Finland Raises Tobacco and Alcohol Taxes
Finland will significantly increase tobacco and nicotine taxes from January 1, 2026, as part of a broader fiscal reform, pushing up retail prices. A pack of cigarettes will rise to about €11.50, with more than 90% of the price made up of taxes; nicotine p
Finland will significantly raise tobacco and nicotine taxes starting January 1, 2026, as part of a broader fiscal reform package, pushing retail prices higher. The price of a pack of cigarettes will rise to about €11.50, with more than 90% of that price made up of taxes; nicotine pouches are expected to increase by around 37%, from about €5 per pouch to €7. Tobacco taxes will be raised every six months through mid-2027.
The government said the measures are intended to curb consumption and increase tax revenue, while alcohol taxes will also be raised. Prices for wine, beer, and cider are expected to increase by an average of 9%, further reinforcing the government’s public health and fiscal revenue strategy. By comparison, tax cuts in other areas will be more modest, including a slight reduction in fuel excise taxes and small VAT cuts on food and medicines.
In Finland’s 2026 tax package, the tobacco price increase is one of the most noticeable measures for consumers. The plan also includes lower income taxes for high earners and cuts to social assistance benefits. Healthcare costs will also rise, adding to financial pressure. At the same time, officials stressed that higher tobacco taxes remain a key tool for reducing smoking rates and funding public services.
Finland excise tax
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