THENATIONALPULSE (Pulse Wires) - Record-High UK Illicit Cigarette Market Exposes Failed Tax-and-Ban Strategy.
A new report reveals that nearly half of all cigarettes consumed in the United Kingdom are now sourced from the illicit market, fueling organized crime and leading to significant tax revenue losses.
A new report reveals that nearly half of all cigarettes consumed in the United Kingdom are now sourced from the illicit market, fueling organized crime and leading to significant tax revenue losses. PULSE POINTS WHAT HAPPENED: A KPMG report commissioned by Philip Morris International reveals that 45 percent of cigarettes consumed in the United Kingdom in 2025 were non-duty-paid, with 32.3 percent being counterfeit or contraband. IMPACT: The illicit cigarette market cost Britain’s Treasury an estimated £4.46 billion (~$6bn) in lost tax revenue. The country has the highest taxes on tobacco products in Europe, and the second-largest illicit market, behind only France—where such taxes have risen rapidly in recent years.…Open