Retailers protest at government proposals to ban tobacco displays in stores


Retailers are protesting at Government proposals to ban or restrict the display of tobacco products in stores across the UK, according to a survey of 1,000 independent stores carried out by trade magazine Independent Retail News.


On May 31 the UK government launched its consultation on the Future of Tobacco Control, which closes on September 8. Also in May, the Scottish Government launched a Smoking Prevention Action Plan, which includes similar proposals such as banning of tobacco products on display behind the counter, banning packs of cigarettes less than 20 and banning tobacco vending machines.

Highlights of the survey include:

* 85% of retailers oppose the moves
* 89% fear high costs of new gantries and conversions as sales go under the counter
* 79% say sales will fall
* 78% fear sales of fake cigarettes will rise
* 79% say security is issue

Most retailers in England, Northern Ireland and Wales, 84.4%, said they did not agree with the proposal to ban displays. [Figures for Scotland are listed separately below.]

Nine-in-ten retailers, 88.2%, said it would take longer to serve customers and 79.4% cited security concerns. A similar proportion, 88.5%, thought costs would rise as a result of the proposal and 78.8% feared a loss in sales of tobacco. For 75% of independents there were health and safety fears, over back injuries for example.

In the survey, 77.5% of retailers expressed fears that the proposals to restrict display and sale of packs of less than 20 would increase the fake trade in the UK with consumers buying cheap smuggled cigarettes outside the legitimate trade.

John Kirwan, editor of Independent Retail News, said: “Retailers believe these proposals will damage their business. They know their customers better than anyone and say a display ban and ban of packs smaller than 20s will boost the illegal counterfeit trade in cigarettes. Governments need to take their views on board.”

In the survey, retailers were asked whether they thought the proposed moves would increase sales to under-age buyers. Most, 79.4%, thought sales would remain the same, 10.8% thought there would be an increase and 9.9% thought sales to under-age buyers would fall.

Retailers also feared the cost of transition with just over three quarters of retailers surveyed expected to pay up to £2,000 for new merchandising units with the balance expecting costs to reach up to £4,000 or more.

One of the measures proposed by the Government is to ban packs of cigarettes smaller than 20s. A fifth (17.8%) of retailers agreed with this proposal but the balance, 82.2%, disagreed.

A majority (87.1%) thought the proposal would drive buyers to buy packs of 20s and 87.1% said smokers would be driven to buy 20s packs on the black market when they would normally buy 10s packs legitimately through the retail trade.

Few retailers (7.3%) believed smokers would stop altogether and a majority (64.3%) said smokers will smoke more as a result. A clear majority, 80.7%, said the move to ban 20s packs would not discourage smokers from smoking.

Just over half of retailers (55.7%) thought smokers will be more likely to buy from larger multiples than smaller independent retailers if the proposals get the go ahead.

Retailers in England, Wales and Northern Ireland only have a three months’ consultation period which expires on September 8, 2008. The seriousness with which independent shop owners are treating these proposals is reflected in the 73.9% of retailers who are responding to the consultation.

Eight-in-ten (79.4%) have discussed the issues with their tobacco representative and 62.5% have contacted a trade body like the Association of Convenience Stores (ACS) or the National Federation of Retail Newsagents (NFRN). A third (36.1%) have taken the issue up with Trading Standards, a third (35.1%) are contacting their local MP and 32.8% are contacting their local newspaper.

The survey asked retailers what measures they took to ensure they were responsible when selling age-restricted products. Nine-in-10 retailers (92.8%) displayed No ID, No Sale posters and 93.2% had Government posters highlighting the issue. And 80.4% used the CitizenCard proof-of-age card with a smaller percentage, 72.2%, using other PASS accredited proof-of-age cards.

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