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Plans to extend sugar tax to milkshakes

Plans to extend sugar tax to milkshakes

Summary

The UK government plans to apply the existing sugar tax to milkshakes and other dairy-based drinks. In addition, the government also plans to lower the maximum sugar limit before beverages attract the levy.

Key Facts

  • The UK government is considering expanding the sugar tax to include milkshakes and other dairy-based drinks.
  • Non-dairy substitutes like oat and rice drinks might also be included.
  • The sugar tax, introduced in April 2018, is currently applied to fizzy drink manufacturers to discourage high sugar content.
  • The maximum amount of sugar limit in drinks may lower from 5g to 4g per 100ml.
  • If approved, around 203 pre-packaged milk-based drinks in the market could be affected by the tax, unless they lower their sugar content.
  • The original exemption for milk-based drinks was due to concern about calcium intake, especially in children.
  • Since the sugar tax's introduction, 89% of soft drinks sold in the UK are not subject to the tax due to recipe changes by manufacturers.
  • The sugar tax has raised £1.9 billion since it was implemented in 2018.
  • Consultation on these plans will continue until 21 July.
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