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Milkshakes and lattes could be more expensive after the budget – here’s why

Rachel Reeves says Budget will deliver on Labour's promise of change
  • Wes Streeting announced that the sugar tax will now be applied to packaged milkshakes and lattes, expanding the existing levy.
  • The health secretary stated that the exemption for milk-based drinks is being removed as ministers will not ignore rising childhood unhealthiness.
  • The threshold for the tax will also be lowered from the current 5g of sugar per 100ml to 4.5g per 100ml.
  • This expanded levy will affect pre-packaged drinks like bottled milkshakes and flavoured milk, but not beverages made in cafes or restaurants.
  • The measure aims to combat obesity, which is described as a major health challenge costing the NHS billions and impacting children's life chances.
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