or trial new products in a guaranteed number of convenience store locations, with on the ground review of execution by Jisp’s retail growth manager team, and performance data and insights deliverable through its scanning technology and back-office systems.
Brands will also be able to draw on retailer and consumer feedback on the product and its performance thanks to Jisp’s significant resource in user communication, with over 1,000 retailers and more than 100,000 registered shoppers.
Brands can set the parameters of the NPD activity delivered through Jisp’s new service, selecting the duration of the campaign, the number of stores to launch into and even the geographic spread or demographic make-up of the stores included.
Product merchandising and promotional execution in store is monitored by the Jisp RGM team and full reporting is available to help brands better understand the success of their new product and shape future promotional strategy.
This robust data and insight set means that Jisp can not only provide a reliable view of what is selling in stores, but through its scanning technology can also indicate who is buying the product, when, where and why.
Alex Rimmer
“As part of our recent strategic review and restructure, we identified five key pillars of growth, or business units through which to drive new business,” said Alex Rimmer, director of marketing & communication at Jisp.
“Our existing core business already provided us the means to develop new services efficiently and through discussions with major brands, retailers, wholesalers and industry authorities, we identified a need for guaranteed implementation and execution of NPD in the convenience sector.”
Compliance is further assured using Jisp’s Scan & Save scanning technology along with a retailer reward scheme which pays stores for their participation and commitment to the process.
With 1,000 stores already registered with Jisp, the company is in talks with other businesses about opening the new NPD service to their stores given the benefits of securing NPD and reward for execution.
“This is a Win-Win for the sector,” added Alex Rimmer. “Brands can create a bespoke NPD launch campaign with a guarantee that their product will be instore, on shelf and correctly merchandised and promoted, receiving actionable data and insight to shape future strategy. Retailers secure access to NPD, support in merchandising it and reward for taking part, while customers find more local touch points where NPD from their favourite brands are available.”
With this new service promising to be such a valuable asset to the market, retailers and brands are encouraged to contact Jisp to capitalise on the opportunities.
Tesco is slashing the price of more than 222 own-brand and branded products in its Express convenience stores.
Essentials including milk, bread, pasta and coffee are included in the lines which have been reduced in price by an average of more than 10 per cent at Tesco Express stores. The retail giant has made more than 2,800 price cuts across stores in recent months. With 2,048 of convenience stores at the end of the 2023-24 financial year, Tesco aims to benefit hundreds of thousands of customers from the cheaper deals.
The firm said the move comes in the wake of more than 2,800 price cuts made by the chain across its stores in recent months. From Wednesday, customers will pay £1.45 for a four-pint bottle of milk at their local Tesco Express store (down from £1.55) and a Tesco Toastie White Thick White Loaf is also 10p cheaper at 75p.
There are even bigger savings on Tesco Chicken Breast Portions (300g), which have dropped in price by 25p to just £2.25 and a 200g jar of Tesco Gold Instant Coffee now also costs 25p less at just £2.25. Among the branded products with price cuts are Warburtons White Sliced Sandwich Rolls, with the price of a six-pack cut by 10p to just £1.20 and Domestos Original Bleach 750ml, which is now just £1.19 in Express stores after an 11p price cut.
Tesco CEO Ken Murphy said, “Today’s round of price cuts on more than 200 lines in our Express stores underlines our commitment to offering great value to Tesco customers.
"Whether you are picking up coffee and milk for the office or a loaf of bread and a tin of soup on the way home, our Express stores offer both convenience and great value.”
This comes a week after One Stop, the convenience store chain owned by Tesco, has reported a surge in sales to nearly £1.3bn during its latest financial year. The Walsall-based company posted a revenue of £1.29bn for the 12 months to 24 February, 2024, an increase from the previous year's £1.17bn. Over the course of the year, the number of stores directly operated by One Stop increased from 712 to 733, while its franchised locations also grew from 291 to 317.
1. One in five people who have successfully quit smoking in England currently vape, with an estimated 2.2 million individuals using e-cigarettes as a smoking cessation tool.
2. The increase in vaping among ex-smokers is largely driven by the use of e-cigarettes in quit attempts, with a rise in vaping uptake among people who had previously quit smoking for many years before taking up vaping.
3. While vaping may be a less harmful option compared to smoking, there are concerns about the potential long-term implications of vaping on relapse risk and nicotine addiction. Further research is needed to assess the impact of vaping on smoking cessation outcomes.
ABOUT one in five people who have stopped smoking for more than a year in England currently vape, equivalent to 2.2 million people, according to a new study led by UCL researchers.
The study, published in the journal BMC Medicine and funded by Cancer Research UK, found that this increased prevalence was largely driven by greater use of e-cigarettes in attempts to quit smoking.
However, the researchers also found a rise in vaping uptake among people who had already stopped smoking, with an estimated one in 10 ex-smokers who vape having quit smoking prior to 2011, when e-cigarettes started to become popular. Some of those smokers had quit for many years before taking up vaping.
The study looked at survey data collected between October 2013 and May 2024 from 54,251 adults (18 and over) in England who reported they had stopped smoking or had tried to stop smoking.
“The general increase in vaping among ex-smokers is in line with what we might expect, given the increasing use of e-cigarettes in quit attempts. NHS guidance is that people should not rush to stop vaping after quitting smoking, but to reduce gradually to minimise the risk of relapse,” lead author Dr Sarah Jackson, of the UCL Institute of Epidemiology & Health Care, said.
“Previous studies have shown that a substantial proportion of people who quit smoking with the support of an e-cigarette continue to vape for many months or years after their successful quit attempt.
“However, it is a concern to see an increase in vaping among people who had previously abstained from nicotine for many years. If people in this group might otherwise have relapsed to smoking, vaping is the much less harmful option, but if relapse would not have occurred, they are exposing themselves to more risk than not smoking or vaping.”
For the study, researchers used data from the Smoking Toolkit Study, an ongoing survey that interviews a different representative sample of adults in England each month.
The team found that one in 50 people in England who had quit smoking more than a year earlier reported vaping in 2013, rising steadily to one in 10 by the end of 2017. This figure remained stable for several years and then increased sharply from 2021, when disposable e-cigarettes became popular, reaching one in five in 2024 (estimated as 2.2 million people).
The researchers found, at the same time, an increase in the use of e-cigarettes in quit attempts. In 2013, e-cigarettes were used in 27 per cent of quit attempts, while in 2024 they were used in 41 per cent of them.
Senior author Professor Lion Shahab, of UCL Institute of Epidemiology & Health Care, said: “The implications of these findings are currently unclear. Vaping long term may increase ex-smokers’ relapse risk due to its behavioural similarity to smoking and through maintaining (or reigniting) nicotine addiction. Alternatively, it might reduce the risk of relapse, allowing people to satisfy nicotine cravings through e-cigarettes instead of seeking out uniquely harmful cigarettes. Further longitudinal studies are needed to assess which of these options is more likely.”