Dáil debates

Tuesday, 13 October 2020

Financial Resolutions 2020 - Financial Resolution No. 1: Tobacco Products Tax

 

8:10 pm

Photo of Stephen DonnellyStephen Donnelly (Wicklow, Fianna Fail) | Oireachtas source

I thank the Deputies. I will address Deputies Smith and Howlin at the same time as their questions had a similar message. Deputy Boyd Barrett also raises a similar point. I can provide figures on the illicit trade, but let us put it aside for a second. I was asked if there are other ways to reach people and whether this affects lower income households disproportionately.

The answer to both questions is "Yes". One of the things we have done in the budget is to increase the Healthy Ireland budget by €20 million. It has quite effectively tackled issues around alcohol, tobacco and addiction. I fully agree that it cannot just be about pricing. What we know about increasing pricing is that it works. It is an elastic product and the evidence from Ireland and around the world shows that pricing is a very effective way of reducing its usage. It is particularly effective among younger people, who are one of the groups we wish to target. I fully agree with the Deputies that it should not be the only measure. We need to invest in Healthy Ireland and preventative care.

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