Denmark has had a soft drinks tax since the 1930s

Denmark has had a soft drinks tax since the 1930s

The Union of European Soft Drinks Associations (UNESDA) has welcomed the Danish Government's move to scrap a decades-old tax on soft drinks.

Denmark last week unveiled plans to abolish the tax, which stands at DKK1.64 (EUR0.22) a litre, in a bid to boost the economy. The tax has been in place at various levels since legislation was introduced in the 1930s. 
The levy will be halved on 1 July and eliminated on 1 January.

UNESDA secretary general Alain Beaumont said the plan is part of an EU-wide trend. “Soft drinks taxes are on the wane and being voted down by governments and parliaments across Europe,” Beaumont said. “They have not proven to achieve any public health objectives and they destroy jobs and economic value.”

The move follows the halting of a sugar and fat tax in Denmark after the government said it meet with “a number of technical and legal problems” on the issue.

UNESDA said the scrapping of the soft drinks tax is expected to recoup most of the 5,000 jobs it claims were lost when Danes crossed the borders to Germany or Sweden for their beverage purchases.