ASA Adjudication on Gallaher Ltd. (A12-210929)

This ruling by the Advertising Standards Authority (ASA) sanctioned Japan Tobacco International (JTI) for misleading advertising for their campaign against plain packaging in the United Kingdom. Public health organizations and other complainants made a complaint about the advertisements of JTI.  The ads claimed that plain packaging of cigarettes would increase the “booming” illicit trade of tobacco and cost the government more than £3 Billion.  The ASA found that both of these claims were misleading and unrepresentative of the true facts.  The ASA ordered JTI and its subsidiary, Gallaher Ltd, to not run the ads again.

ASA Adjudication on Gallaher Ltd, Complaint Ref. A12-210929

  • United Kingdom
  • Apr 17, 2013
  • Advertising Standards Authority

Parties

Plaintiff

  • Cancer Research UK
  • UK Centre for Tobacco Control Studies
  • ASH
  • Unidentified complainants

Defendant Gallaher Ltd

Third Party

  • Japan Tobacco International

Legislation Cited

Committee of Advertising Practice (CAP) Code, Rule 3.1 (Misleading Advertising)

Committee of Advertising Practice (CAP) Code, Rule 3.7 (Substantiation)

Related Documents

Type of Litigation

Tobacco Control Topics

Substantive Issues

Type of Tobacco Product

None

"We considered the HMRC figures provided by the advertisers in support of the claims that the UK had suffered "£3billion lost in unpaid duty last year" and that the black market "cost the Treasury £3bn in unpaid duty". We noted that the HMRC report from which the figures were drawn provided upper and lower estimates for the associated revenue losses for cigarettes and for HRT products, and acknowledged that the combined upper estimate for cigarettes (£2,200 million) and HRT (£880 million) came to £3.08 billion. We considered that consumers would infer from the claim that £3 billion had been lost in unpaid duty and that that figure represented an official estimate from HMRC regarding the revenue the UK had lost in unpaid tax in 2011 from the illicit cigarette market. We understood, however, that the £3 billion figure related to the HMRC's combined upper estimates for cigarettes and HRT. ... We therefore concluded that, in the absence of qualifying text, providing additional information about the methods used to calculate the "£3 billion" figure, or any information indicating that it was an upper estimate relating to all tobacco products, the figure was likely to mislead."
"Because we considered that consumers would understand the claim "the black market in tobacco is booming" to mean that the problems with the tobacco illicit market had been increasing, when we understood that that was not the case, we concluded that the ads were likely to mislead."