Set to be introduced in October 2026, the level of tax will be linked to nicotine levels in the products.

The new Vaping Products Duty will follow a public consultation, which sets out the proposals for how the duty will be designed and implemented. This duty will be accompanied by a one-off increase in tobacco duties.

The consultation will last for 12 weeks, starting on 6^th March and ending on 29^th May, with the UK Government asking for views on the impact of the proposals to help determine the final design of the duty.

The proposed vaping duty tier structure would see a duty of £1 per 10ml on nicotine-free liquids, £2 per 10ml on liquids that contain approximately the same or less nicotine (per ml) than in an average cigarette (0.1-10.9mg) and £3 per 10ml on liquids that contain roughly more nicotine per ml than in an average cigarette (11mg or more).

The government aims to reduce the number of non-smokers and young people that vape, and also to encourage consumers to reduce their nicotine intake by switching to lower or nicotine-free options. As a result, the structure of the duty will be progressive.

A one-off increase on the duty on tobacco was also announced, with the aim of not making “smoking more attractive” and to maintain the “financial incentive to choose vaping over smoking”.

According to the Northern Ireland Young Persons Behaviour and Attitudes Survey 2022, the majority of young people (95%) had heard of e-cigarettes, with a fifth (21%) having used an e-cigarette at least once. Those in the older year groups were more likely to report ever having used, with findings ranging from 6% of those in Year 8 to 44% of those in Year 12.

There was also a notable difference across the school years, with those in the older age groups more likely to report e-cigarette use; the proportion of those in Year 12 that indicated they currently use e-cigarettes increased from 10% in 2016 to 24% in 2022, and the proportion classed as regular e-cigarette users increased from 6% to 17% in the same time period.

Ahead of the Spring Budget Statement, Director General of the UK Vaping Industry Association, John Dunne had voiced his concerns about a vaping tax, urging the Chancellor to avoid the introduction of a duty on vapes.

“Effectively this is a tax on those wishing to stop smoking, a nonsensical move considering that vaping saves the NHS some £322m a year due to reducing care associated with smoking conditions according to the Centre for Economics and Business Research (Cebr),” said Mr Dunne.

Elsewhere in the Spring Budget, the Chancellor announced a 2% cut in National Insurance, while an additional £100m will be made available for spending by Stormont departments.

Reacting to the Statement, Retail NI Chief Executive Glyn Roberts said overall there were a “number of positives for Northern Ireland”.

“Raising the VAT registration to £90k, freezing the fuel duty and extending the UK Recovery Loan Scheme are all welcome announcements for our members,” said Mr Roberts.

“We will be seeking more detail from the government on the £150m Enhanced Investment Zone proposal and how it will focus on areas of Northern Ireland that have had historical underinvestment.

“The Finance Minister needs also to set out how the additional £100m for Northern Ireland will be spent.”

The post Vape tax announced in Spring Budget first appeared on Neighbourhood Retailer.

This week, the Department for Levelling Up announced funding for 55 projects across Great Britain, however it added that no money was being provided to Northern Ireland “at this time” because of the collapse of Stormont.

Michael Gove, the Levelling Up Secretary, said the money would “create new jobs and opportunities, power economic growth, and revitalise local areas”.

However, commenting on this decision, Retail NI Chief Executive, Glyn Roberts said this was a “deeply disappointing and disgraceful decision” by the UK Government.

“Much of this funding would have helped with much-needed efforts to regenerate our local high streets and town centres,” he said.

“While it is crucial we get Stormont restored, its absence should not be a reason for not proceeding with these projects. Yet again local small businesses and independent retailers are losing out compared to their counterparts elsewhere in the UK.”

There was cross-party criticism from the Northern Ireland political parties, with many saying the move was “economic blackmail”.

The Department for Levelling Up said that given the current absence of a working executive and assembly the government was “not proceeding with this round of the Levelling Up fund at this time”.

“We will continue to work closely with projects and places in Northern Ireland that were awarded a total of £120 million in the first two rounds of the fund,” it added.

The post Northern Ireland omitted from Levelling Up funding due to “lack of working executive” first appeared on Neighbourhood Retailer.

For the first time, Retail NI will be using Global Northern Ireland’s brand-new large format digital screen located on bustling Bruce Street in Belfast City Centre. The screen, which measures over 18.5m sq, is situated between Great Victoria Street and Dublin Road and will help Retail NI reach over 86,000 people each week as they visit the city in during the festive season.

Retail NI Chief Executive Glyn Roberts said the organisation was keen to encourage consumers to support local independent retailers this Christmas.

“2023 has been a tough year for many independent retailers with sky high business rates, declining consumer confidence, inflation and the recent flooding,” he said.

“Christmas is a critical time for many of our members as it sustains their business throughout the year, maintaining jobs and ensuring investment in our high streets.

“With the focus of Black Friday and Cyber Monday being on big retailers and global online companies, Retail NI would urge consumers to make a special effort to support their local independent retailers this Christmas.”

He added that 70 pence in every pound spent with an independent retailer is recycled around the supply chain, ultimately benefiting local suppliers, manufacturers and farmers.

“It not just about the 70p, many independent retailers offer greater choice, products you can’t get in the large multiples and quality of service,” he added.

The post Retail NI launches Christmas campaign ahead of Black Friday first appeared on Neighbourhood Retailer.

The Ulster Farmers’ Union said that potato farmers and vegetable farmers had been assessing the damage after the flooding across counties Down, Armagh and Antrim. They added that due to the wet weather, the quality of surviving produce would be “heavily impacted”.

In an online post, the UFU said its office bearers had visited potato farmers over the weekend following the severe rainfall and subsequent flooding incidents.

“This is a major blow for our growers who have put a huge amount of investment into producing a premium crop and are now trying to salvage what remains,” they said.

“The UFU has been engaging with local politicians to help raise awareness of the difficult situation our growers are currently facing,” they added.

Meanwhile, Retail NI has urged the Secretary of State to provide an immediate funding package to support those businesses who have had their properties damaged because of the flooding.

In a statement, Retail NI Chief Executive Glyn Roberts and Hospitality Ulster Chief Executive Colin Neill said support was needed to get those businesses affected “back on their feet again”.

“At present no financial aid is available for businesses that have been wrecked because of the flooding. We have engaged with the Department of Finance on rates hardship, but it is nowhere near the type of help these businesses need,” they said.

“Why is it business flood victims in the Republic and elsewhere in the UK can receive financial help but in Northern Ireland they receive nothing.

“The Secretary of State needs to bring forward a financial package which will help these businesses get back on their feet again. Unless this is brought forward then many of these businesses and the jobs they support will be gone well before Christmas.”

The post Farmers’ crops seriously impacted by severe flooding incident first appeared on Neighbourhood Retailer.

In a shock move earlier this year, the government announced its decision to remove all DVLA services from 31^st March 2024.

The NFSP and Retail NI have said that removing further face-to-face transactions will “have an extremely negative impact on vulnerable and digitally excluded customers”.

They added the move would also jeopardise “the livelihood of 50,000 full-time equivalent employees who work in the post offices around the UK”, stating that losing this over-the-counter service is also “another nail in the coffin for cash”.

POST OFFICE TRANSACTIONS

Across the UK, currently six million customers access DVLA services across Post Office counters, with half of those paying in cash.

In Northern Ireland, there are up to 500 PO branches with approximately 40,000+ DVLA transactions at Post Office counters per month. Total customer numbers per month are estimated to be around 350,000 to 400,000.

Jim McCafferty, Non-Executive Director for Northern Ireland said: “I think the DVLA withdrawal is unfair to our customers as many of them visit our branch purposefully to pay their Road Fund Licence (Car Tax) with cash – it is their preferred method of payment.

“I believe the government decision to provide this service online only is to the detriment of communities across the country and further weakens the financial position of beleaguered SubPostmasters.

“It appears the government have an undeclared strategy to close swathes of Post Office branches at no cost to themselves, leaving communities without a local Post Office – ‘stealth closures’.

“This is just the latest removal of a government service purportedly lauded to save the taxpayers money, but it is clearly against the wishes of the public,” he added.

Retail NI Chief Executive Glyn Roberts said: “Post Offices should be getting more government services, not less. They are an invaluable footfall driver for our members, local high streets, and a vital community service.

“We urge the government to rethink this immediately and start investing in our local Post Offices.”

‘ANOTHER NAIL IN THE COFFIN’

Local Postmaster Jim Moan, who owns Howard Street Post Office in Belfast said: “The government promised us more work, not less and less, they are crippling the whole network of post offices. My customers are not happy with this decision.

“This is just another nail in the coffin, my business was already struggling, and the removal of another service is the last straw – we must make a stand.”

In response to the government’s decision, the NFSP have set out a campaign to raise awareness and a petition to collect signatures called ‘Prevent Government from removing DVLA services from the Post Office from April 2024’. Members of the public can sign the petition here but the NFSP is encouraging their customers to go into their local post office and physically sign an offline petition. This will support their local Post Office and protect this vital community service.

The NFSP hopes to present a significant amount of signatures to government and MPs on 1^st November this year so the issue can be debated in Parliament and presented at Downing Street to persuade them to reverse their decision.

“If government continues to remove services from Post Office counters, then the network will go the way of many of the banks and cease to exist on our High Streets and within our communities,” added Mr McCafferty.

“Postmasters are self-employed businesspeople who have invested their own money into the Post Office network. Collectively they employ around 50,000 full-time equivalent employees, who rely on their businesses to help them pay bills and provide for their families.

“Last year, the network earned over £3m from providing DVLA services so at a time when there is a cost-of-living crisis, the loss of the DVLA income will hit Postmasters hard along with their ability to continue to employ staff.”

The post Northern Ireland customers set to be affected by removal of DVLA services first appeared on Neighbourhood Retailer.