Elisabeth Svantesson, the Swedish Minister of Finance, has hit back at plans – first revealed on Clearing the Air – to make levies on tobacco and nicotine products part of the EU budget.
“Leaks suggest that the EU Commission will next week present proposals for a new Tobacco Tax Directive. The proposal circulating is completely unacceptable to the Swedish government” she said on X yesterday (in Swedish).
“It appears that the EU Commission’s proposal would entail a very significant tax increase on white snus, and furthermore, the Commission wants the tax revenues to go to the EU and not to Sweden” she continued.
Sweden went on to offer unapologetic support for safer nicotine products. “The [Swedish] government wants each EU country to be able to tax tobacco and nicotine based on its relative harmfulness. And for us, it is obvious that the tax revenues should benefit Sweden and not go to EU bureaucracy”, she said.
“I have previously discussed the government’s objections with the responsible Commissioner Hoekstra” she concluded. “When the EU Commission presents its proposal, I will continue to fight for Swedish snus”.
The statement represent a significant blow to the Commission’s plans to hike taxes on nicotine pouches (known as “white snus” in Sweden) by around 50%; as first revealed on Clearing the Air last month.
Approving the EU Commission’s proposals on taxing nicotine products will require unanimity among EU Member States, with Sweden able to block the entire proposal if it is not satisfied.
The EU executive is due to show its hand next Wednesday, when it will publish proposals for a Multiannual Financial Framework: its budget for the next seven years.
