French Senate Approves Stricter Taxes on Sugary Drinks and Tobacco to Combat Health Issues

November 21, 2024
French Senate Approves Stricter Taxes on Sugary Drinks and Tobacco to Combat Health Issues
  • Health Minister Geneviève Darrieussecq supported this initiative, emphasizing the high sugar content in sodas and the need to combat obesity and related diseases such as diabetes.

  • In addition to the sugary drink tax, the Senate adopted several amendments aimed at combating social fraud, including measures against employers involved in undeclared work and enabling social security agents access to airline passenger data for residency-based allowances.

  • Earlier that day, senators approved measures targeting the pharmaceutical industry, aiming to save 600 million euros on medication expenditures and an additional 150 million euros from medical devices in 2025.

  • Furthermore, the average price of a pack of cigarettes will rise to 12.70 euros in 2025, an increase of 40 cents from earlier plans, despite objections from the Health Minister.

  • The government also successfully pushed for tax increases on gambling activities, excluding horse racing bets to avoid backlash from the equine industry.

  • While several amendments targeting food and alcohol taxation were rejected, a specific measure regarding advertising for alcoholic beverages in La Réunion was passed against the minister's wishes.

  • Despite the initiative to tax sugary drinks, the government expressed skepticism about the difficulty in quantifying sweetener amounts in beverages.

  • The senators' actions served to reinforce the deputies' previous initiatives, albeit with slight differences in approach.

  • On November 21, 2024, the French Senate approved significant tax increases on sugary drinks, imposing a charge of 4 cents per liter for less sweet beverages and up to 35 cents for the sweetest, surpassing the National Assembly's proposed rates of 3.5 cents and 28 cents respectively.

  • The Senate also introduced a new tax on nicotine pouches, which will only take effect if these products are not banned in the future, countering the Health Minister's preference for a ban.

  • The stricter soda tax is intended to encourage manufacturers to reduce sugar content in their products, reflecting ongoing concerns about public health.

  • The Senate's approval of the tobacco tax aims to generate 200 million euros in revenue while maintaining the goal of achieving a price of 13 euros per pack by 2027.

Summary based on 4 sources


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