From Friday, millions of children across the UK will benefit from
the government’s key milestone in tackling childhood obesity, as
the Soft Drinks Industry Levy comes into effect.
The tax on soft drinks, commonly referred to as the ‘Sugar Tax’,
has already resulted in over 50% of manufacturers reducing the
sugar content of drinks since it was announced in March 2016[1] –
the equivalent of 45 million kg of sugar every year.
Soft drinks manufacturers who don’t reformulate will pay the
levy, which is expected to raise £240 million each year[2]. This
money will go towards doubling the Primary Sports Premium, the
creation of a Healthy Pupils Capital Fund to help schools upgrade
their sports facilities, and give children access to top quality
PE equipment.
The levy will also give a funding boost for healthy school
breakfast clubs.
Exchequer Secretary to the Treasury, MP visited the Lucozade
Ribena Suntory factory on Thursday, which has led the way in
reformulating its drinks alongside the likes of Tesco and Irn
Bru. He commented:
“The Soft Drinks Levy is one part of our plan to tackle childhood
obesity. From Friday, soft drinks which contain too much added
sugar will need to pay a fee.
“All revenues raised through the levy will directly fund new
sports facilities in schools as well as healthy breakfast clubs,
ensuring children lead healthier lives.
“We want to persuade manufacturers to reformulate their drinks
and lower the sugar content. In the time between announcing this
policy and it taking effect today, more than half of all soft
drinks have been reformulated to lower the sugar content,
including many of the best known soft drinks. We hope that will
continue in the months and years to come.”
In England alone, a third of children are obese or overweight
when they leave primary school, and evidence shows that 80% of
kids who are obese in their early teens will go on to be obese
adults.
Public Health Minister, remarked:
“Our teenagers consume nearly a bathtub of sugary drinks each
year on average, fuelling a worrying obesity trend in this
country. The Soft Drinks Industry Levy is ground-breaking policy
that will help to reduce sugar intake, whilst funding sports
programmes and nutritious breakfast clubs for children.
“The progress made so far on our obesity plan is promising—but
with one in three children still leaving primary school
overweight or obese, we have not ruled out doing more in future.”
Notes to Editor
The aim of the Soft Drinks Industry Levy is to encourage
companies to reformulate their soft drinks. Since the levy was
announced two years ago, the expected amount of revenue has gone
down from £520m in Year 1 to £240m. Even before coming into
effect, the levy is already working – over 50% of manufacturers
have reformulated their drinks.
Even if revenue from the levy declines, funding for schools and
children will stay the same.
The rates companies will need to pay are as follows:
· 24p per litre of drink if it contains 8 grams of sugar per 100
millilitres
· 18p per litre of drink if it contains between 5 – 8 grams of
sugar per 100 millilitres
