Milkshakes and lattes expected to be hit by Government sugar tax

Chancellor Rachel Reeves announced plans to extend the sugar tax in her autumn budget last year.

Pre-packaged milkshakes and lattes are expected to be hit by the sugar tax in an announcement from the Health Secretary.

Wes Streeting is expected to tell the Commons on Tuesday that the Government will end the exemption for milk-based drinks from the existing tax on sugary drinks.

The move will affect packaged milkshakes and coffees, but not drinks made in cafes and restaurants.

It follows a Government consultation on the issue looking at removing the exemption for milk-based drinks while introducing a “lactose allowance” to account for the natural sugars in the milk component of the drinks.

Ministers have also been looking at removing the exemption for milk substitute drinks with “added