Food Standards Agency looking at fat tax
The Food Standards Agency has today issued a consultation document regarding the potential introduction of a so-called fat tax. It is likely that most processed foods sold in the UK will be targeted and their exemption from VAT (currently 17.5%) would be lifted. Alternatively the Food Standards Agency could introduce VAT on butter and cheese which would effectively cover a large number of so-called fatty foods which include these ingredients.
While there is no doubt that the health of the UK nation is at stake, many people will be alarmed that such a large tax could be introduced in the short-term. Amid cries of a return to a "nanny state" there is likely to be serious friction between the authorities and consumers not to mention businesses who will see their sales affected. Finding a balance between the health and wealth of the nation is not easy although when you consider the enormous cost to the NHS from fatty foods maybe it is time for a total review of the system?
However, there is concern that the introduction of a so-called fat tax could be more financially damaging to poorer families in the UK than those from a wealthy background.
Share this..
Related stories
Benefit thieves taking UK government to the cleaners
It has been revealed over the last few days that police have been monitoring a gang claiming tax benefits for five fictitious children with benefits believed to be in the hundreds of thousands of pounds. This is not an isolated case as the UK authorities seem to be unearthing enormous fraud gangs on a regular basis, thieves who are effectively taking millions upon millions of pounds from the UK be...
Read MoreAlistair Darling set to announce VAT cut on Monday
Chancellor Of The Exchequer Alistair Darling is set to announce a 2.5% reduction in UK VAT as part of his pre-budget speech this week. The move is expected to cost the Treasury in the region of £12 billion a year and is expected to be in place for two years. If the rumours are correct it looks as though the rate will fall from 17.5% to 15%, which is the lowest rate allowed under EU regulations.
Is David Cameron losing the support of the middle classes?
Today's revelation that pension fund tax relief will be severely scaled back for those at the top end of the spectrum has cast further light upon David Cameron's support from the middle classes. When you take into account recent tax rises, the abolition of child benefit for those on higher incomes and now the scaling back of tax relief on pension fund contributions, is David Cameron in danger of l...
Read MoreHas Alistair Darling made a mistake with the new 45% tax rate?
As Alistair Darling looks to put the finishing touches to his budget due on 22 April, there is concern that the introduction of a new 45% tax rate for high earners in the UK could actually be counter-productive. While the Treasury expects an increase of around £1.6 billion a year from 2011 onwards the Institute for Fiscal Studies believes that the action could have a detrimental impact on revenue...
Read MoreScottish Labour Candidate In Favour Of Abolishing Council Tax
While news that Scottish Labour leader candidate Iain Gray has suggested that council tax would be phased out if he was to take the helm of the Scottish Labour party may have been greeted by the SNP, it may actually highlight flaws in their controversial policy of a local income tax.
Far from condoning the SNP policy - which has been hit by claims of council funding gaps and other p...