Calls Raised for Legal and Taxed Cannabis in UK
November 22, 2016 Taxation in UK
In a new report the UK think tank the Adam Smith Institute called for a complete reform to the legal treatment of cannabis, claiming that legalisation and regulation of the drug could create a multi-billion pound industry and significant revenues.
It is estimated that regulating the sale, consumption and production of marijuana could have a net positive effect of as much as GBP 1 billion via cost savings and new tax revenues.
Currently a total of 1 363 individuals are imprisoned in Wales and England for cannabis related offences, at a total cost of GBP 50 million to taxpayers.
The size of the commercial cannabis market in the UK is forecast to reach as much as GBP 7 billion by 2020.
In the report it was pointed out that the legalisation of marijuana would not be a ground-breaking decision, with Spain, Netherlands, and several states in the USA having already legalised the substance.
It was noted that in most cases, the legalisation of marijuana has led to greater controls, reduced crime rates, increased revenues, and greater purity.
Legalisation would also pave the way for academic research into the health effects of marijuana.