UK collects £153.8m from sugar tax since its introduction in April

The UK’s sugar tax has raised £153.8 million in revenue since it was introduced in April, according to new government figures.

Brought in as a means of tackling childhood obesity, the levy is being used to fund physical education activities in primary schools.

While many manufacturers have reduced the sugar content in their drinks products, over 450 traders have registered to pay the levy.

There are two rates of tax, depending on the sugar content: the standard rate (£0.18 per litre) applies to drinks with sugar content between 5g and up to (but not including) 8g per 100ml, and the higher rate (£0.24 per litre) applies to drinks with sugar content equal to or greater than 8g per 100ml.

UK government figures show that more than 90% of revenue from the tax has come from traders paying the higher rate.

Robert Jenrick, the Exchequer Secretary to the Treasury, said: “Today’s figures show the positive impact the soft drinks levy is having by raising millions of pounds for sports facilities and healthier eating in schools, as well as encouraging manufacturers to cut sugar in over half the drinks found in UK stores.

“Helping our next generation to have a healthy and active childhood is a priority for us, and I’m pleased to see the industry is playing its part.”

The UK government said the country has one of the highest obesity rates among developed countries and that soft drinks are still the biggest source of sugar in children’s diets.

The WHO has said that 36 countries around the world are implementing some form of tax on sugary drinks, including Brunei, France, Mexico, Saudi Arabia and Thailand.

Earlier this month, Malaysia announced it will introduce a levy on high-sugar soft drinks, to be introduced in April 2019.