Written answers
Tuesday, 27 February 2024
Department of Finance
Tobacco Control Measures
Colm Burke (Cork North Central, Fine Gael)
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150. To ask the Minister for Finance the annual increases in the retail price of the most popular price category MPPC for a 20-pack of cigarettes since 2011; the portion of the increase related to taxes; the portion of the increase due to price rises by the tobacco industry, in tabular form; and if he will make a statement on the matter. [9099/24]
Colm Burke (Cork North Central, Fine Gael)
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151. To ask the Minister for Finance the estimated revenue that would be raised annually if tobacco taxation were to be increased annually on a pro-rata basis so that all packs of 20 cigarettes cost at least €20 by 2025; and the estimated revenue that would be raised annually if an equivalent annual tobacco tax on roll-your-own cigarettes was introduced; and if he will make a statement on the matter. [9100/24]
Michael McGrath (Cork South Central, Fianna Fail)
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I propose to take Questions Nos. 150 and 151 together.
I am advised by Revenue that the table below shows the annual increases in the retail price of the most popular price category (MPPC) for a 20 pack of cigarettes since 2011, together with the portions related to tax increases and trade increases.
| Year | MPPC 1 January € | Tax Increase € | Trade Increase € | Total Increase € | MPPC 31 December € |
|---|---|---|---|---|---|
| 2011 | 8.55 | 0.25 | 0.10 | 0.35 | 8.90 |
| 2012 | 8.90 | 0.28 | 0.12 | 0.40 | 9.30 |
| 2013 | 9.30 | 0.10 | 0.10 | 0.20 | 9.50 |
| 2014 | 9.50 | 0.40 | 0.10 | 0.50 | 10.00 |
| 2015 | 10.00 | 0.50 | 0.00 | 0.50 | 10.50 |
| 2016 | 10.50 | 0.50 | 0.30 | 0.80 | 11.30 |
| 2017 | 11.30 | 0.50 | 0.20 | 0.70 | 12.00 |
| 2018 | 12.00 | 0.50 | 0.20 | 0.70 | 12.70 |
| 2019 | 12.70 | 0.50 | 0.30 | 0.80 | 13.50 |
| 2020 | 13.50 | 0.30* | 0.20 | 0.50 | 14.00 |
| 2021 | 14.00 | 0.70** | 0.30 | 1.00 | 15.00 |
| 2022 | 15.00 | 0.50 | 0.30 | 0.80 | 15.80 |
| 2023 | 15.80 | 0.75 | 0.20 | 0.95 | 16.75 |
| 2024 | 16.75 | 0.00 | 0.00 | 0.00 | 16.75*** |
*The tax increase in 2020 of €0.30 aggregates an increase of €0.50 in excise in October 2020 and a €0.20 reduction in VAT from 23% to 21% on 1 September 2020.
**Includes the increase of €0.50 in excise in October 2021 and the increase of €0.20 in VAT to 23% on 1 March 2021.
***The latest price for the MPPC is €16.75 (February 2024).
In relation to Question 9100/24, I am advised by Revenue that the estimated revenue impact of potential changes in rates of taxation, including estimates for the full year yield from changes in duties on packs of 20 cigarettes and on roll-your-own tobacco, are available on page 25 of its Ready Reckoner for calculating the likely impacts of potential changes to taxes or duties. It is available on the Revenue website at: www.revenue.ie/en/corporate/information-about-revenue/statistics/ready-reckoner/index.aspx. The Deputy should note that, in calculating the yield estimates for changes to the duties on packs of cigarettes, the Ready Reckoner estimates assume pro-rata increases in other tobacco products.
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