Sweden rejects EU plan to fund budget with tobacco tax
July 10, 2025 by euractiv.com
Sweden rejects EU plan to fund budget with tobacco tax
Swedish Finance Minister Elisabeth Svantesson has rejected an EU proposal to use revenue from increased tobacco taxes to fund the next long-term EU budget, calling it “completely unacceptable.” The idea, mentioned in a German parliamentary document, suggests new funding sources like levies on tobacco and electronic waste for the 2028–2034 budget. Although not yet confirmed by the European Commission, pressure is mounting from at least 15 EU countries to raise tobacco taxes. The Commission is reportedly considering a 139% tax increase on cigarettes and higher taxes on e-cigarettes, nicotine pouches, and heated tobacco.
