Key points:
- Switching consumer spending from tobacco could create up to 135,000 jobs and nearly £10 billion in annual economic output.
- The Tobacco and Vapes Bill would ban tobacco sales for those born after January 1, 2009 and impose strict marketing restrictions on vaping products.
- Eliminating tobacco use could save over £21 billion a year in economic costs, including lost productivity and healthcare expenses.
A new report from Landman Economics, commissioned by the charity Action on Smoking and Health (ASH), found that a smoke-free nation could substantially boost the British economy while generating tens of thousands of jobs.
The study explores how diverting spending from tobacco to other goods and services could drive economic growth. It states that the lack of significant tobacco production in the UK means that most jobs and economic activity come from sectors outside of the tobacco industry.
When consumers shift their spending away from tobacco products, the funds are reallocated to industries that create employment through production, manufacturing, and service provision. The authors estimate that such a shift could potentially generate up to 135,000 full-time equivalent jobs and increase economic output by nearly £10 billion per year.
“Reducing smoking prevalence in the UK to zero would deliver significant economic benefits,” the report concludes. Howard Reed, the report’s author, explained, “Few would consider reducing smoking as having a direct impact on the country’s growth strategy but plainly this analysis shows that reducing consumption of tobacco can have major benefits to society beyond improving health.
“What is more, switching spending from tobacco can have a very rapid impact on jobs, whereas some of the health benefits can take many years to be seen.”
ASH CEO Hazel Cheeseman echoed these sentiments ahead of a pivotal vote on the Tobacco and Vapes Bill in the House of Commons. “Today MPs will take a historic step when they vote in support of the Tobacco and Vapes Bill, and they should do so in the knowledge of the many benefits it will gift future generations.
“The phased-out sale of tobacco will unlock potential for the next generation, not only by keeping them healthy but also ensuring there are more jobs and a healthier economy,” Cheeseman said.
The proposed Tobacco and Vapes Bill would introduce a generational ban on tobacco, gradually raising the legal age for purchase for anyone born after January 1, 2009. In addition, the bill enforces strict restrictions on vape advertising and sponsorship, aligning them with existing tobacco regulations.
Disposable vapes are slated for prohibition from June under separate environmental legislation.
Sarah Sleet, CEO of Asthma and Lung UK, stated, “The passage of the Tobacco and Vapes Bill through its final stage in the House of Commons today is a vital step in our world-leading journey towards a smoke-free future for the UK. This legislation is the most important health change in decades, protecting future generations from a deadly addiction, which has devastated so many lives.”
A recent poll by Forest, a smokers’ advocacy group, revealed that 39% of respondents support a generational ban, while 24% favor keeping the legal sale age at 18. Simon Clark, director of Forest, commented, “Creeping prohibition won’t stop young people smoking, it will simply drive the sale of tobacco into the hands of criminal gangs.”
As the Tobacco and Vapes Bill returns to the Commons for its final stages, stakeholders on both sides of the debate stress the importance of balancing public health improvements with the need to prevent illicit markets.




