The Press and Journal (Aberdeen and Aberdeenshire)
‘Plain packets will destroy small firms’
New laws designed to put people off smoking could lead to the closure of 700 shops in Scotland.
A leading business research centre says that thousands of jobs are at stake if the UKand Scottish Governments force cigarette manufacturers to use plain packaging.
UK Government ministers were criticised recently for putting its plans for plain packs south of the border on hold.
But the Scottish Government is pressing ahead with the policy – which could spell disaster for our ailing high streets, according to the Centre for Economics and Business Research (Cebr).
In a paper published today, the centre warns the plans will increase illicit t r ade and f orce customers to shift from con- venience retailers larger stores.
In Scotland alone, Cebr forecasts the loss of about £30million of tobacco and non-tobacco revenues to independent retailers, the loss of over 3,200 jobs and the closure of between 600 and 700 shops.
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They expect the time it takes for staff to identify their favourite brand under the new regime will force people to abandon their local retailer and pick up their cigarettes with their weekly shopping.
These job losses aremore likely to be concentrated in cities and their suburbs.
Oliver Hogan, Cebr head of microeconomics, said: “Ourfindingsshowthat the potential impact of this plain packaging policy could be traumatic.
“The closures of these small retailers would deal a body blow to high streets across Scotland.
“The evidence supports our conclusion that tobacco customers will flock to illegal street vendors, buy bulk from abroad and make purchases from larger stores.
“Thousands will lack the patience as queues mount for the till in a small shop as a small staff tries to find the right cigarettes among the plain packaging.”
A Scottish Government spokesman said: “We remain committed to introducing standardised packaging, given the strong evidence to support the impact it will haveonpreventing young people from starting to smoke.
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