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Fat Food Tax

clipped from news.asiaone.com

LONDON, July 12 (Reuters) - A "fat tax" on salty, sugary and fatty foods could save thousands of lives in Britain each year, according to a study published on Thursday.

Researchers at Oxford University say that charging Value Added Tax (VAT) at 17.5 percent on foods deemed to be unhealthy would cut consumer demand and reduce the number of heart attacks and strokes.

The purchase tax is already levied on a small number of products such as potato crisps, ice cream, confectionery and chocolate biscuits, but most food is exempt.

The move could save an estimated 3,200 lives in Britain each year, according to the study in the Journal of Epidemiology and Community Health.

Any "fat tax" might be seen as an attack on personal freedom and would weigh more heavily on poorer families, the study warned.

A food tax would raise average weekly household bills by 4.6 percent or 67 pence ($1.36) per person.

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