25 Nov 2025 Strengthening the Soft Drinks Industry Levy: Food Active response
Ahead of the Autumn Budget, the government have announced an expansion of the Soft Drinks Industry Levy (SDIL), extending it to sugary milk-based drinks and plant alternatives, and lowering the sugar threshold.
Following a three-month consultation and earlier multi-stakeholder review, Wes Streeting has confirmed the government’s plans to remove the exemption on sugary milk-based drinks and plant alternatives from the Soft Drinks Industry Levy and lower the entry threshold from 5g to 4.5g, which aligns it with the Nutrient Profile Model (although less than original 4g proposal). Under the updated policy, which was consulted on between April-July 2025, the levy will now apply to pre-packaged sugary drinks such as flavoured milks, milkshakes, sweetened yoghurt drinks, chocolate milk drinks and ready-to-drink coffees.
Food Active have longed called for the government to build on on the success of the Soft Drinks Industry Levy and extend to less healthy food and drink, ensuring all revenue raised is invested back into increasing access to healthy food.
Food Active Programme Lead Nicola Calder said:
“We are pleased to see the government have listened to the consultation feedback and committed to strengthening the Soft Drinks Industry Levy by extending this to milk-based products and lowering the sugar threshold.
Measures such as this are needed to support consumers to make healthier choices – and in particular to improve children’s health but the government must go further. We would like to see the levy extended beyond pre-packaged drinks to include those made in the out of home sector such as cafes and restaurants as another step in promoting healthier environments, alongside further levies on less healthy foods“.

