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Cigarettes in the United Kingdom

Imperial Tobacco Group leads UK cigarettes industry with 42% share during 2012


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2014-03-24 12:37:01 - Cigarettes in the United Kingdom - a new market research report on companiesandmarkets.com

Imperial Tobacco Group continued to be the clear leader in cigarettes in 2012, accounting for 42% volume share. The company benefits from offering a wide range of brands, tar levels and price points, with a strong focus on economy and mid-priced cigarettes. The company benefits from its focus on affordable cigarettes, and from its strong established brands, such as Lambert & Butler, Richmond and John Player Special.

March 2012 saw a continuation of the duty escalator introduced in 2010, with this increasing specific taxation on cigarettes by a rate two percentage points ahead of inflation.

This followed the 2011 increase in the nominal rate of VAT from 17.5% to 20.0% in January, which not only increased the price of cigarettes, but also

 

 

reduced consumers´ disposable incomes by increasing the price of most fast moving consumer goods. Smokers consequently faced growing economic pressures, in addition to facing higher cigarette prices.

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