Judith Bryans, chief executive of industry body Dairy UK, said it was “disappointing” that government had decided to expand the sugar levy, given that milk and yogurt based drinks helped provide “a range of nutrients” including B vitamins, protein, iodine and calcium.
But she welcomed the inclusion of the lactose allowance – which is a natural sugar found in dairy products – to address the “unique composition” of dairy.
“This will ensure that dairy companies do not pay the levy on naturally occurring lactose, as this is not a public health concern,” she said.
The government consultation on expanding the tax looked at reducing the threshold to 4g of sugar per 100ml, but the government said it had considered feedback on the technical challenges involved in reformulating products below that level “as well as the costs and risks of reformulation for businesses”.
A spokesperson for the Food and Drink Federation said it was pleased that the government had listened to industry.
“The new proposals take into account the costly and technically complex work that companies have to do to bring healthier products to market, and go some way to protecting the investment companies are making to help people follow healthier diets,” they said.
