Budget 2007: Thanks - But not enough

ASH Media Statement

24 May 2007

Budget 2007: Thanks - But not enough

Tobacco tax increase could have saved lives

ASH NZ applauds Associate Health Minister Damien O'Connor’s announcement today of a substantial new funding in Budget 2007 to boost New Zealand's ongoing battle against the tobacco epidemic.

However, ASH is also disappointed that the opportunity to increase tobacco tax in last week’s budget was wasted, especially as the Government’s own five year tobacco control plan identifies an increase in tax as the ‘most important single intervention to reduce smoking initiation’ [http://www.moh.govt.nz/moh.nsf/0/AAFC588B348744B9CC256F39006EB29E/$File/clearingthesmoke.pdf].

“The increased funding to support smokers who want to stop is good news, but the budget could have been great news if it was accompanied by a tobacco tax increase. We are long overdue for a substantial and real increase in the cost of tobacco. Increasing cigarette taxes is a win-win situation for government - a health win that reduces smoking and saves lives and a fiscal win that can raise revenue to fund smoking cessation programmes,” says Ben Youdan, ASH Director.

Youdan adds: “This additional investment in smoking cessation is a great boost to helping people stop smoking, but at the other end of the scale, the opportunity to discourage young people from starting has been wasted for yet another year. There has been no substantial increase in cigarette prices in New Zealand since 2000.”

ASH NZ Was set up by concerned health professionals in 1982. ASH NZ works to increase awareness of tobacco and the industry that produces the product, advocate for policies that help people quit smoking, and to improve the health of all New Zealanders by reducing tobacco use.

ENDS

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