Overview
- Reports suggest the Budget will scrap the milk-based drink exemption and apply the levy to products at 4g of sugar per 100ml, with changes reported to start in April 2027.
- The Treasury declined to comment on Budget speculation, with officials saying smaller decisions are still being finalised.
- The Telegraph’s figures, cited by other outlets, put potential revenue in 2027 at roughly £50 million to £100 million.
- Industry groups warn the move could lift supermarket prices by about 5% and question health gains, as Conservative shadow chancellor Mel Stride accuses Labour of “moving the goalposts.”
- The Soft Drinks Industry Levy, introduced in 2018, charges at least 18p per litre on drinks at 5g/100ml or more, with milk drinks originally exempted and Treasury analysis saying they contribute little to young people’s calcium intake.