The time is up for rogue vape sellers. Under new proposals from the Department of Health & Social Care, announced this week, retailers will need a licence to sell tobacco, vapes and nicotine products for the first time. Those caught breaking the rules could face unlimited fines, on-the-spot penalties of £2,500, or even be shut down entirely.
It’s a landmark move, which is being touted as a win-win scenario. In the first instance, children will be better protected from the risks of vaping, instead of being targeted by cheap, colourful vape adverts on display in shops also selling sweets and toys. At the same time, the move will protect responsible retailers, putting an end to less responsible shops taking their legitimate trade.
That’s the hope, at least, although the latter has been a point of contention for some time now, especially for convenience stores.
Vape and tobacco products have traditionally been big footfall drivers, but since the disposable vape ban came into force in June, sales in the vaping category have fallen by as much as 39%. One retailer reported the demand for rechargeable and refillable vapes “just wasn’t there”.
The concern is that unregulated vape sellers have been stealing legitimate trade. In fact, research carried out for The Grocer found two in five vapers do not understand the disposable vape ban, with 29% believing stores can sell off their old stock and almost one in 10 (9%) completely unaware of the ban.
Clearly, these statistics bode well for rogue operators, who have been making it even harder for law-abiding retailers to compete, at a time when they are facing extortionate operating costs. In other words, they’ve been rubbing salt in the wound.
A bittersweet victory
Convenience retailers will be taking a sigh of relief at the announcement of the new licensing proposals, AS now they’ll have the opportunity to recover the sales these illicit shops were wrongfully taking from them. But it’s a bittersweet victory, because the proposed licensing system ALSO risks “introducing disproportionate burdens”, as the Association of Convenience Stores (ACS) puts it.
Building the new infrastructure from scratch, the government is expected to begin seeking views on all aspects of its new vape and tobacco licensing scheme.
This will include the cost and structure of licence fees, how licences are granted, how long they last, what the licensing conditions should be, and how experience of other licensing schemes, such as those already in place for alcohol, can inform the process.
But therein lies an additional problem. A new licensing system is likely to bring an additional administrative burden to convenience retailers, at a time when they are already overworked and at their financial limits. It could even prevent them from selling tobacco and vape products altogether, if restrictions around location or density of retailers in one area are implemented when deciding to grant a licence.
Stopping the rogue traders is the priority. While these proposals are a step in the right direction, legislation should not compromise legitimate convenience retailers who are regulated, responsible and form the backbone of their local communities.
A thorough consultation must ensure the structure of a new licensing scheme is fair and just – otherwise law-abiding retailers will be left paying the price.
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