The Scottish Government has revealed the new disposable vape ban will leave local retailers billions of pounds out of pocket over the next 10 years.
A ban on the sale and supply of single-use vapes in Scotland is due to come into effect on 1 April 2025 under proposed legislation.
However, a new review by ScotGov reveals that even in a “best case scenario,” the ban will lead to shops in Scotland collectively losing a massive £1.2 billion. In a “worst case scenario” they will miss out on £2.1 billion, making the likely midpoint £1.6 billion in lost revenue.
These losses do not factor in refits many shops will have to fund in order to comply with tighter rules on displays of refillable vapes.
The figures are outlined in the Prohibition of the sale and supply of single-use vapes Full Business and Regulatory Impact Assessment published this week.
The Scottish government recently set out sanctions for businesses that continue to sell or supply disposables after a ban, with offenders facing fines of £5,000 to £10,000.
Serious financial implication for struggling shops
The Scottish Grocers’ Foundation (SGF) warns of the serious financial implications the ban will have on local retailers, as many are already struggling to stay open.
Pete Cheema, chief executive at the SGF, said: “Pressing ahead with the disposable ban will be significantly detrimental to local convenience stores in Scotland where retailers are already under immense pressure due to inflation, rising energy costs and the ongoing retail crime epidemic.
“Further regulation will substantially add to the cost of doing business in Scotland and inevitably lead to fewer convenience stores operating in the long term, which in turn will add to the cost for customers and exacerbate the cost-of-living crisis.”
In contrast, a study last year revealed the UK’s health service could save more than £500 million per year if half of smokers switched to vaping.
Lib Dems commit to disposable vape ban
Meanwhile, the UK’s Liberal Democrat party has pledged to continue Prime Minister Rishi Sunak’s plan to ban disposable vapes should it be brought into power.
The party’s general manifesto, released yesterday, says they are committed to clamping down on vaping by children and pushing through a ban on single-use vapes.
Previously the party, led by Sir Ed Davey, had been non committal over the ban with most of its MPs abstaining from the vote on the Tobacco and Vaping Bill.