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Sweets Tax Could Sour Consumers

The Finance Ministry has proposed a sweets tax of nearly one euro per kilo. If approved, the tax hike would take effect at the beginning of next year.

Nainen ostaa makeisia
Image: YLE

On Thursday the ministry proposed an extra tax of 95 cents per kilogramme on candy, chocolate and other products including cocoa as well as ice cream.

The tax on sweetened soft drinks would rise from the current 4.5 cents to 7.5 cents per litre.

The extra tax bite would bring in an estimated 120 million euros per year -- as well as potentially leading to long-term cost savings in dental and other health care.

The government is to make the final decision on the confectionary tax during budget talks in August. Last year the previous cabinet agreed in principle to increase taxes on sweets and sodas.

Finland had a similar tax in force between 1926 and 1999.

Sources: YLE

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