On 10 June 2026, the European Parliament published amendments tabled by the Socialists and Democrats (S&D) group to the proposed Council directive on the structure and rates of excise duty applied to tobacco and related products. The five amendments seek to embed the legislation firmly within the EU's obligations under the WHO Framework Convention on Tobacco Control (FCTC) and to move beyond a purely fiscal or internal market logic, directly impacting the tobacco and nicotine industry, EU consumers, national tax authorities, and public health advocates.
The amendments, part of the Parliament's ongoing work on the recast directive, introduce three major substantive changes. First, Amendment 90 explicitly rejects the notion that novel nicotine products such as e-cigarettes and nicotine pouches are effective smoking cessation aids, citing WHO recommendations for evidence-based pharmacotherapies and behavioural counselling instead. This signals that the S&D group wants these products taxed at levels comparable to traditional tobacco to discourage uptake, challenging the harm-reduction narrative that has influenced some Member States' policies.
Second, Amendment 91 adds a new recital requiring that all legislative, delegated, and implementing measures under the directive be protected from the commercial and vested interests of the tobacco industry, as mandated by Article 5.3 of the WHO FCTC. This would impose a legal obligation on the Commission and Member States to actively exclude industry input from rule-making, a significant departure from standard EU consultation practices.
Third, Amendment 92 replaces the general description of the excise duty structure with specific, binding minimum rates: a specific component of €215 per 1000 cigarettes and a proportional component of 63% of the retail selling price. This removes flexibility for Member States and sets a high floor, aiming to force price convergence upwards across the EU, particularly in lower-tax Member States. Amendment 93 tightens the link between tax convergence and health protection, explicitly stating that fraud and smuggling jeopardise the health objectives of the directive, framing tax evasion as a direct public health threat.
As only the S&D group tabled amendments in this batch, there is no direct comparison between political groups, but the nature of the amendments implies a clear divergence from the Commission's original proposal and likely from positions held by more market-liberal or industry-friendly groups such as the EPP, Renew, and ECR. The S&D amendments are explicitly hostile to the tobacco and nicotine industry, advocating for higher fixed minimum tax rates rather than flexible parameters.
The amendments will be considered by the Parliament's Committee on Economic and Monetary Affairs (ECON) before a plenary vote. The Council will then need to adopt its position, potentially leading to trilogue negotiations. The outcome will determine whether the directive maintains a fiscal focus or shifts decisively toward public health objectives, with significant implications for tax revenues, consumer prices, and industry operations across the EU.
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