Effect of soft drinks levy seen in stores

Effect of soft drinks levy seen in stores
News RN Soft drinks Sugar tax
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More than 91% of sugar- levy-paid soft drinks sold in convenience stores were subject to the highest rate of the tax.

From April to October this year, 457 suppliers paid £153.8m to the Government as part of the recent legislation to combat obesity. More than £130m of this came from soft drinks paying the highest rate of tax.

Under the levy, soft drinks containing between 5g to 8g of added sugar per 100ml must pay a ‘standard rate’ of 18p per 100ml. 

The higher rate on drinks with more than 8g of sugar per 100ml charges 24p per 100ml.

Read similar: Retail Express uncovers the first evidence of soft drinks levy avoidance

Exchequer secretary to the Treasury Robert Jenrick said: “The figures show the impact the levy has in encouraging manufacturers to cut sugar in over half the drinks in stores.”

The Government previously halved its forecast of how much tax it expected to raise from the sugar levy to £240m in its first year. 

Suppliers including Lucozade Ribena Suntory, Coca-Cola European Partners and Boost Drinks had reformulated many lines and were no longer affected by the policy.

By Megan Humphrey Avatar
By Megan Humphrey 26 Nov, 2018



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