Legalising cannabis 'would raise £1bn in tax for the UK' and could provide major health benefits to patients

LEGALISING cannabis could bring in more than £1 billion a year in tax revenues, a think tank has claimed.

The Institute for Economic Affairs (IEA) has called on Britain to follow Canada and parts of the United States and decriminalise the Class B drug.

The report claims the current black market for cannabis is worth £2.6 billion a year.

Introducing a commercial market for cannabis would lead to savings for the police and other public services, the report says.

Legalising cannabis could also have health benefits for the population.

The government has promised to review the use of medicinal cannabis following two high-profile cases involving severely epileptic children.

Studies by Harvard University have shown that consuming medical cannabis can reduce pain, and even slow down cancer cell growth.

The home secretary has stressed that the drug will still be banned for recreational use.

Only one cannabis-based medical product – Sativex – can be legally prescribed in limited circumstances usually to help alleviate the symptoms of multiple sclerosis and the government is open to further applications.

Professor Anthony Chalmers, head of clinical oncology at the University of Glasgow has said that Sativex should undertake more extensive research into treating other ailments, such as cancer.

He said: “Street cannabis contains dangerous chemicals in the way tobacco does.

“Cannabis produced in reputable laboratories is different.”