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Govt increases tobacco prices to reach 32% differential with Spain

The Gibraltar Government yesterday published an increase in the cost of tobacco to reach the 32% differential with Spain agreed under the terms of the Gibraltar Protocol to the Brexit Withdrawal Agreement. 

That means the price of the main brands of cigarettes in Gibraltar can be no more than 32% cheaper than the equivalent price in Spain.

Chief Minister Fabian Picardo confirmed the development as he provided evidence to the European Union Committee of the House of Lords yesterday afternoon. 

The Government has also taken further steps in the last week towards complying with its obligations under the Gibraltar Protocol through the publication of a package of measures consisting of eight separate pieces of legislation. 

These measures implement the World Health Organisation Framework Convention on Tobacco Control and the Protocol to Eliminate Illicit Trade on Tobacco Products.

The legislation, published last Friday, prepares Gibraltar for the extension of both the Framework Convention and the Seoul Protocol in sufficient time to meet the 30 June deadline prescribed by the Gibraltar Protocol. 

In a statement the Government said the substantial package of measures published signifies its commitment to meeting its obligations under the Withdrawal Agreement.

As permitted under the Framework Convention and Seoul Protocol, commencement of the new legislation will be staged to allow local stakeholders to adapt to new obligations.

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