GOVERNMENT'S FAKE CIGARETTES WARNING

15 Dec 2004 10:45 AM

Customs minister John Healey today launched a campaign warning smokers tempted to buy cheap smuggled cigarettes that increasing numbers of hazardous fake cigarettes are being sold on streets and in pubs and markets.

According to new research published today, more than half the cigarettes currently being seized - more than a million per day - are counterfeit, and 85 per cent of the cigarettes being sold in London are fakes.

Many of the counterfeit cigarettes are manufactured in underground factories overseas using contaminated tobacco leaves, substantially increasing the health risks associated with smoking, with much higher levels of tar, nicotine, carbon monoxide, lead, cadmium and arsenic than genuine brand-name cigarettes.

John Healey said:
"Over the past 4 years, we've seized 9 billion cigarettes and destroyed more than 250 organised smuggling gangs. If we hadn't taken this action, more than 1 in 3 of the cigarettes being smoked in the UK today would have been smuggled. Instead, the smuggled share of the cigarette market stands at just 15 per cent.

"What we're increasingly seeing is that - as we've disrupted the supply lines and made it more difficult and more expensive for the international smuggling gangs to get their hands on genuine cigarettes, they are starting to manufacture their own fake versions of brand-name cigarettes.

"So if you are tempted to buy cheap smuggled cigarettes on the street or in the pub - what you're doing is not only funding organized crime, it can also be even more dangerous for your health than real cigarettes.

"It is near impossible to tell from the outside packaging whether you're buying fakes or not, even if they have health warnings and a tax stamp: the only way you'll know is once you start smoking them - with all the health risks that brings.

"We'll continue to crack down on this illegal market and the organized criminals who run it. But we also appeal to the public to turn their backs on the gangs who smuggle and sell these fake cigarettes, and give us any information which will help us catch them on the confidential Customs hotline on 0800 59 5000."

Dr. Ed Stephens, Geoscientist of the School of Geography & Geosciences at the University of St Andrews, said:

"Our investigation of some environmental components in UK tobacco products has revealed substantial contamination in counterfeit cigarettes by heavy metals, including the human carcinogens cadmium and arsenic. This is a worrying find for the health of those who are heavy and habitual smokers of counterfeits."

DETAILS
1. In 2000 it was estimated that the problem of tobacco smuggling would continue its rapid growth over the 1990s, and that - by the end of 2002 - 1 in every 3 cigarettes smoked in the UK would be smuggled.

2. Instead, as a result of the Government's Tackling Tobacco Smuggling strategy - launched 4 years ago, the growth in cigarette smuggling has been reversed:
* reducing the problem by over one third since 2001: now only 15% of the UK cigarette market comes from smuggling;
* seizing 9 billion illicit cigarettes destined for the UK between 2000 and 2004;
* breaking up 259 major smuggling gangs; and
* protecting 3 billion for the taxpayer.

3. Today's new research, released at No.11 Downing Street by John Healey and Dr Ed Stephens, shows that Customs' success in squeezing the smuggling gangs' margins and disrupting their supply lines has driven them increasingly to manufacture their own fake versions of brand-name cigarettes overseas - especially in China.

4. People who smoke fake cigarettes are exposing themselves to higher levels of hazardous chemicals, which accumulate in the body over time and are linked with cancer. Independent research, carried out by Dr Ed Stephens of St Andrews University, shows that counterfeit cigarettes being sold on Britain's streets contain much higher quantities of known carcinogens:
* 5 times as much cadmium - which can severely damage the lungs and is linked with kidney disease;
* nearly 6 times as much lead - which damages the organs and nervous system, especially in children; and
* high levels of arsenic - which increases the risks of lung, liver and other cancers.

5. Research carried out by Arista, an independent laboratory, shows that counterfeit cigarettes seized by Customs also contain: * 160 per cent more tar;
* 80 per cent more nicotine; and
* 133 per cent more carbon monoxide than genuine cigarettes.

6. On average over 1 million fake cigarettes are seized in the UK every day - more than one in two of all the smuggled cigarettes seized by Customs. But in some areas the problem is far worse. At three London hotspots: Holloway Road, Dalston and Whitechapel, all cigarettes tested were found to be counterfeit, and 85% of the smuggled cigarettes being sold across London as a whole are fake.

7. However, most smokers are unaware of the problem and the risks: * one in three UK smokers say they sometimes buy fake cigarettes but only one in five know their packs are fake and very few are aware of the increased health risks; and
* in London, where 85 per cent of cigarettes are fake, two-thirds of smokers in the capital mistakenly believe their cheap supplies are real and are unaware of the additional risks.

8. Any brand of cigarettes can be faked. Customs has seized many different brands including Lambert and Butler, B&H, Embassy No1, Superkings, Dunhill, Marlboro, Regal, L&M, Davidoff, Sovereign and Silk Cut.

9. Customs is targeting counterfeit cigarette hotspots with intelligence led sting operations, and working through its network of overseas Customs officers to identify counterfeit factories and disrupt the supply chains of this illicit market.

10. If members of the public or shopkeepers have information on people selling smuggled cigarettes in their area, they can call the freephone Customs Confidential hotline for 'tip-offs' on 0800 59 5000.

Notes for editors
1. The report will be available at www.hm-treasury.gov.uk and www.hmce.gov.uk.

2. Copies of documents detailing the progress of HM Customs & Excise's strategy for tackling tobacco smuggling: Tackling Tobacco Smuggling, Tackling Indirect Tax Losses and Protecting Indirect Tax Revenues are available on the HM Treasury website at
www.hm-treasury.gov.uk.

3. If using specific facts contained in this release please check the information is still current. Issued by HM Customs & Excise Communications Division.

For the attention of News Desks
Anyone with information about illegally imported drugs, tobacco or alcohol or about VAT or fuel fraud can speak to a Customs officer in complete confidence at Customs Confidential 24 hours a day on 0800 59 5000. Or fax 0800 528 0506, write to Freepost SEA9391, PO Box 100, DA12 2BR, or e-mail customs.confidential@hmce.gsi.gov.uk www.hmce.gov.uk