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Sugar Tax 'Will Hit The Poorest Hardest'

The sugar tax will be an arbitrary burden on the poor which does not take account of the actual content of drinks, critics have said.

The TaxPayers' Alliance (TPA) said some beverages full of sugar will be exempt from the "bungled" levy, which was announced in the Chancellor's most recent Budget.

The TPA is calling for the measure to be scrapped after it carried out a comparison of 49 different drinks, including fizzy and energy drinks that will be taxed, and milk-based ones and coffees that will not.

But the Treasury said the tax is a "major step forward" in the fight against childhood obesity, and the money raised will fund more school sports and expanding school breakfast clubs.

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:: Coca-Cola To Pass On 'Majority' Of Sugar Tax

The TPA exercise found that Coca-Cola, with 10.6 grams of sugar per 100 millilitres, will be subject to the tax, but a Starbucks signature hot chocolate with whipped cream with coconut milk, which has 11 grams of sugar per 100 millilitres, will not.

Energy drinks such as Monster Origin, 11g/100ml, will be taxed, but Tesco chocolate flavoured milk, 12.4g/100ml, will not be, the study also noted.

The 10 most sugary drinks analysed by the TPA will not be subject to the levy.

TPA chief executive Jonathan Isaby told Sky News the policy has "descended into farce".

He said: "It (the results of the study) suggests to us the Government has not thought through this proposal whatsoever, we're calling for them to scrap it.

Mr Isaby added: "The Government should scrap it, strangle it at birth, before the thing even gets off the ground.

"It will be a huge administrative burden and it would hit the poorest hardest in terms of the weekly shop."

A Treasury spokesman said: "Treating obesity and its consequences costs the taxpayer £5.1bn every year.

"The levy will be charged on soft drinks because they are the main source of added sugar in children's and teenagers' diets, many with no intrinsic nutritional value.

"Health experts agree there is a specific problem with sugar-laden fizzy drinks that must be addressed.

"One can of cola can contain nine teaspoons of sugar, well over the recommended daily limit for our children.

"The money from the levy will go towards funding more school sport, and expanding school breakfast clubs.

"The levy is designed so that producers don't have to pass the tax on to consumers and if they change their product mix to reduce sugar content, then they will pay less or no tax."