The German cabinet has approved draft legislation to tax sugary drinks in Europe’s biggest economy. If passed by the German Bundestag, the tax will take effect on 1 July 2027. The coalition aims to raise revenue for the federal budget while encouraging manufacturers to reduce sugar content and offer healthier products.
The levy is intended to ease pressure on the healthcare system, which faces costs of more than €2 billion every year linked to the high consumption of sugary drinks, which contributes to obesity, diabetes and tooth decay.
