Tobacco Companies Thrive Despite Regulation

The UK Government this week announced plans targeting a further cut in the smoking rate, but the news failed to move tobacco share prices and fund managers back the stocks

Karen Kwok 20 July, 2017 | 9:30AM
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The UK Government this week announced plans targeting a further cut in the smoking rate from 15.5% of the population to 12% or less by 2022.

The UK’s smoking rate was at 20.2% in 2011 when the Tobacco Control Plan launched. The report, produced by the Department of Health, said the Government recognised that it was difficult to quit smoking and would therefore look to deregulate e-cigarettes.

“The evidence is increasingly clear that e-cigarettes are significantly less harmful to health than smoking tobacco,” the report read. “Stopping smoking is hard and many smokers are turning to e-cigarettes to help them in their attempts. In 2016 it was estimated that two million consumers in England had used these products and completely stopped smoking and a further 470,000 were using them as an aid to stop smoking.”

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Securities Mentioned in Article

Security NamePriceChange (%)Morningstar
BlackRock UK Equity D Acc8,527.02 GBP-0.14Rating
British American Tobacco PLC2,658.00 GBP0.00Rating
Franklin UK Opportunities A Inc  
Imperial Brands PLC1,536.00 GBP0.00Rating
LF Equity Income C Sterling Acc3.45 GBP0.00
St James’s Place UK Hi Inc Unit Tr L acc939.83 GBP0.53
Temple Bar Ord1,014.24 GBP-1.53
Threadneedle UK Eq Inc Rtl Inc GBP0.99 GBP0.13Rating

About Author

Karen Kwok

Karen Kwok  is a Reporter for

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