Question to the HM Treasury:

To ask Her Majesty’s Government when they intend to publish the results of the HMRC consultation <i>Tobacco Illicit Trade Protocol</i> on sanctions to tackle the illicit tobacco market.

HM Revenue and Customs’ (HMRC’s) consultation ‘Tobacco Illicit Trade Protocol – licensing of equipment and the supply chain’ sought views on two aspects of the Protocol. These were the mandatory licensing of tobacco manufacturing machinery and the potential licensing of participants in the supply chain of tobacco products for the purposes of tackling the illict trade.

A response document on the licensing of tobacco manufacturing machinery was published on 5 December 2016 and draft legislation was published at the same time.

Licensing of the supply chain is more complex and could affect a large number of UK businesses. Therefore, while HMRC is in a position to proceed to implementation of the licensing of machinery, supply chain licensing requires further consideration. A response document covering this aspect of the consultation will be published later in the year.