THE COST of a packet of cigarettes will be hiked by 50c from midnight tonight.
Finance Minister Paschal Donohoe confirmed the increase in Budget 2023 today, but alcohol prices will remain untouched.
The excise duty on a pack of 20 cigarettes will increase by 50c and a pro-rata increase will be placed on other tobacco products.
Minister Donohoe is granting up to 50 cent excise relief to independent small producers of cider and pear cider.
Retailers Against Smuggling (RAS) has expressed frustration over today’s excise increase on tobacco. The group said the price hike will lead to further black-market activity as consumers grapple with the soaring cost-of-living.
National ROS Spokesperson Benny Gilsenan said: “We fully expect that the percentage of smuggled tobacco on the Irish market will continue to rise because of the increase, eliminating any potential gains to the Exchequer. As consumers turn towards the black market, ultimately it is the retailer who suffers through the loss of not only the legal purchase of cigarettes but also any potential additional purchases that person might make when they are in the store.”
