HC Deb 22 January 1998 vol 304 cc641-2W
Mr. Cotter

To ask the Chancellor of the Exchequer if he will meet his counterparts in other EU member states to discuss the impact on independent retailers of tobacco in the United Kingdom of illegal sales of tobacco imported from Belgium. [22225]

Dawn Primarolo

I have no present plans to do so. However, the European Commission, in consultation with Member States, is currently preparing a report on tobacco and alcohol fraud. A report on alcohol and tobacco smuggling and fraud is currently being prepared by Customs and Excise.

Mr. Cotter

To ask the Chancellor of the Exchequer if he will make representations to the relevant EU Commissioner on the impact on independent retailers of tobacco in the United Kingdom of illegal sales of tobacco imported from Belgium. [22224]

Dawn Primarolo

I have no plans to make such representations.

A report on alcohol and tobacco smuggling and fraud is currently being prepared by Customs and Excise.

Mr. Cotter

To ask the Chancellor of the Exchequer if he will introduce a scheme to compensate independent retailers of tobacco for loss of revenue as a result of being undercut by illegal sales of tobacco imported from Belgium. [22227]

Dawn Primarolo

No.

Mr. Cotter

To ask the Chancellor of the Exchequer if he will estimate the amount of revenue independent retailers lost as a result of being undercut by illegal sales of tobacco imported from Belgium in the last three years; and if he will commission independent research into this matter. [22226]

Dawm Primarolo

There is no official estimate of revenue lost by independent retailers from smuggling of tobacco from Belgium.

A report on alcohol and tobacco smuggling and fraud is currently being prepared by Customs and Excise in consultation with the trade and other Government Departments.

Mr. Cotter

To ask the Chancellor of the Exchequer what estimate he has made of the amount of crimes associated with the illegal resale of tobacco bought in Belgium; how many people HM Customs and Excise have arrested for such activity since 1993; if he will commission independent research into this matter; and if he will make a statement. [22223]

Dawn Primarolo

Information is not kept separately for crimes and arrests associated with the illegal resale of tobacco bought in Belgium.

Since 1993 Customs have made the following seizures of tobacco smuggled into the UK from the Single Market.

Financial year Number
1993–94 878
1994–95 1,723
1995–96 2,071
1996–97 3,949

Customs have been working closely with the Kent Police in recent months to tackle both the smugglers and the associated crime in the Channel ports connected with their activities. Joint operations have proved very successful resulting in a number of arrests for both Customs and Police offences.

Mr. Fallon

To ask the Chancellor of the Exchequer what was the basis for the Financial Secretary's estimate, in HTV News on 4 December 1997, that tobacco smuggling amounts to a maximum of two and a half per cent. of all tobacco products sold. [22888]

Dawn Primarolo

Two and a half per cent. is a reasonable upper limit for the share of UK sales of cigarettes in 1997 represented by smuggled goods. This estimate is based on the survey of sea and Tunnel passengers conducted by HM Customs and Excise in June 1997 (reported in their News Release of 26 September 1997), and on their monitoring of smuggling by air passengers.

Mr. Cotter

To ask the Chancellor of the Exchequer when he expects to receive the Customs and Excise Report into smuggling, cross-border shopping and excise duties; and if he will make a statement. [22228]

Dawn Primarolo

The review team, which is looking into the effects on the Exchequer and industry revenue of alcohol and tobacco fraud, smuggling and cross-border shopping, are preparing a report for Ministers.

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