The UK has joined a small number of nations, including Mexico, France and Norway, which have already introduced similar taxes, but Australia is yet to embrace the concept. Sugar-sweetened soft drinks are now the single biggest source of dietary sugar for children and teenagers.
The amount each brand goes up by depends on the amount of sugar in the drink.
"All revenues raised through the levy will directly fund new sports facilities in schools as well as healthy breakfast clubs, ensuring children lead healthier lives", he said.
Despite the tax on a large size soft drinks container being the same as the duty on many beer cans, HMRC's assessments show no funding was made available to enforce the new legislation.
Well, according to the Treasury, over 50% of drinks manufacturers have already changed their sugar content, to ensure that they will not be subject to the extra tax.
Manufacturers must pay a levy on drinks with a sugar content above five grams per 100mL - and a higher one on those containing more than eight grams - as the government tries to cut down on spiralling obesity levels.
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The trade body cited a report from Food Standards Scotland which concluded that even though drinks producers were cutting the amount of sugar in their products, obesity rates were not in decline, likely because the effect has been offset by increases in sugar from other foods. This could also increase their prices in pubs and restaurants too. They also discovered sugar taxes will most improve the health of the poorest, who are more affected by non-communicable diseases such as heart disease, type 2 diabetes and cancer, which are affected by diet (The Telegraph).
Irn Bru, Luzocade, and Ribena, are some of the brands that have chose to slash the sugar content on their drinks.
Professor Helen Stokes-Lampard, chair of the Royal College of Global Positioning System, said: "A tax on sugary drinks is a positive move forward in tackling this obesity epidemic". "As that has happened, obesity rates have continued to rise".
Earlier this year, in an effort to improve the diet of its citizens, the Norwegian government increased the current tax on chocolate, candies and soft drinks by as much as 83 percent.
According to United Kingdom government figures, 60 per cent of the United Kingdom population is overweight, with approximately one in-four people obese, and sugary soft drinks account for around 20 per cent of the sugar consumed by children.