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Home»World»Europe»France
France

Social Security Budget: MPs finally adopted the “soda tax” reform.

November 4, 2024No Comments2 Mins Read
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The text discusses the recent approval of a reform to the “soda tax” by French deputies. The reform aims to limit the amount of sugars in soda beverages and was initially rejected before being reconsidered and ultimately adopted on November 4th. This reform was part of the first reading of the social security budget in the National Assembly. The amendment proposed by socialist Jérôme Guedj was initially rejected but was later accepted after a second deliberation, with 142 votes for and 100 against, including support from the left, MoDem, and Horizons parties.

The amended reform proposes to create three tax brackets for soda beverages, inspired by the British model, which has successfully reduced the proportion of high-sugar drinks and overall sugar intake in households. The French tax is expected to have a four times greater impact than the current system. Health Minister Geneviève Darrieussecq and former Minister Frédéric Valletoux supported the amendment, while EPR deputy Olivia Grégoire expressed concerns about potential price impacts on consumers. Additionally, an amendment by ecologist Sabrina Sebaihi to tax added sugars in processed foods was also adopted, despite government opposition.

In addition to the soda tax reform, the Assembly approved a requirement for food industry manufacturers to include Nutriscore labels in their product advertising. Those who do not comply will face a financial contribution to the social security system equivalent to 5% of their advertising budget. Exceptions were made for products with specific labels to avoid negatively affecting items such as cheeses. The Assembly also approved a tax on advertising for hearing aids to discourage misleading practices and promote appropriate purchases, as well as a measure to lower the cost of complementary health insurance for retirees, unemployed individuals, and young people.

These decisions are not final as the text is still in the early stages of the parliamentary process. The government may use Article 49-3 to retain selected amendments in the final text. Overall, the reforms indicate a broader effort to address health concerns related to sugar consumption and advertise more transparently in the food industry. The outcome of these measures will impact consumer behavior and industry practices, with potential implications for public health and financial considerations. The ongoing debate and potential government interventions suggest continued interest in regulating sugar intake and promoting healthier choices in France.

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