The soda tax as a measure for sustained change in consumption

Although not a nudge, the ‘soda tax’ in the UK can nonetheless be justified in part on behavioural grounds. This column analyses the potential effectiveness of the soda tax in reducing consumption. As a behavioural instrument, the tax does not go far enough, and is in fact regressive. A comprehensive junk food tax should be introduced instead, accompanied by nudges, ‘healthy’ subsidies, and regulation of ‘super-sizing’ practices.