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Italy Weighs Three-Year Cigarette Price Increases Starting in 2026

The goal is to safeguard roughly €15 billion in annual tobacco excise revenue.

Overview

  • Government sources report a plan for small annual hikes from January 2026 through 2028 that could lift pack prices by up to about €1–€1.50.
  • Prices for e‑cigarettes and other non‑combustion products are expected to remain stable under the proposal.
  • The measure is being prepared for inclusion in the 2026 budget and has not been enacted.
  • A senior Economy Ministry official cited €15 billion a year in excise and more than €22 billion including all tobacco taxes as vital for public finances.
  • Officials frame the approach as consistent with an EU excise revision focused on combustible tobacco, which excludes e‑cigarettes and other smoke‑free products.