Britain to End Sugary Drink Exemption for Milkshakes and Coffees by 2028

From January 2028, Britain's health department will end tax exemptions for pre-packaged milkshakes and milky coffees. The sugar tax, or soft drink industry levy, was initiated in 2016 to tackle obesity, especially in children, by taxing drinks high in sugar sold in supermarkets.

The British government will halt tax exemptions for pre-packaged milkshakes and milky coffees under the existing sugar tax scheme, starting January 2028, the health department announced on Tuesday. This move aims to encompass a broader range of sugar-laden beverages within the taxation bracket.

The sugar tax, formally known as the soft drink industry levy (SDIL), currently applies to a variety of pre-packaged beverages, including those sold in cans and cartons at supermarkets. Its primary goal is to motivate manufacturers to reduce sugar content and combat obesity rates, particularly among younger demographics.

Launched by a Conservative-led administration in 2016, the SDIL has been pivotal in promoting healthier consumption choices. The forthcoming inclusion of milkshakes and milky coffees under this levy marks a significant policy shift to curb sugar intake across varied product categories.

(With inputs from agencies.)