Sugar Tax in UK Industry Market Segments, Opportunity, Growth and Forecast by End-use Industry 2020

Sugar Tax in UK

Summary 

"The Implications of Introducing a Sugar Tax" explores the likely effects of sugar taxes on consumer prices and behavior. It outlines consumer responses to price hikes by attempting to evaluate to what extent sugar taxes could halt obesity by discouraging sugar consumption in the UK, which will be the next country to adopt such a policy.

The introduction of a sugar tax would hit lower-income groups harder, but this would not guarantee a reduction in sugar consumption as this group is likely to trade down to lower-price goods. On the other hand, the tax would raise awareness among consumers bringing the high sugar content of soft drinks into the spotlight. This could stimulate new innovations in product reformulation, positioning and packaging sizes.

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Scope of the Report

- There is no clear evidence supporting sugar tax as a mechanism to influence consumer diets. 
- Despite obesity/overweight and sugar-related health issues being two of the most concerning health issues for British consumers, consumption of sugar is high and climbing. 
- Price rises will not necessarily stall the taxed category’s sales as the demand is inelastic and consumers may just shift to cheaper brands. 
- The tax would play a key role in promoting a healthy diet, bringing the high sugar content of soft drinks into the spotlight and stimulating demand for low-sugar and sugar-free soft drinks.

  Table of Contents 

Table of Contents 
1. The rationale behind the sugar tax 
2. Implications to consumer prices 
3. A cross-country comparison 
4. Implications of consumer perceptions 
5. Spot light on: Soft Drinks 
6. UK: Sugar Tax debate 
7. Perceptions of the sugar tax by stakeholder 
8. What manufactures need to know about UK consumers 
9. Implications to consumer behavior 
10. Conclusions

    .Continued

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