Landlords across New South Wales who knowingly allow their commercial tenants to sell illicit tobacco and illegal vapes will soon face severe penalties, including potential prison time, under proposed new state legislation.
New Offences and Penalties for Complicit Property Owners
The NSW government is creating a specific offence targeting property owners who turn a blind eye to illegal activity on their premises. The maximum penalty is set at one year in prison, a fine of $165,000, or both. This forms a key part of a broader crackdown on the black-market tobacco and vaping trade, which has seen authorities seize over $18.9 million worth of illegal cigarettes and vapes since the beginning of the year.
NSW Health Minister Ryan Park stated that the new law reinforces the critical responsibility landlords have in preventing the sale of prohibited goods. He emphasised that the measure is designed to disrupt the business models of those flouting the law.
Extensive Seizures and Ongoing Prosecutions
The scale of the problem is significant. Official data reveals that from January 1 to October 27, 2025, NSW Health inspectors conducted approximately 1,260 retailer inspections. These operations resulted in the seizure of a staggering 11.8 million cigarettes and around 170,000 illegal vaping products.
The enforcement push is already yielding results in the courts. The Ministry of Health has finalised 17 prosecutions, with fines totalling more than $597,200. A further 27 prosecutions are currently before the courts, indicating a sustained legal effort against offenders.
Closing Loopholes and Shutting Down Shops
This legislative move comes after the federal ban on selling vapes outside of pharmacies, which took effect on July 1, 2024. Despite this ban, investigations, including one by the Illawarra Mercury, found that the products remain readily available in many retail stores.
In a demonstration of new enforcement powers, the government recently shut down two tobacco shops in Sydney's north for 90 days. Intriguingly, these stores were located within 200 metres of the NSW Ministry of Health headquarters in St Leonards. Establishments found operating without a licence or selling illicit products can now face immediate closure for up to 90 days, with repeat breaches potentially leading to a 12-month shutdown.
Minister Park acknowledged the challenge, stating it will take time to significantly impact the illegal market, but the government is committed to using all available tools, including holding landlords accountable, to protect legitimate businesses and community safety.
