Deputy Prime Minister David Seymour’s comments to a London audience calling smokers “fiscal heroes” – and declaring people should “light up” to save their government’s balance sheet – are reprehensible and make light of addiction, tobacco researchers say.
Seymour largely stands by his remarks, arguing smokers are a net economic positive through tobacco tax and reduced superannuation from early deaths – but has conceded he was wrong to describe as “quite evil” the Labour government’s plan to create a smokefree generation.
Early in its term, the coalition Government sparked controversy by repealing a law that would have banned the sale of tobacco to anyone born after January 1, 2009 and dramatically reduced both the number of outlets able to sell tobacco and the nicotine levels in cigarettes.
Seymour spoke about the decision following a speech to the Adam Smith Institute, a neoliberal think tank based in London, during a visit to the UK this month.
Asked about the smokefree generation concept, which has been taken up by the British government, Seymour said the New Zealand policy had been “quite evil, in a way” and described smokers as “fiscal heroes”.
“If you want to save your country’s balance sheet, light up, because … lots of excise tax, no pension – I mean, you’re a hero,” he said to laughter from the audience.
Seymour told Newsroom his remarks were based on arguments he made before about the role of the Government when it came to smoking.
“I’m not seriously suggesting that we should encourage people to smoke to save the Government money. It’s clearly an absurd statement, but you do have to have a bit of a sense of humour in this life, otherwise it would be too dull.”
The state should make sure the public was aware of the dangers of smoking, while stopping smokers from doing harm to others (such as through second-hand smoke) and ensuring they did not impose financial costs on others.
“As far as I can tell, that condition is well and truly satisfied: I mean, the Government gets $2 billion of tax revenue from about, what is it now, 8 percent of the population?” (The Customs Service collected $1.5b in tobacco excise and equivalent duties in 2023/24, while that year’s NZ Health Survey reported a daily smoking rate of 6.9 percent.)
Seymour said it was “just a sad fact” that smokers were also likely to die younger, reducing the amount of superannuation they collected, while he was unconvinced their healthcare costs would be markedly higher than those who died of other illnesses.
“If anything, smokers are probably saving other citizens money.”
However, he backtracked on his suggestion the last Government’s smokefree generation plans were “quite evil”, saying: “I’m not sure that was the right word, on reflection.
“I certainly think the idea that, in 30 years’ time, someone’s going to have to prove that they’re 49 rather than 47 does seem draconian – it seems almost a bit of an Orwellian situation.”
While the Adam Smith Institute’s event page billed Seymour as the Deputy Prime Minister, he said his speech was delivered in a private capacity rather than on behalf of the Government, while he had not used taxpayer money for his travel (he also confirmed the Institute did not cover any of his costs).

Labour Party health spokesperson Ayesha Verrall told Newsroom the minister’s remarks showed the Government had the wrong priorities when it came to its smokefree policy.
“They are prioritising balancing the books on the misery done to smokers due to the harms of tobacco.”
Verrall said there was clear evidence of tobacco’s cost to the health system, and the last government’s smokefree generation policy had been “fundamentally based on humanitarian grounds”.
“This is an addictive product: it is unique in that it kills half the people who use it. It’s not like the more nuanced debates we have about … social media for kids.”
University of Otago associate professor Andrew Waa told Newsroom Seymour’s “perverse” arguments were further evidence of the Government placing tobacco tax revenue over other concerns.
“It’s literally blood money: it’s money that the Government taxes on a deadly product, and yet they’re still treating it as a profit margin for them.”
Waa said the minister’s comments ignored the social costs of tobacco, and would only help an industry “intent on exploiting addiction at whatever cost”.
“I don’t know if it’s naive, or if it’s [his] ideology that it’s all personal choice – there’s no choice when it comes to smoking some of these things.
“There’s a reason why certain communities are more likely to smoke, because they get tobacco products shoved in their face all the time; by the time they decide to think that they don’t wanna use the stuff, it’s too late.”
Janet Hoek, the co-director of tobacco control research partnership ASPIRE Aotearoa, told Newsroom that the comments were “really ridiculous and reprehensible”.
“It just seems incredibly disappointing that Mr Seymour apparently thinks it’s amusing to suggest that addiction, and early and often painful death, are a good way to generate government revenue.”
Hoek said the environmental and productivity costs associated with smoking also needed to be taken into account, as did the social harm done to communities when their loved ones died prematurely.
While some politicians dismissed public health experts as “muppets … living in ivory towers”, the suggestion that smokers were making an informed choice was itself out of touch with reality.



‘… or if it’s [his] ideology that it’s all personal choice …’
…. While someone like Dave Armstrong of Wellington might say the same thing in satire as Seymour has said here, Seymour is such a desperate ideologist on the ‘absolute individual’ that he’s not afraid to make himself sound ridiculous, as in this case. When criticising Seymour, keep in mind that he is trying to drag you into his desperate game.
Perhaps not directly related to this article where Seymour again demonstrates his ignorance, but I simply have to comment on the irony of Seymour, as our acting PM, noting that the ridiculous attempt by Tamaki to generate publicity with his recent Auckland protest “in defence of faith, flag and the family” displayed in Seymour’s words “unkiwi attitudes because they’re intolerant and uninclusive”.
Seymour attempting to sound as if he is tolerant and inclusive – give me
strength! I guess he is tolerant of the tobacco industry knowingly killing people and will include them as taxpayers, particularly if they vote for him. The rest of us are simply “bots” if we disagree with his policies!
He is not only trying to drag us into to his desperate game but to control all elements of that game with his myopic focus on Thatcheristic denial that we are fundamentally interconnected and not atomised individuals just making rational choices. There is a whole research literature on the kind of left brain delusions he evidences…see Iain McGilchrist ‘s academic work…reprehensible comments indeed from a man who seems incapable of anything other than cold bloodless logic.
As my much-missed colleague Seamus Hogan liked to say, ‘If they’re going to cite the fiscal externality of smoking, they could at least get the sign right’.
Smokers are a net fiscal positive for the state. The measures that get larger social costs – those largely add in a pile of other costs that smokers bear themselves. Not costs to the government. That doesn’t make smoking a good thing. But it does mean that folks arguing for bans on smoking because of costs through the public health system are being mischievous.
Plenty of evidence on this, including in NZ. Des O’Dea and George Thompson tallied it in a report for ASH and the SmokeFree Coalition in 2008 using 2005/6 data. Before the giant ramp-up in excise. They did get large overall costs, but when focusing on costs to the government, they said,
“Without trying to calculate a precise estimate of ‘external costs’ it does seem reasonably apparent that the tax contribution of approximately $1 billion annually by smokers exceeds substantially the external costs of smoking which fall on non-smokers. If savings on pension costs from premature mortality of smokers were added as well the net fiscal contribution of smokers, to the fiscal gain of non-smokers, would be further increased.”
https://www.otago.ac.nz/__data/assets/word_doc/0017/314810/tobacco-taxation-in-new-zealand-volume-i-022573.doc
Basically places that have high excise, public health systems, and public pension systems wind up getting a net positive fiscal contribution from smokers. That isn’t an argument for encouraging smoking. It is an argument for not lying about stuff and for having appropriate disdain for those citing public health costs as a reason to ban/restrict smoking. With excise far higher now than it was then, the fiscal benefit is likely going to be larger.
Seymour was clearly having a bit of fun with those old arguments.
Gold-medal for world-class pearl-clutching though. If it were an Olympic sport, NZ would always be on the podium.
The link to Mr Seymour’s speech to the Adam Smith Institute, should anyone need a last-minute prompting to make a submission regarding the RSB:
https://www.youtube.com/watch?v=s2rToG9hHqw
Thanks for the link – a revealing performance by David Seymour and Lord Hannan who refers to ACT as a libertarian party and specifically introduces Seymour as having been a member of right wing think tanks before entering politics. Of particular interest is that the Adam Smith Institute is cited online as being one of the least transparent think tanks in the UK in regards to funding but was reported by The Guardian in 2011 as receiving 3% of its funding from the tobacco industry. No wonder Seymour’s poor taste “joke” about smokers went down so well with the audience.