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| Soft drink sugar tax starts, but will it work? | Soft drink sugar tax starts, but will it work? |
| (about 9 hours later) | |
| The "ground-breaking" sugar tax on soft drinks has come into force in the UK. | The "ground-breaking" sugar tax on soft drinks has come into force in the UK. |
| From Friday manufacturers have to pay a levy on the high-sugar drinks they sell. | From Friday manufacturers have to pay a levy on the high-sugar drinks they sell. |
| Ministers and campaigners believe it has already proved to be a success with many firms reducing sugar content ahead of the change. But others say it is still too early to judge the impact. | Ministers and campaigners believe it has already proved to be a success with many firms reducing sugar content ahead of the change. But others say it is still too early to judge the impact. |
| Leading brands such as Fanta, Ribena and Lucozade have cut the sugar content of drinks, but Coca-Cola has not. | Leading brands such as Fanta, Ribena and Lucozade have cut the sugar content of drinks, but Coca-Cola has not. |
| The introduction of the levy means the UK joins a small handful of nations, including Mexico, France and Norway, which have introduced similar taxes. | The introduction of the levy means the UK joins a small handful of nations, including Mexico, France and Norway, which have introduced similar taxes. |
| How will it work? | |
| The levy is being applied to manufacturers - whether they pass it on to consumers or not is up to them. | |
| Drinks with more than 8g per 100ml will face a tax rate equivalent to 24p per litre. | |
| Those containing 5-8g of sugar per 100ml will face a slightly lower rate of tax, of 18p per litre. | |
| Pure fruit juices will be exempt as they do not carry added sugar, while drinks with a high milk content will also be exempt due to their calcium content. | |
| Originally, the Treasury forecast it would raise more than £500m a year, but that has now been reduced to £240m because some manufacturers have reduced the sugar content in their products. | |
| In England that income is being invested in schools sports and breakfast clubs. | |
| 'Too much stick, not enough carrot' | |
| But will it work? The jury is still out. | |
| University of Bedfordshire nutrition expert Dr Daniel Bailey said that while the levy is a "positive step" in tackling obesity and had led to a "notable" reaction by the industry, the response by consumers is uncertain. | |
| "The increase in tax placed on soft drinks will make products more expensive, but will this actually discourage people from buying them? | |
| "We could just end up with consumers buying the same amount but paying more." | |
| Polling suggests this may be the case for many people. | |
| Research by Mintel found just under half of Britons say taxing unhealthy products would encourage them to cut back. | |
| By comparison easier-to-understand nutritional information would alter the purchasing habits of three-quarters of people, the survey of 2,000 people showed. | |
| Mintel's associate director of food and drink Emma Clifford said it suggested "carrot" rather than "stick" may be a better approach. | |
| Teens consume huge amounts of sugar drinks | Teens consume huge amounts of sugar drinks |
| All age groups are consuming too much sugar, with teenagers the worst offenders. | All age groups are consuming too much sugar, with teenagers the worst offenders. |
| They get a quarter of their sugar intake from soft drinks. | They get a quarter of their sugar intake from soft drinks. |
| Public Health Minister Steve Brine said: "Our teenagers consume nearly a bathtub of sugary drinks each year on average, fuelling a worrying obesity trend. | Public Health Minister Steve Brine said: "Our teenagers consume nearly a bathtub of sugary drinks each year on average, fuelling a worrying obesity trend. |
| "The levy is a ground-breaking policy that will help to reduce sugar intake." | "The levy is a ground-breaking policy that will help to reduce sugar intake." |
| Public Health England also hopes it will improve the oral health of children. | Public Health England also hopes it will improve the oral health of children. |
| To coincide with the introduction of the levy, the agency released figures showing a child in England has a tooth removed in hospital every 10 minutes due to preventable decay. | To coincide with the introduction of the levy, the agency released figures showing a child in England has a tooth removed in hospital every 10 minutes due to preventable decay. |
| PHE's Dr Sandra White said: "It's upsetting to see so many children admitted to hospital with tooth decay." | PHE's Dr Sandra White said: "It's upsetting to see so many children admitted to hospital with tooth decay." |
| She is urging families to skip soft drinks altogether and to consume water and lower-fat milks. | She is urging families to skip soft drinks altogether and to consume water and lower-fat milks. |
| How has industry reacted? | How has industry reacted? |
| Estimates by the Treasury based on market data suggest 50% of manufacturers have reduced the sugar content of their drinks. | Estimates by the Treasury based on market data suggest 50% of manufacturers have reduced the sugar content of their drinks. |
| Fanta has cut it by nearly a third, Ribena and Irn-Bru by half and Lucozade by nearly two-thirds. | Fanta has cut it by nearly a third, Ribena and Irn-Bru by half and Lucozade by nearly two-thirds. |
| Tesco has said none of its own-brand drinks will fall foul of the levy, although the process of reformulation started before the sugar tax was announced. | Tesco has said none of its own-brand drinks will fall foul of the levy, although the process of reformulation started before the sugar tax was announced. |
| Head of soft drinks Phil Banks, believes about 85% of products purchased at the company's stores will be below the levy threshold. | Head of soft drinks Phil Banks, believes about 85% of products purchased at the company's stores will be below the levy threshold. |
| "At Tesco, things won't be so very different," he said. | "At Tesco, things won't be so very different," he said. |
| But he conceded customers could see some of the branded drinks becoming more expensive or being served in smaller containers. | But he conceded customers could see some of the branded drinks becoming more expensive or being served in smaller containers. |
| Earlier this year Coca-Cola announced it will cut the size of its 1.75l bottle to 1.5l and put up the price by 20p. | Earlier this year Coca-Cola announced it will cut the size of its 1.75l bottle to 1.5l and put up the price by 20p. |
| The company said it had decided not to change its classic recipe because "people love the taste and have told us not to change". | The company said it had decided not to change its classic recipe because "people love the taste and have told us not to change". |
| Coca-Cola Zero Sugar and Diet Coke are not affected by the levy. | Coca-Cola Zero Sugar and Diet Coke are not affected by the levy. |
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