People support higher tax on unhealthy foods if it makes healthy options cheaper
Almost three quarters of the UK public are in favour of a higher tax on unhealthy foods.
According to a new survey, 72% of the UK public are in favour of a higher tax on unhealthy foods if the money raised was directly used to make healthy food more affordable, according to findings from an Imperial College Business School report.
Nearly half (48%) of respondents to a nationwide survey of over 2,000 people, supported a higher tax on unhealthy food (compared to 44% who did not support). This increased to 72% if the money raised from the tax was used to make healthier food more affordable.
People in London were most in favour of the proposal, with over half (55%) of respondents supporting a tax on unhealthy food, increasing to 77% if the tax was used to make healthier food more affordable.
Those in Wales were initially the least supportive of the tax, with less than half (37%) in favour. However, they showed a large rise in support when it was added that the proceeds could be used to make healthier food more affordable, increasing to 59% in favour.
"Government action on food taxes could help people make healthier choices and tackle the rising tide of obesity and chronic illnesses.” Professor Franco Sassi Director of the Centre for Health Economics & Policy Innovation, Business School
Tax that would make healthy foods more affordable was supported by most respondents from all social groups (76% in higher social classes – ABC1 – and 65% in lower social classes – C2DE).
The survey was carried out by YouGov and analysed by the Centre for Health Economics & Policy Innovation at Imperial College Business School. It was commissioned as part of the Imperial-led FINCH project, funded by the National Institute for Health Research (NIHR). The project aims to identify ways of taxing food that would make people eat healthier diets without increasing the tax burden on food.
Making healthy food more affordable
While the cost-of-living crisis continues, this study indicates that affordability remains a key factor for most people when choosing healthier foods. The researchers say higher taxes on unhealthy foods could help to remove this potential barrier and could be a vital step towards improving diets and overall health across the country. Prevention is a key strategy both for economic growth and for the sustainability of the NHS.
Professor Franco Sassi, one of the authors of the study and Director of the Centre for Health Economics & Policy Innovation at Imperial College Business School, said: “It’s clear that healthy eating is a big concern for a lot of people, especially when many people are struggling financially. Government action on food taxes could help people make healthier choices and tackle the rising tide of obesity and chronic illnesses.”
Knowledge gap
The study also revealed that the public has inconsistent levels of knowledge about how food is currently taxed. Over two-thirds of respondents were aware that VAT is charged on hot takeaways and deliveries (69%) and food eaten in restaurants and cafes (79%) , but only a quarter or fewer realised that processed meat (24%) and cakes (19%) have no VAT applied to them.
Around a quarter (24%) had no knowledge of the Soft Drinks Industry Levy, also known as the ‘sugar tax’. Awareness of taxes on unhealthy products is a key motivational tool in changing consumer behaviour. This highlights the importance of clear communication in ensuring a new tax, even one with public support, does not represent a missed opportunity.
The study, currently under review for publication in an academic journal, is available in pre-print to download. The findings offer hope for a new approach in tackling the UK’s rising rates of obesity, diabetes and heart disease – among other diet-related health issues.
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