UK shoppers will soon have to pay more for their cold lattes and other sugary milk drinks, as Chancellor seeks to close the ‘loophole’ in the sugar tax, confirmed in November’s Budget today.
Pre-packed milkshakes and other dairy-based products will soon be hit by the Soft Drinks Industry Levy (SDIL) tax, which was introduced by the former Government back in 2018.
The changes were first announced yesterday by Health Secretary, Wes Streeting, but confirmed in today’s Budget.
Wes Streeting in The Commons on Tuesday said: “Obesity robs children at the best start of life, hits the poorest hardest, sets them up for a lifetime of health problems and cost the NHS billions”
The move comes after health officials reported a sharp increase in tooth decays as a primary reason for hospitalisation of children aged five to seven, outpacing illnesses such as acute tonsillitis.
The new levy will require manufacturers to reduce sugar content to the 4.5g /100 ml by the 2028 deadline.
Dr Charlotte Eckhardt, Dean of the Faculty of Dental Surgery (FDS) at the Royal College of Surgeons of England said the move was a “significant victory for public health”, but emphasised that the FDS first called for the threshold to be lowered to 4g /100 ml.
Introduction of the new levy is expected to take effect on 1 January 2028. This timeline provides drinks makers with two years to change their product formulations before the legislation takes effect.