UK Cannabis Legalization Could Yield £1.5 Billion Annually
Adult-use cannabis legalization could generate as much as £1.5 billion in revenue and savings according to a new report by the advocacy group Transform Drug Policy Foundation.
The report, which was posted on the organization’s social media account, determined that over £1.2 billion would be generated from taxes and fees annually, and an additional £284 million would be saved annually by the nation’s criminal justice system no longer enforcing cannabis prohibition policies.
“There would be costs incurred for Govt by regulatory infrastructure – inspection, monitoring, compliance, trading standards etc – but largely covered by licensing/other fees.” the organization stated on social media.
🚨NEW REPORT🚨
*High Returns: The Economic Benefits of UK Cannabis Legalisation*
Legally regulating cannabis (for non-medical use) in the UK could generate £1.5 billion in annual net benefits for the Treasury
Here’s a breakdown of the key findings👇#legaliseUKcannabis
1/🧵 pic.twitter.com/pXkSXYcPLq— Transform Drug Policy Foundation (@TransformDrugs) March 4, 2025
Transform Drug Policy Foundation also determined that “up to 15,500 full-time jobs could be created in cultivation, manufacturing, retail & related services, (depending on the model implemented).”
The report also found that “a regulated market could displace 80% of the illegal trade in five years (based on trends in Canada).” The organization’s proposed legalization model involves permitting home cultivation, cultivation associations, and a government retail monopoly.
A previous analysis published last year by UK-based advocacy group CLEAR determined that legalizing cannabis for adult use in the United Kingdom and taxing and regulating sales could generate as much as £9.5 billion per year based on their proposed model.
