Government Plans Steep Tobacco Tax Hike, Cigarette Pack to Cost Nearly €12 by 2030
July 13, 2026
The information comes from RND newspapers citing a formulation aid from the Federal Ministry of Finance, indicating sources within the ministry.
Tax share on a pack is set to increase from roughly 4 euros to 6.19 euros by 2030, about 40 cents more than a prior cabinet decision.
The reform envisions steeper increases for both manufactured cigarettes and roll-your-own tobacco, with average pack prices projected to reach 9.10 euros in 2027, 9.91 euros in 2028, 10.81 euros in 2029, and 11.78 euros in 2030.
Announcements reference a draft formulation from the Finance Ministry, reported by RND based on media sources.
The briefing runs about 36 seconds, timestamped at 06:15, indicating a concise news clip.
The report frames the policy shift as part of broader tax policy discussions, with the 2030 target as a key milestone but few other specifics provided.
The tobacco tax reform is presented as part of broader fiscal and health policy considerations within the current government coalition.
The increases are part of a government strategy for budget consolidation and public health, aligned with lower smoking rates among youth and adults.
The larger-than-expected hike is driven by health-protection aims and an undersized reduction in subsidies to statutory health insurance, creating a budget shortfall.
Officials emphasize that the reform aims to protect public health and reduce youth and adult smoking, though an expert commission initially proposed a larger increase.
The governing coalition plans to raise tobacco taxes more sharply, targeting a rise in the price of a pack of cigarettes from about eight euros to nearly twelve euros by 2030 as part of a broader reform.
Officials say the move helps address a federal budget gap while also supporting health goals by reducing smoking across age groups.
Summary based on 5 sources