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Dec 21, 2016 09:58 AM EST

Taxes on Sugar Aims to Reduce Rates of Child Obesity by 10%, Says New Study

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Research suggest that added sugar tax on soda could reduce obesity rates among thousands of British adults and children.

According to experts, the proposed levy which is going to be introduced in April 2018 will have a significant impact on health and obesity rates. This industry tax refers to the sugar content of drinks charging a higher amount for the majority of sugar containing beverages.

The researchers are looking at three scenarios that could result from the sugar levy on drinks containing sugar. They said that there is a higher likelihood of effects on the rates on obesity, diabetes and tooth decay, which aims to encourage customers to switch to drinks with less sugar content.

The study found that 144,000 fewer cases of obesity could result from 15 percent reduction in the sugar content for moderately sugared drinks and 30 percent reduction for high sugar drinks. These could also translate to 19,000 fewer cases of Type 2 every year and a total of 269,000 fewer cases of tooth decay.

Half the cost of the levy will be passed on to consumers and that's equivalent to a 20 percent increase in the prices of both high sugar and mid-sugar drinks.

Dr. Adam Briggs, the author of the study from Oxford University said that they are looking at the effects of the soft drinks levy on people's health in UK. He also believes that industries are most likely going to respond to the added tax which in return, should improve health by reducing rates of obesity, diabetes and tooth decay.

He also said that the extent of these effects will depend on the industry's response which is why he encourages that food industries acts on removing sugar from their beverages because the added costs are still being passed on to consumers after all.

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