Jacking up licence fees for tobacco retailers had a major impact on the number of outlets selling cigarettes, a Cancer Council SA research paper concludes.

The paper, published by the British Medical Journal online yesterday, says cigarette availability has received little attention in tobacco control in Australia and internationally.

It examined the impact of a 15-fold licence fee increase on tobacco retailer licence renewals as part of State Government Budget measures in 2007.

Government tobacco licence records were audited for one year before, and two years after, the change.

It found a 23 per cent fall in licensed outlets – even higher in what it called “low demand” areas.

“This study has important implications; the reduction in tobacco licensees … suggests that the substantial fee increase from a low base was a disincentive for renewing/purchasing new licences where consumer demand is low,” the study found.

“However, further research is needed to determine whether further fee increases would discourage retailers with high volumes of tobacco sales from renewing/purchasing new licences, or whether additional measures may be necessary to reduce availability of tobacco products where consumer demand is high.”

Of the 1144 entertainment licensees holding valid licences in December 2007, 30.9 per cent no longer held a licence by December 2009, and 19.9 per cent had reduced the number of points of sale within the same venue.

The research paper was compiled by researchers from the Cancer Council SA, UniSA, University of Adelaide and the SA Health and Medical Research institute.