In a move to curb the consumption of tobacco, the European Commission has proposed increasing the tax on cigarettes. The President of the German Medical Association, Klaus Reinhardt, welcomes the initiative, stating that higher prices for cigarettes could significantly reduce the consumption of tobacco.
Higher prices, he believes, would act preventively, increase the entry barrier for young people and motivate those who already smoke to quit. The medical community has long been calling for additional, earmarked taxes on tobacco products. The revenue generated should be specifically allocated to the expansion of effective and high-priority prevention measures, particularly in the child and youth sector, Reinhardt emphasized.
Janosch Dahmen, the health policy spokesperson for the Green parliamentary group, also supports the proposed tax increase. “The EU Commission’s demand is sensible and overdue” he said. “Tobacco kills and it remains one of the largest avoidable causes of disease and costs in Europe.”
Higher prices, Dahmen believes, are a effective means of deterring young people from starting to smoke. Those who want to protect public health, particularly for children, the sick and non-smokers, must not give in to the tobacco industry, whether in the form of traditional products or supposedly harmless alternatives like e-cigarettes.
While Klaus Holetschek, the CSU’s parliamentary group leader in the Bavarian state parliament, is generally against tax increases, he can see exceptions in the case of smoking. “The condition would be that the additional revenue goes to the healthcare system, for example, through higher subsidies” he said, adding that this could help alleviate the burden on the health and pension insurance funds in the short term.
Andreas Storm, the chairman of the DAK health insurance, views the EU’s proposal positively. “A higher tobacco tax would be sensible if the additional funds were targeted at preventing and strengthening child and youth health.” This should also include e-cigarettes and vapes, Storm added.
Simone Borchardt, the health policy spokesperson for the Union parliamentary group, views the price increase with skepticism. “Tobacco tax increases must not become a hidden social tax. A taxation principle of ‘wealth meets addiction’ is neither fair nor health-effective.” If higher taxes are to be introduced, the additional revenue must be allocated to the health fund, specifically for prevention, de-addiction and the treatment of nicotine-related diseases, Borchardt emphasized.
The European Commission has defended its plans, with a spokesperson stating that a majority of EU member states have called for the modernization of the tobacco tax. The Commission has taken up this initiative and is working on a proposal. The exact increase in prices has not been commented on at this time.