Retailers At Risk: Seven In 10 Stores Still Selling Branded Tobacco

05/31/2017

Exclusive research has found that 70% of retailers are risking prosecution as they aren't complying with new branded tobacco laws.

Retail Express accompanied Islington trading standards on a series of shop visits just days after the EU Tobacco Products Directive 2 came into force and discovered the huge lack of compliance among stores, with seven in 10 stores found to still be selling 10-packs or branded products.

Research by The Retail Data Partnership shows that a large amount of non-compliant stock remains in the market, with 23% of packs sold just before deadline still non-compliant, only a 4% drop from the week before.

Speaking ahead of the legislation coming into force, Palmer & Harvey managing director Martyn Ward said: “Are we convinced everyone will take everything non-compliant off the shelves? No. We don’t know how tough trading standards will be, but we have to assume they will be.”

Guidance on enforcement from local trading standards offices reveals a postcode lottery, with many such as Norfolk County Council stating: “There is no excuse for noncompliance” and Buckinghamshire and Surrey both saying they would be prosecuting in every instance. Meanwhile, Nottinghamshire Council said it would “deal with each complaint on a case by case basis”.

With the risk of imprisonment, a fine or both, the ACS urged retailers to be cautious and compliant. Chief executive James Lowman said: “Where stores have remaining stock of branded packs that is waiting to be returned to their supplier, this must be kept away from the gantry and out of view of customers.”

Imperial, JTI and Phillip Morris have agreed to take back excess stock such as ten packs and branded tobacco.

An Imperial Tobacco spokesperson said: “Our sales representatives are currently endeavoring to ensure that all remaining unsold branded packs in the independent trade are swapped out on a value basis for new standardised packs.”

Imperial also specified that there are caps and conditions attached, and there is no obligation for them to swap out packs.

JTI told Retail Express: “Our UK wide salesforce will uplift any non-compliant JTI tobacco and e-cigarette stock from retailers on their call file. Retailers who do not receive a regular visit from a JTI representative will receive instructions in due course.”

Matthew Tisdall, Philip Morris head of sales, added that it stopped all orders of non-compliant stock in mid-February to enable the trade to sell through and from the beginning of March all orders of 10 packs were cut off entirely. “From June 2017, we will work closely with our retailers to ensure they can exchange all of their remaining non-compliant stock,” he said.