FWD column: Parliament’s back
And with it comes a renewed sense of optimism, much like the start of a new school term, writes Dawood Pervez, FWD chair and managing director of Bestway Wholesale
Before the summer break, the King’s Speech highlighted the current state of play on several issues affecting the sector, including the Tobacco and Vapes Bill, DRS and HFSS.
Tobacco and Vapes Bill
The new Labour Government has revived plans introduced by the last Conservative Government to phase out smoking and impose restrictions on the sale and marketing of vapes to children. While this has the backing of scores of health campaigners and charities (and rightly so), FWD is keen to press for B2B exemption on the ban, allowing retailers to purchase tobacco from their wholesalers, along with an exemption on display bans and plain packaging in wholesale depots.
The Bill will see a regulation on flavours, packaging and display of vapes, which currently appeal to the youth market, and with four in five smokers starting before the age of 20 (and then becoming addicted for life), it is clear the Tobacco and Vapes Bill will help address this, preventing the next generation from becoming hooked on nicotine.
Deposit Return Scheme
During the recent King’s Speech, the Deposit Return Scheme (DRS) and Extended Producer Responsibility (EPR) were not referred to throughout the wave of new legislations introduced. However, we know from the work of the previous government, the current date for implementation has been set for October 2027.
It’s currently estimated that around 31bn single-use drink containers are purchased in the UK each year, the majority of these are cans, closely followed by plastic and then glass. Through the DRS, the goal is to increase recycling from its current rate of 70–75% currently to 90% by year three.
While this is positive for the environment and Net Zero targets, further clarification around EPR is required to support wholesalers on the road to Net Zero.
HFSS
Henry Dimbleby may not be back, but his plans are! We are seeing revived proposals of the National Food Strategy, raising the prospect of a wave of taxes on HFSS foods and a ban on advertising of UPF products.
The Labour Party manifesto is committed to legislate to restrict advertising of junk food to children along with the sale of high-caffeine energy drinks to under-16s.
FWD members are already forming new brand strategies to tackle HFSS laws. The response is exemplary, with impending legislations on the horizon. The wholesale
sector is dynamic and we have seen how robust it can be from the challenges already presented.
I think we can all be sure that there will be an ongoing regulatory burden on our sector and our customers. As the new government has such a large majority, we can expect a lot of legislation to come through at pace and this is all in the context of clear messaging around the government’s requirement to raise more tax. Now more than ever, it is important for FWD to champion our sector to ensure the government doesn’t snuff out the entrepreneurial zeal of our sector (and
of others). It is clear that they have to walk a tightrope and want businesses to provide growth.
FWD will continue to monitor the political landscape and what this entails for members over the coming months. FWD continues to be the voice of wholesale to Parliament, flagging the issues affecting the sector. One thing’s for sure, it’s going to be an interesting term…
Deposit Return Scheme FWD FWD column Government HFSS net zero parliament Tobacco and Vapes Bill