Cigarette Prices Rise, Alcohol Duty Stays Same – RTE.ie
Budget 2025: Cigarette Prices to Rise, Alcohol Duties Unchanged
Table of Contents
Cigarette Tax Increase
As of Budget 2025, a 50-cent increase will be applied to a pack of cigarettes. This represents a direct increase in excise duty on tobacco products, aiming to discourage smoking and generate additional revenue for the exchequer. The change is effective instantly following the budget declaration on October 7, 2024.
Alcohol Duties Remain Stable
In contrast to tobacco, duties on alcohol have been maintained at their current levels in Budget 2025. This means there will be no increase in the cost of beer, wine, or spirits as a result of the budgetary measures. This decision follows a period of previous increases in alcohol excise duties.
Context and Potential Impact
The increase in cigarette tax aligns with ongoing public health strategies to reduce smoking rates in Ireland. Higher prices are frequently enough cited as a key deterrent, particularly among younger demographics. The decision to hold alcohol duties steady may reflect considerations regarding the hospitality sector and potential impacts on consumer spending.