Is it time to increase the cost of tobacco licences after 10 years of stagnation?

Samuel Ziesing; Kerry Ettridge; Joanne Dono; Ashley Luppino; Caroline Miller

doi:10.1016/j.anzjph.2023.100080

Is it time to increase the cost of tobacco licences after 10 years of stagnation?

Aust N Z J Public Health. 2023 Oct;47(5):100080. doi: 10.1016/j.anzjph.2023.100080. Epub 2023 Sep 20.

Authors

Samuel Ziesing¹, Kerry Ettridge², Joanne Dono², Ashley Luppino¹, Caroline Miller³

Affiliations

¹ Health Policy Centre, South Australian Health and Medical Research Institute, Adelaide, 5000, SA, Australia.
² Health Policy Centre, South Australian Health and Medical Research Institute, Adelaide, 5000, SA, Australia; School of Psychology, University of Adelaide, Adelaide, 5000, SA, Australia.
³ Health Policy Centre, South Australian Health and Medical Research Institute, Adelaide, 5000, SA, Australia; School of Public Health, University of Adelaide, Adelaide, 5000, SA, Australia. Electronic address: caroline.miller@adelaide.edu.au.

PMID: 37739846
DOI: 10.1016/j.anzjph.2023.100080

Abstract

Objective: Reducing tobacco licences is one potential lever to reduce tobacco-related harms. A 15-fold increase in annual tobacco retailer licence fees in 2007 led to a 24% decline in the number of licences in 2009. This study investigates the changes in tobacco licences over a subsequent decade in the absence of real fee increases.

Methods: The South Australian (SA) government tobacco licencing system databases for 2009 and 2020 were audited, measuring changes in the number and distribution of tobacco and vending machine licences by outlet type, disadvantage, and remoteness.

Results: The number of tobacco licences declined by 33.1% overall. Large reductions were observed in food service venues (65.2%) and hotel/motels (37.2%). In 2020, most licences were in service stations (25.1%), hotel/motels (22.9%), and supermarkets (22.2%). Despite proportional reductions across all disadvantage quintiles, the most disadvantaged areas continued to have the largest number of tobacco licensees. Vending machines declined by 63.6% and remained concentrated in hotels/motels (91.4%).

Conclusions: Since a 15-fold licence fee increase in 2007 effectively reduced tobacco retailers from 2007-2009, the decline since has been incremental.

Implications for public health: Increasing tobacco licence fees is a straightforward and effective measure to reduce tobacco availability and should be re-prioritised.

Keywords: South Australia; licence fees; tobacco control; tobacco retailers; vending machines.