Gov't to increase cigarette duty by $0.8 per stick

The proportion of tobacco duty in the retail price of cigarettes will rise to 70%.

The government will increase the cigarette duties by $0.8 per stick and seek to raise the duties on other tobacco products by the same proportion.

The government noted that increasing tobacco tax is the most effective means to reduce tobacco use internationally. 

“We expect that the proportion of tobacco duty in the retail price of cigarettes will rise to about 70%, gradually approaching the 75% level recommended by the World Health Organization," FS Paul Chain said.

Chan noted that the government attaches great importance to the well-being of members of the public and is committed to maintaining Hong Kong’s high-quality healthcare profession and its efficient healthcare system.

The estimated recurrent healthcare expenditure for 2024-25 is around $109.5b, representing about 19% of the government’s recurrent expenditure.