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Sweden rejects EU plan to fund budget with tobacco tax - P4H Network

Sweden rejects EU plan to fund budget with tobacco tax

The EU is weighing major tobacco tax hikes and new levies for its 2028–2034 budget, but Sweden and others oppose high taxes on nicotine pouches, citing harm reduction. Critics warn pouches may lead to youth addiction and note limited research.

A recent proposal from Germany’s International Affairs Liaison Office, discussed in the German parliament, suggests introducing new EU-wide levies on tobacco and electronic waste for the 2028–2034 budget. This follows calls from at least 15 member states to hike tobacco excise duties, with the European Commission reportedly considering a 139% cigarette tax increase and heavier taxes on e-cigarettes, nicotine pouches, and heated tobacco.

Sweden, along with Italy, Greece, Romania, and Bulgaria, opposes particularly steep taxes on nicotine pouches, fearing loss of national revenue and citing Sweden’s public health success using snus. Sweden, with one of the EU’s lowest smoking rates, argues that snus reduces harm. However, countries like Belgium and many public health advocates warn that nicotine pouches may encourage youth addiction and point out the lack of long-term independent studies on their health impacts.

Reference
Emma Pirnay, Sweden rejects EU plan to fund budget with tobacco tax, Euractiv, 14 Jul 2025