Tobacco industry 'regrets' cost hike on cigarettes

The Irish Tobacco Manufacturers Advisory Committee (ITMAC) has expressed its regret that Charlie McCreevy has added 25c to a packet of 20 cigarettes.

ITMAC have predicted that the move will have a four-fold effect.

The lobby group claims that it will push up inflation, lead to a growth in tobacco smuggling, increase purchases over the internet and reduce excise duty by encouraging cross-border trade.