Media Release

Annual cost recovery fee on tobacco companies a welcome measure to hold industry accountable


The Canadian Cancer Society (CCS) is expressing support for an annual cost recovery fee on tobacco companies included as a legislative commitment in the federal government’s Fall Economic Statement.

“The tobacco industry has caused the tobacco epidemic and should reimburse the federal government’s cost of responding to it,” says Rob Cunningham, Senior Policy Analyst, Canadian Cancer Society. “A fee is a significant means of tobacco industry accountability.”

“The Canadian Cancer Society has advocated in support of a cost recovery fee for many years, and we look forward to its adoption and effective implementation,” adds Cunningham. “The cost recovery fee complements other federal tobacco control measures including plain packaging, tobacco taxation, and a new round of health warnings including warnings on each individual cigarette.”  

Since 2009 in the US, the Food and Drug Administration (FDA) has required an annual fee on the tobacco industry to recover the FDA’s tobacco control budget, and is currently recovering US$712 million (C$977 million) annually. In Canada, an annual fee on the cannabis industry has been in place since 2018 to recover the federal government’s costs related to cannabis legislative, educational and program management initiatives.

CCS will work with the federal government to ensure that the costs for all initiatives in Canada’s Tobacco Strategy, the federal government’s tobacco control strategy, are reimbursed.

Tobacco use is the leading preventable cause of disease and death in Canada, killing 46,000 Canadians each year, including about 30% of all cancer deaths. Based on 2022 data, there are still 3.8 million Canadians who smoke, representing 12% of the population aged 12+. An enormous amount of work needs to be done to achieve the objective of under 5% of Canadians using tobacco by 2035.


About the Canadian Cancer Society  
The Canadian Cancer Society works tirelessly to save and improve lives. We fund the brightest minds in cancer research. We provide a compassionate support system for all those affected by cancer, across Canada and for all types of cancer. As the voice for people who care about cancer, we work with governments to shape a healthier society. No other organization does all that we do to make lives better today and transform the future of cancer forever. 

Help us make a difference. Call 1-888-939-3333 or visit today.  

For more information, please contact: 
Rob Cunningham 
Senior Policy Analyst