Cigarettes, wine hit with 50 cent increase

The duty on both a packet of 20 cigarettes and a bottle wine has been increased by 50 cent in Mr Lenihan's first budget.

The duty on both a packet of 20 cigarettes and a bottle wine has been increased by 50 cent in Mr Lenihan's first budget.

The price of a packet of 20 cigarettes will increase by 50 cent from midnight with pro-rata increases being imposed on other tobacco products.

ASH Ireland welcomed the increase but described it as an opportunity missed having sought a €2 increase.

"The increase is welcome and will certainly make a difference," Dr Angie Brown, Chairperson of ASH said. "Price is an extremely important device in encouraging smokers to quit and discouraging young people from experimenting with tobacco. I believe the public would generally have accepted a more substantial increase and understood the health benefits"

Dr Brian Maurer, Medical Director Irish Heart Foundation said he was disappointed by the small increase in the price of cigarettes. “It is well proven that price is the most effective deterrent to young people taking up smoking and to encourage existing smokers to quit. As the national charity fighting heart disease and stroke, the Irish Heart Foundation is extremely frustrated by the Government’s failure to increase the price of a pack of 20 cigarettes by at least €1."

There was no increase levied on the price of a pint of beer but the excise on a bottle of wine has been increase by 50 cent.

Mr Lenihan said there would a reduction in duty on low-alcohol beer and cider.

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A reduced rate of excise duty, at 50 per cent of the full appropriate excise duty rate for beer and cider, will be introduced for beer and cider products with an alcohol by volume content of 2.8 per cent or less.