The tax man

On numerous occasions – and increasingly so in recent months – the subject of my weekly blog has been the much discussed sugar tax, with various arguments both for and against its implementation in the UK.

Opinion was once again split last week as George Osborne announced his intention to levy a sugar tax on the soft drinks industry during his Budget speech.

The news came as a shock to many in the industry who hadn’t been expecting the announcement, particularly given David Cameron’s toing and froing on the subject. At the same time, however, some believe the decision was inevitable, it was a matter of ‘when’ rather than ‘if’.

Those opposing the move are sad to see soft drinks – a category that has consistently reduced sugar in recent years – singled out; the Food and Drink Federation and British Soft Drinks Association both quickly expressed disappointment over the news, and statements from Britvic and Coca-Cola Enterprises say a tax on soft drinks alone will not solve the obesity crisis – a sentiment echoed by many.

Professor Graham MacGregor, chairman of Action on Sugar, on the other hand, was “delighted” by the news – I attended a sugar debate at the end of 2015 during which he said the food industry is “killing us”, likened it to the tobacco industry and described sugar as a “toxic substance” – so no surprise there really.

Chef and avid supporter of the tax Jamie Oliver was also pleased, writing on social media: “We did it guys. A sugar levy on sugary sweetened drinks. A profound move that will ripple around the world.”

With evidence from other countries showing this type of tax does not work, we will have to wait and see how much of a ‘ripple around the world’ the sugary drinks tax will truly have when it comes into force in 2018.

Food & Drink Technology welcomes your views. Please comment below or email carly@bellpublishing.com

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