'Sugar tax' is another name for the Soft Drink Industry Levy, a tax on sugar-sweetened drinks sold in the UK. The tax is part of a public health initiative by the Government to combat rising rates of obesity and type 2 diabetes in the UK. 


A charge of 18p per litre for soft drinks that contain at least 5g of added sugar per 100ml has been included in product prices since 6th April 2018. For drinks with at least 8g of sugar per 100ml the tax is 24p per litre. Fruit juices, drinks with naturally occurring sugar, milk-based drinks containing sugar, and most alcoholic drinks are exempt from the tax. 


The money is used by the Government to fund sports activities in schools to help combat childhood obesity and diabetes.