Sugar tax extended to milk-based drinks: What you need to know

"Getty Images Milkshakes, coffee drinks and milk substitutes are to be included in the government's sugar tax scheme for the first time in the UK in a renewed attempt to help tackle obesity. The sugar tax, known formally as the soft drinks industry levy (SDIL), is a tax on pre-packaged drinks such as those sold in cans and cartons in supermarkets. The Health and Social Care Secretary Wes Streeting announced the extension of the tax in the House of Commons on Tuesday, ahead of the budget."

"Extending the sugar tax to milk-based drinks will happen from 1 January 2028. The government says companies which make these drinks will have to reduce the sugar they contain or face paying the tax. That means they could either taste different (less sugary) or cost a bit more. The tax was introduced by the Conservative government in April 2018 as a means to make diets healthier and tackle obesity, by cutting sugar intake."

"The sugar tax applies to pre-packaged soft drinks with added sugar. It already applies to most sugary and fizzy soft drinks sold in cans, bottles and cartons in supermarkets. It will now also apply to pre-packaged milk-based drinks with added sugar such as bottled milkshakes and coffee drinks. It will also now cover milk substitutes - plant-based drinks like soya, oat and rice milks with added sugar."

UK government will extend the soft drinks industry levy to pre-packaged milk-based and plant-based milk substitute drinks with added sugar from 1 January 2028. Manufacturers will be required to reduce added sugar or pay the levy, which could alter taste or increase prices. A lactose allowance will be introduced to account for natural milk sugars. Milk-based drinks previously had an exemption because of their calcium content, but high added sugar levels prompted removal of that exemption. The levy was first introduced in April 2018 to encourage healthier diets and cut sugar intake as part of obesity prevention efforts.

Read at www.bbc.com