Who should bear the costs of a tobacco licensing scheme?
The retailers should bear the additional direct costs of the tobacco licensing scheme, although the enforcement costs should be met by government. Charges and fines could be set locally to cover costs. The retailers’ interests are in higher margin goods and many small retailers use tobacco as an incentive to attract customers. Very small retailers may therefore find the licence is a disincentive to market tobacco at all, which would be a good thing. 7 What sanctions would be appropriate for a retailer found to have sold or supplied tobacco to under-age customers? Initial sanctions could provide for a fixed penalty and revocation of the licence if the offences continue, perhaps modelled on penalty points for driving offences. It is important that persistent offenders have their licences withdrawn without the need for expensive and time consuming legal proceedings. 8 If fixed penalty fines are applied, what appeals process should be put in place? This is a matter for those who have exper
