What is the sugar tax?published at 09:38 GMT
09:38 GMT
Image source, Getty Images
The “Soft Drinks Industry Levy” – widely known as the sugar tax – was introduced in April 2018, under the Conservative government.
It applies to packaged drinks with more than 5g of sugar per 100ml. There are two rates:, external
19.4p per litre on drinks with a sugar content between 5g and 8g per 100ml
25.9p per litre on drinks with a sugar content equal to or greater than 8g per 100ml
The tax has led to some fizzy drink manufacturers changing their recipes to avoid the tax. In 2024, the government said 89% of soft drinks sold in the UK did not meet the sugar tax threshold.
Currently, milk-based drinks are exempt, if they contain at least 75ml of milk per 100ml.
Last year, the government announced a review, external to look at whether the milk exemption should remain. It also looked at whether the threshold for all drinks should drop – so, for example, the sugar tax could kick in at 4g per 100ml, rather than 5g.
Those changes could be confirmed today.