THE argument against the proposed tax on sugar-sweetened beverages is not to do nothing to curb obesity levels, but to take action that will have the best and longest-lasting impact.Industry shares the government’s aim to reduce obesity levels. Healthier food options and better consumer education aimed at changing consumption behaviour stand a chance of achieving that.Prof Karen Hofman (Evidence of sugar tax, July 21) is in effect advocating that the rollout of industry efforts in this regard, initiated in co-operation with the Department of Health, should be crowded out. This will only result in a heavier burden on the government and the fiscus.Rather than "a first, preventative step" to curb obesity, the proposed tax is likely to result in an increase in VAT-by-stealth that will be offset by losses in corporate taxes and VAT.The Treasury is against the ring-fencing of funds for specific causes, such as taking care of people with lifestyle diseases. Any suggestion that the proposed...
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