Currently watching the Budget on TV and following it online.
Commentators seem to be agreed that the cost of cigarettes will rise by 28p for a packet of 20.
The good news is that's less than the 50p (or five per cent) increase ASH were seeking.
Should get confirmation shortly.
In the meantime Forest has three responses waiting to hit the media:
One, our reaction to a large (five per cent) increase.
Two, our reaction to the anticipated increase.
Three, our response to a freeze on tobacco duty.
I was going to draft our response to a £1 reduction in tobacco duty (our preferred option!) but what are the odds?
Update: Tobacco duty to rise by two per cent above inflation (ie as predicted).
NEWS RELEASE Wednesday 19 March 2014
Increase in tobacco duty will hit poor and elderly the hardest, say campaigners
Responding to the increase in tobacco duty (two per cent above inflation), Simon Clark, director of the smokers' group Forest, said:
"Recent history shows that increasing tobacco duty above inflation fuels illicit trade and costs government money.
"The Treasury loses billions of pounds to illicit traders every year. A further increase in duty will merely encourage more people to take advantage of the huge savings available on the black market.
"Law-abiding consumers are being penalised while poor and elderly smokers will be hardest hit."
Update: Budget 2014: Response from Oxfam, CBI, TUC, TaxPayers Alliance and Forest (Politics.co.uk)
The Grocer also quotes Forest: Osborne scraps the alcohol duty escalator.
Update: George Osborne today announced that tobacco duty will continue to rise at two per cent above inflation until the end of the next parliament.
There is no health reason not to, he said.
Brian Monteith disagrees. See Osborne is wrong: there is a health case for abolishing tobacco duty escalator (The Free Society).
Update: Chris Snowdon has written a very good post for the IEA blog, Budget reaction: Drinking, gambling and smoking.