SHOPKEEPERS fear newsagents may go under if the Government decides to ban retailers displaying tobacco products.
More than 70,000 newsagents aross the country are challenging the proposal, as the Government reviews current legislation.
It is part of a plan to reduce the number of smokers in the UK and new regulations could come into effect by 2013.
The National Federation of Retail Newsagents (NFRN) believes the move could sink some smaller shops in the current economic climate.
It is understood the tobacco trade makes up 30 per cent of sales in the small shop sector but local retailers say that could diminish radically if the plans are given the go ahead.
Shakti Patel, manager of Gardner News in the High Street, Walthamstow, took part in protests against the ban outside Parliament last year.
The 50-year-old says the ban could have devastating consequences for newsagents in Waltham Forest as it will cause more people to buy cigarettes at supermarkets.
He said: “It's a massive part of our trade – we really depend on it. It's going to cause a number of problems for small retailers.
“We are going to have to spend more money on storage space in the shop to keep our products out of sight.
“And now we will have to rely on magazine and newspaper sales to make up the difference. We can't put our prices up on other products because we will lose more customers.
“The supermarkets will benefit from this. I think you will see a lot of newsagents will have to close down.”
Omkar Patel, retailer and former president for the NFRN London branch, believes there is a lack of evidence that the ban will decrease the number of smokers.
He said: “The display ban will affect retail a lot. Smokers will migrate to different areas and buy tobacco in the larger shops – where they know they can get it.
“They say it has reduced smoking in other countries. Countries such as Canada and Ireland have introduced the ban.
“But there is a lack of evidence to prove that. It is not justifiable.
“We're working in a recession and this could be the final push that will cause some retailers to close.”
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