Ireland vows to fight EU over cigarette price controls

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Dec 27: Ireland, the first European Union country to ban smoking in bars, will fight EU regulators in court over the right to set minimum prices for cigarettes as an anti-tobacco measure, a spokesman said.

The Irish government won’t back down from the European Commission’s threat last week to sue in EU court, the country’s spokesman in Brussels said. The EU agency prefers using taxes to boost smoking costs, arguing the floor price mainly benefits tobacco companies and distorts competition. ‘‘We have a fundamental disagreement with the approach the commission is taking,’’ Frank Smyth, spokesman for the Irish representation to the EU, said Dec. 20. ‘‘We see pricing as an important part of our anti-tobacco strategy.’’

Irish smokers pay at least 7.75 euros ($10.20) for a pack of 20 cigarettes, with a minimum retail price of 1.30 euros before 6.45 euros in tax, which was boosted by 50 cents last month. The cost ranks second-highest in the EU behind the U.K., according to the Tobacco Manufacturers’ Association.

The commission said Dec. 18 that the European Court of Justice has ruled against minimum taxes in past cases against France and Greece. Taxation Commissioner Laszlo Kovacs said, ‘‘I strongly support member states in their efforts to implement new health policy. However, this must respect community law.’’

The agency gave Ireland two months to respond, or be hauled to the Luxembourg court.