The Provision Trade Federation (PTF) has said the Government’s decision to extend the Soft Drinks Industry Levy to milk-based drinks, announced in the Budget on Thursday, was “unwelcome, but expected,” according to its Director General, Rod Addy, reports AsianTrader.
The PTF represents companies involved in processing, manufacturing and trading a wide range of essential food products, including dairy items such as cheese, butter, powders, yogurt, short-life desserts and dairy drinks, as well as pork, bacon, ham and fishery products sourced from the UK, EU and global supply chains. Together, these sectors account for about 20 per cent of UK household food spending — nearly £24 billion a year — and support around 130,000 jobs.
Addy said PTF members continued to work to ensure dairy products support a healthy diet and backed efforts to reduce added sugar to address obesity and dental issues.
“We are glad the government considered our concerns and chose a higher lactose allowance of 4.5g per 100ml instead of 4g. This amount will not be counted as sugar under the drinks tax,” he said. “Lactose occurs naturally in milk, and the allowance reflects average levels in semi-skimmed milk.”
He noted that suppliers had already taken steps to cut sugar in milk-based drinks — particularly those containing a high proportion of milk — as well as in yogurts.
“For all the attention surrounding this Budget, the outcome could have been far worse for businesses,” Addy added. “However, much of the impact was already felt after last year’s decisions.”
The PTF, which has operated for nearly 140 years, continues to lobby on behalf of its members and describes itself as the industry’s “voice” in discussions with the Government and policy makers.
