Skip to content
CityAM
Main navigation
  • News
    • News
      • Latest Business News
      • Economics
      • Politics
      • Tech
      • Banking
      • FTSE 100 Live
      • Retail
      • Insurance
      • Legal
      • Property
      • Transport
      • Markets
    • From our partners
      • AON
      • Bayes Business School
      • Canada BIDs
      • Central London Alliance CIC
      • Destination City
      • Halkin
      • Olympia
      • Inside Saudi
      • Tottenham Hotspur Stadium
      • Santander X
      • YEAR SIX Dividend
    • Featured

      Fed Chair Kevin Warsh steps into market spotlight with debut interest rate decision

      Kevin Walsh addressing a conference audience in a formal business setting, wearing a suit and gesturing with his hand.

      Submit a story

      Tell us your story.

      Submit
  • Opinion
  • Sport
    • Latest Sports News
      • Sport
      • Sport Business
    • From our partners
      • The Morning Briefing: SBS x CityAM
      • Aramco Team Series
      • LIV Golf
    • Featured

      Knicks NBA finals win over Spurs smashes broadcasting records

      Getty Images logo on a digital screen, representing media content and stock photography in a business news context

      Submit a story

      Tell us your story.

      Submit
  • Life&Style
    • Life&Style
      • Life&Style
      • Toast the City Awards
      • The Magazine
      • Travel
      • Culture
      • Motoring
      • Wellness
      • The RED BULLETiN
      • Do it with Shared Ownership
      • Media Speak Hub
    • Featured

      Old Pulteney releases 50-year-old whisky for 200th anniversary

      Old Pulteney 50-Year-Old single malt Scotch whisky bottle with elegant packaging on display, highlighting luxury and craft...

      Submit a story

      Tell us your story.

      Submit
  • Investec
  • Events
  • Latest Paper
Monday 21 November 2016 1:00 am

UK drug strategy has failed and the Treasury is missing out on as much as £1.05bn of the UK’s growing cannabis market

By: Courtney Goldsmith

Add as a preferred source on Google

The world is changing its mind on drug legalisation policies, and the UK will be left behind unless politicians take action.

Legalisation and regulation of the UK's £6.8bn per year cannabis market could send as much as £1.05bn to the Treasury, a new report said.

Ditching Britain's failed strategy and following the pragmatic approach of major western democracies like Germany, Canada and the US would amend the UK's "messy patchwork of legislation" around cannabis to confront issues of crime and addiction, analysis published today by the Adam Smith Institute and Volteface said.

Read more: Lib Dems: Legalised pot would bring in £1bn

More than half of the British public and three quarters of MPs believe that Britain's current drug policies are ineffective and a new approach is needed.

Conservative MP Michael Fabricant likened the situation to the failed prohibition of alcohol in the United States, which encouraged a lucrative black market. He argued that natural cannabis does no more harm than alcohol or sugary drinks, both of which can eventually lead to death.

"We need a grown up debate on this whole issue and a national education programme on the use and abuse of drugs.”

Liberal Democrat MP Nick Clegg said British politicians should "open their eyes" to how governments around the world are legislating cannabis, which is a Class B drug in Britain.

"Now is the time for Ministers to start writing the rules for this legal market, including age limits and health warnings, so that we can finally take back control from the criminal gangs."

Read more: Legal sales of cannabis net Oregon shopkeepers $11m

The Home Office has been accused of trying to alter Whitehall reports that show no link between tough laws and the levels of illegal drug use, reported the think thank and drugs policy company.

Former Home Secretary Jacqui Smith said: "Knowing what I know now, I would resist the temptation to resort to the law to tackle the harm from cannabis."

Currently, there are 1,363 inmates in England and Wales on cannabis related charges, costing taxpayers £50m a year.

Read more: This is the investment case for legalised cannabis markets

The World Health Organisation and the British Medical Journal have come out in support of legalisation, saying current policies of prohibition are causing more harm than good.

Sam Bowman, executive director at the Adam Smith Institute, said Britain needs to re-evaluate its drug policies and give the growing market to legitimate businesses.

We have a growing body of evidence from abroad that legalisation and smart regulation are much better ways of curbing the harms cannabis can cause to users and their communities, and that straightforward bans just push users into the hands of criminals. Cannabis is enjoyed by many otherwise law-abiding people and making criminals of them makes an ass of the law – the only sensible approach now is to legalise and regulate.

 

Share this article

  • Facebook
  • X
  • LinkedIn
  • WhatsApp
  • Email

Similarly tagged content:

Sections

  • News

Categories

  • Business
  • Retail

Trending Articles

  • More Big Four blues as Deloitte plans to slash UK audit roles

  • Rathbones to suspend thousands of client account inflows after FCA probe deals £530m blow

  • Rolls-Royce shares surge as SMR unit bags multi-billion pound Swedish nuclear contract

  • As it happened: FTSE 100 relief rally runs out of steam as BP and Shell weigh; Oil hits three-month low

  • London Tech Week sums up everything wrong with UK tech

More from CityAM

  • Emily Thornberry has insulted Carnival-goers and Gooners alike

    Opinion
    Emily Thornberry addressing media at press conference, wearing a navy blazer, standing at a podium with microphones
  • Brewdog founder James Watt launches ‘equity punk’ comeback

    Retail
    Brewdog CEO James Watt
  • ‘It’s important we increase spending’: Treasury minister defends triple lock pension

    Politics
    Treasury team members discuss financial strategies at a business meeting, showcasing collaborative efforts in economic pla...
  • Banks ‘not ready’ for motor finance scheme, says City watchdog

    Banking
    Nikhil Rathi, chief executive of the FCA.
  • Savvy the Squirrel and ‘simpler regulation’: New City minister reaffirms Labour’s investment push

    Investing
    Savvy the Squirrel mascot promotes retail investing campaign with vibrant graphics and engaging call-to-action elements
  • XFolio AI Acquires Absolute Payment Solutions to Unify Treasury and Payments for UK Corporates

    Business Wire
  • Reeves to overhaul ring-fencing regime in a bid to boost the UK economy

    Banking
    HSBC's Canary Wharf office.
  • Healey condemns Reeves: ‘Our adversaries do not follow timetables set by the Treasury’

    Politics
    Massachusetts Governor Maura Healey speaking at a press conference, addressing state initiatives and policy updates

CityAM Canada — business, markets and opinion for Canadian readers.

Sections

  • Business
  • Markets
  • Tech
  • AI
  • Economics
  • Opinion
  • Cities

Company

  • About
  • Contact

Legal

  • Terms of Use
  • Privacy Policy
  • Cookie Policy
© 2026 CityAM Canada. All rights reserved.
Terms · Privacy · Cookies