NSW Penalty Hits Landlords of Illegal Vape, Tobacco Shops

​The Minns Labor Government is continuing to strengthen compliance and enforcement of tobacco and vaping goods laws across NSW, with the Public Health (Tobacco) Amendment (Landlord Offences) Bill 2025 passing in Parliament this week.

This is despite the Coalition's attempts to delay the new laws.

The legislation, which will commence on proclamation, will create an offence for commercial lessors who knowingly permit premises to be used by tenants to sell illicit tobacco and illegal vapes, forming an important part of the government's broader strengthening of tobacco laws. 

The new offence carries a maximum penalty of 1 year imprisonment, a fine of $165,000, or both. It is intended to target landlords who are aware of tenants selling illicit tobacco and vaping goods from their premises and knowingly permit this illicit activity to continue, without taking steps to report or evict the tenant. 

The legislation builds on recent reforms to crack down on illicit tobacco and illegal vaping market, including:

  • ​a new offence for the possession of a commercial quantity of illicit tobacco with a maximum penalty of over $1.5 million and 7 years' imprisonment, or both 
  • new penalties for the sale of illicit tobacco with a maximum penalty of over $1.5 million and 7 years' imprisonment, or both
  • the introduction of short-term (up to 90 days) and long-term (up to 12 months) closure orders for premises selling illicit tobacco, illegal vaping goods, or selling tobacco or non-tobacco smoking products without a licence 
  • new offences and penalties for anyone who breaches these closure orders, including for entering closed premises or selling products from closed premises 
  • new lease termination powers for landlords where a closure order is in place 
  • new nation-leading offences for falsely claiming to be licensed, resisting seizure, and attempting to retake seized products. 

The Minns Government also recently expanded the Centre for Regulation and Enforcement, with the addition of 30 full-time equivalent NSW Health Inspectors supported by time limited funding from the Commonwealth Government.

The new Inspectors have joined the dedicated, state-wide team, who are working together with NSW Police to close down stores selling illicit tobacco and vaping goods.

As of 24 April 2026, NSW Health have issued 220 short-term closure orders since 3 November 2025, with 158 currently in force.

The Minns Government is aware the sale of illicit tobacco and vaping products continues to evolve, with some attempting to obscure and avoid the enforcement activities of NSW Health Inspectors, by using QR codes and social media communications to facilitate the ongoing sale of illicit tobacco to customers, after a closure order has been issued.   

NSW Police and NSW Health are working together to identify these methods and pivot their enforcement strategies to shut down this activity.  

​Quotes attributable to Minister for Health Ryan Park:

"Landlords who intentionally allow tenants to sell illicit tobacco and illegal vapes are not only undermining legitimate business operations, but they are exposing their community to associated criminal activities.

"This legislation builds on our extensive efforts to crack down on illegal tobacco and vapes across the state, and with a bolstered workforce, we are prepared to tackle this problem head on.

"The former Coalition government failed to implement a tobacco licensing scheme and left this state behind the ball. We're getting on with the job of cleaning up our communities and suburbs.

"The same Coalition that failed to take action against illegal tobacco also tried to delay the passing of this legislation with amendments that did nothing to strengthen the laws.

"We are sending a clear message to those people, including landlords, who are doing the wrong thing - sooner or later, we will come for you."

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